Fixed Deposits are one of the oldest and most common methods of investing. When it comes to assured returns, choosing the right type of savings scheme makes all the difference. Fixed Deposits let you make the most of value-added benefits as you create wealth at low risk.

Fixed Deposits in companies that earn a fixed rate of return over a period of time are called Company Fixed Deposits.

Fixed Deposits are loan arrangements where a specific amount of funds is placed on deposit under the name of the account holder. The money placed on deposit earns a fixed rate of interest, according to the terms and conditions that govern the account. The actual amount of the fixed rate can be influenced by such factors at the type of currency involved in the deposit, the duration set in place for the deposit, and the location where the deposit is made.

    Types of Companies offering Fixed Deposits
    Financial Institutions
    Non-Banking Finance Companies (NBFCs).
    Manufacturing Companies
    Housing Finance Companies
    Government Companies 
    You can also go for Fixed Deposits with Banks.

Benefits of investing in Company Fixed Deposits

• High interest.
• Short-term deposits.
• Lock-in period is only 6 months.
• No Income Tax is deducted at source if the interest income is up to Rs 5,000 in one financial year
• Investment can be spread in more than one company, so that interest from one company does not exceed Rs. 5,000