The National Pension System is a retirement savings plan that enables you to raise a corpus for the future through a streamlined way of investing. It not only inculcates the discipline of saving money but also ensures that you earn a stable income post-retirement. Regulated by PFRDA, NPS is a government-backed retirement scheme. As per the NPS rules, your investment gets invested in debentures, corporate bonds, shares, and other instruments. The allocated funds grow over the tenure and provide you with lucrative returns post-retirement. Some of the essential benefits of NPS are discussed below:
Flexibility – NPS scheme offers flexibility in choosing the investment avenues and pension funds that you consider suitable according to your investment profile. You can even monitor the growth of your investment and take the help of a fund manager to make your choices prudently.
Portability – The main benefit of NPS is that it offers a simple process to move the NPS account from one location to another. NPS is also portable across jobs and therefore, you don’t need to worry about your accumulated funds while shifting location or job.
Compounded returns – NPS is ideal for wealth creation as it compounds your returns over a period. Also, as the maintenance fees are minimal, the accumulated wealth is substantial enough to fortify your future goals.
Despite these appealing benefits, NPS doesn’t impress when it comes to withdrawal flexibility. It is also a long-term investment scheme that is best suited for the individuals who start contributing towards NPS from a young age. Invest in FDs if you are looking for an investment option that allows you to pick the tenor and comes with lenient rules for early withdrawals.
To earn high-interest income from FDs, choose corporate FDs like Bajaj Finance FD. It is a secure investment option as CRISIL and ICRA, the leading credit rating institutions of India have provided it with high ratings on stability. The FD returns are high as FD interest rates of up to 7.05% are available with this FD scheme. The other reasons for investing in Bajaj Finance FD are discussed below:
Option of periodic interest income
Bajaj Finance FD offers you the option of earning a periodic interest income regularly. Also, you can keep growing your investment for attaining future goals. It is possible through the multi-deposit facility and periodic interest payout options offered by this FD scheme. You get monthly, quarterly, yearly, and bi-annual interest payout options on investing in Bajaj Finance non-cumulative FD.
On the other hand, the multi-deposit feature lets you divert your savings in both cumulative and non-cumulative FDs at once. It even allows you to pick the investment tenor and amount as per your discretion and a single cheque needs to be paid for making payment for all the deposits simultaneously. By using this facility, you can manage your monthly expenses while compounding your deposits at a steady rate.
Senior citizen FD
Senior citizens are eligible for an additional interest rate of 0.25% on investing in Bajaj Finance FD. An excess fixed deposit interest rate of 0.10% will be applicable if you are a non-senior citizen and opt for the online investment option through an online FD form. Thus, the online investment process is both convenient and profitable.
Easy liquidity
Investing in Bajaj Finance FD is a prudent decision as it gives you the option of withdrawing your deposits as and when required. However, a minimum period of 3 months needs to be completed before withdrawing your investment prematurely.
Also, the alternative of getting a collateral-free loan against FDs enables you to keep your investment growing even if there is an emergency in between.
