BONDS, NCD, FD

Bond investing is also a great option for those looking to get tax benefits and increase their savings. Read on to find out more. These bonds provide a margin of capital appreciation, so you can make substantial financial gains. The interest rate on these bonds is much lower than that offered by fixed deposits. The yields on investment bonds. they are not subject to TDS or even taxes. This means that you can withhold most of your income from interest earnings without having to plan for tax deductions. These bonds can be sold to another party later on. Investment bonds may or may not have flexible maturities. These bonds do not allow you. to choose the frequency of your returns. There is a fixed time in which returns will be paid to you. The bonds are secured but not insured. This means you don’t have absolute security. In the event that a bond goes unpaid, you only have rights to the assets presented as collateral.To summarize, here is a table describing the differences between these two investment options: Feature Fixed deposit Investment bonds Security of deposit Security of deposit deposit is high when you choose a credible issuer with high security ratings Bonds are safe, but there are risks that bonds will not be paid Frequency of payments Your deposit returns are paid monthly, quarterly, semi-annually, annually or at maturity – a investor choice The yields on your bonds are paid annually, or you can get them on a cumulative basis Credit ratings Credit ratings are mandatory for NBFCs Issuers must obtain the instrument rated by at least one agency Taxation According to the tax plate of the investor Only tax-free bonds are not taxable; others are taxed according to the investor’s tax plate So, if you are looking for an investment option that is safe and offers assured returns, a fixed deposit is an ideal investment option. For those looking to grow their savings on a safe way, Bajaj Finance Fixed Deposit is a great option.Here’s what makes a Bajaj Finance FD a preferred option for increasing your savings: Higher Security Ratings than FAAA from CRISIL and MAAA from ICRAL interest rates of up to 7.00%, which can go up to 7.10% on online investments and up to 7.25% for seniors Flexible tenors ranging from 12 to 60 months, with the possibility to receive payments periodically or at maturity End-to-end paperless online FD process to allow you to invest from the comfort of your home