Five Reasons To Invest In RBL Bank Fixed Deposit And Enjoy High-Interest Rates

Fixed deposits rank right at the top of investment portfolios of individuals seeking a safe avenue to invest their hard-earned money. Fixed deposits are safe from market risks and offer assured returns at a fixed interest rate until maturity. Fixed deposits can provide higher returns than risk-free investment avenues, like savings accounts or government bonds. RBL bank fixed deposits, known for their varied benefits – are among a few popular deposits.

RBL bank, listed on BSE and NSE, is one of the leading private sector banks serving over 11.30 million customers in 28 states and union territories at 502 branches. The bank offers fixed deposits at an attractive interest rate. It has recently increased its interest rates on fixed deposits, with the 4th hike in repo rate. Bank fixed deposits are rated ICRA AA- (Stable), showing lower credit risk and assuring timely interest and principal payments. Bank fixed deposits are covered under the Deposit Insurance and Credit Guarantee Corporation (DICGC), making it more secure for risk-averse investors.

Why Investors Prefer RBL Bank Fixed Deposit

The bank offers customised fixed deposits under six categories. You can choose one as per your purpose of investing:

• Flexi Sure Fixed Deposits
• Regular Fixed Deposits
• Tax Savings Fixed Deposits
• Senior Citizen Fixed Deposits
• Super Senior Citizen Fixed Deposits
• Recurring Deposits

Following are the five reasons that make most investors include RBL fixed deposits (FDs) in their investment portfolio: 

1. High FD Interest Rates – up to 7.25%

Fixed deposits are free from market fluctuations; therefore, it is a stable investment. A higher interest rate is an add-on to assured FD returns. RBL bank offers FDs at up to 7.25%. FD depositors earn at a pre-defined interest rate based on various factors, including the type of FD selected, FD tenor, investment amount, and the investor’s age. You can choose a cumulative FD with RBL bank to maximise your FD returns. It will allow you to maximise your returns with compound interest. Interest on a cumulative FD is calculated and reinvested quarterly. You will continue to earn interest on interest along with the principal. It will help you in wealth creation over the FD tenor.

2. Additional Interest Rate to Senior and Super Senior Depositors

The RBL bank offers additional interest rates to their FD clients above the age of 60 years. The bank offers an additional interest rate of 0.50% for senior citizen depositors and 0.75% for super senior depositors. Senior depositors are those in the age group of 60 years to less than 80 years. Whereas super senior depositors come under the age group of 80 years and above.

3. Tax-saving FDs

One of the six categories of FDs with the RBL bank is tax-savings FD. If your purpose of FD investment is to reduce your tax liability, you can invest in these FDs with a five-year lock-in period. Investors can take advantage of tax deductions up to 1.5 lakhs in a financial year under 80C, Income-tax Act 1961. Investors can only withdraw these FDs after the maturity of five years.

4. Minimum Investment and Higher Flexibility

RBL bank FDs are flexible enough to maximise your FD returns. You can invest for a period of up to 20 years. Whether you want to secure funds for your retirement, children’s education abroad, their grand marriage, or to ensure their safe future, you can choose a tenor from 7 days to 20 years. The higher the FD tenor, the higher the interest will be. You can deposit as low as Rs.5000 in an FD and start your recurring deposits (RDs) with as low as Rs.1000. There is no upper cap to invest in RBL bank deposits to earn at a high interest rate. An online interest rate calculator for FD can help you to know the right tenor and deposit amount to get the desired returns after a certain period and meet your financial objectives.

5. Make a Deposit Online

The bank offers its digital services to consumers. The bank has been awarded with the Asiamoney Best Bank Awards 2022 for Digital Solutions In India. It allows investors to open their deposit accounts online. You need to have spare time to visit the bank to start investing. It is also a beneficial feature for senior citizens who can complete the FD investment process online within a few minutes. While investing, you can calculate the rate applicable to your FD using an online interest rate calculator for FD, offered for free to use as many times as you want. 

Conclusion 

Thus, individuals enduring a race to the high-interest rates on FDs and want the highest safety of their funds consider RBL Bank FDs. Like toy kitchen lakhs of investors in the bank’s customer base, you can also enjoy high returns with the bank FDs.