Corporate Deposit

Company Fixed Deposit (corporate FD) is a term deposit which is held over fixed period at fixed rates of interest. Company Fixed Deposits are offered by Financial and Non-Banking financial companies (NBFCs). The maturities of various company fixed deposits can range from a few months to a few years.

 Choose from multiple company fixed deposits options varying in tenures, interest rates and institutions to suit your investment needs. Avail stable returns and benefit from much reduced volatility through a wide range of AAA and AA-rated Company Fixed Deposits.

Benefits of Company Fixed Deposits

Higher interest rate: The rate of interest is 2-4 percent high, as compared to the interest rate offered by banks on fixed deposits

Regular income: Depending on the scheme, investors have the option to receive interest at monthly/quarterly/half-yearly/yearly intervals

Lock-in period: The minimum lock-in period for most of the schemes is six months, i.e. investors can withdraw their money post six months, anytime

TDS: TDS is not applicable if interest earned is equals to or less than 5,000 for a year in a single company.

Factors for choosing a Corporate FD:

  • Credit Rating: Opt for higher-rated corporate FDs based on its credit rating which indicates the underlying risk of the company.
  • Company Background: Assess a company’s business viability by referring to its Financial Statements, Management Discussion and Analysis (MD & A).
  • Repayment History: Companies repayment history helps to determine company’s credit score, credibility and stability
  • Companies may change the interest rates on the fixed deposit schemes without any prior notice

Here is a list of top company fixed deposits based on interest rates, credit ratings, etc. You can also view all available term or fixed deposits running at this point in time.