Exploring the Advantages of Fixed Deposits from NBFCs Over Fixed Deposits from Banks

Fixed Deposits (FDs) are a popular investment choice for their stability and predictable returns. While most investors are familiar with bank FDs, fixed deposits offered by Non-Banking Financial Companies (NBFCs) have emerged as a compelling alternative. Several NBFCs today offer fixed deposits with attractive features, like high returns and favourable payout options.
 

Advantages of NBFC FDs Over Bank FDs
 

Shriram Finance, a leading name in the NBFC sector in India, offers several groundbreaking benefits on its Shriram Unnati Fixed Deposit compared to traditional fixed deposits (FDs) offered by banks. As investors increasingly seek higher returns, better customer service, and flexible terms, Shriram Finance proves how choosing an NBFC for an FD can make for a competitive and reliable investment option for all categories of depositors.
 

The Growing Popularity of NBFC Fixed Deposits

In recent years, NBFCs have emerged as a popular alternative to traditional banks for investing in fixed deposits. Investors are drawn to NBFCs by the attractive interest rates, flexible tenures, and personalised services that these institutions offer.

1. Higher Interest Rates for Enhanced Returns: One of the most significant advantages of FDs from NBFCs over banks is the higher interest rates offered. Shriram Unnati Fixed Deposit is known for providing competitive rates in the market, often exceeding those offered by traditional banks. Interest rates on Shriram FD can go as high as 9.40%* p.a. (inclusive of 0.50%* p.a. for senior citizens and 0.10%* p.a. for women depositors). This makes FDs from NBFCs an ideal choice for investors seeking to grow their savings more rapidly.

2. Tailored Benefits for Senior Citizens and Women Depositors: Many FDs from NBFCs are also known to offer additional benefits to women depositors and senior citizens. Shriram Finance has always placed a strong emphasis on catering to the needs of different customer segments. Senior citizens, for example, can benefit from an additional 0.50%* p.a. on their FD, providing them with a higher return to support their post-retirement financial needs. Women depositors can also enjoy an additional 0.10%* p.a., empowering them to make more informed and profitable investment decisions.

3. Flexible Tenure Options and Easy Liquidity: NBFCs like Shriram Finance offer a variety of tenure options for their FDs, allowing investors to choose terms that best suit their financial goals. Whether one is looking for a short-term investment or a long-term savings plan, NBFCs often provide the flexibility to select tenures that align with the investors’ financial goals. Shriram Finance ensures that investors have easy access to their funds when needed, offering monthly, quarterly, half-yearly, yearly and on-maturity payout options.

4. High Credit Ratings: Reputed NBFCs in India are often backed by high credit ratings, ensuring investors stability and predictability in their investments. Shriram Finance is rated "[ICRA]AA+ (Stable)" by ICRA and "IND AA+/Stable" by India Ratings and Research, making its FD a reliable choice in the market.

Conclusion

As the financial landscape continues to evolve, NBFC fixed deposits are increasingly seen as a smart investment option for those looking to achieve higher returns with flexible and stable solutions. Shriram Finance, with its strong legacy and commitment to customer satisfaction, offers a compelling case for why investors should consider FDs like Shriram Unnati Fixed Deposit over traditional bank FDs. By choosing Shriram Finance, investors are not only opting for favourable returns but also aligning with a financial institution that prioritises their unique needs and provides them with the tools to achieve their financial goals.
 

About Shriram Finance

Shriram Finance is a leading diversified financial services company in India, offering a wide range of financial products and services across consumer, wholesale, and business finance segments. The company has a strong presence pan India with a network of 3,149 branches and an employee strength of 77,764 with an AUM of Rs. 2,430,40 crores. With a focus on financial inclusion and customer-centricity, Shriram Finance continues to empower individuals and businesses to achieve their financial goals.

Disclaimer: With regards to the deposit-taking activity of Shriram Finance Limited (’SFL’), viewers may refer to detailed information and T&C provided in our application form available at www.shriramfinance.in/downloads. The Company is having a valid Certificate of Registration dated 31st January 2023 issued by the Bank under section 45-IA of the RBI Act. However, the Reserve Bank of India does not accept any responsibility or guarantee about the present position as to the financial soundness of the company or for the correctness of any of the statements or representations made or opinions expressed by the company and for repayment of deposits/discharge of the liabilities by the company.