Want news about Kotak Mahindra Bank to land in your mailbox?


Bank FDs now score over govt saving schemes
Bank fixed deposits are back in favour. For the first time in five years, the rates seem more attractive than government savings schemes. CNBC-TV18 has more.
No pain, all gain. 9% on bank FDs, plus tax benefits. Banks now offer 9% or more on tax-saving FDs. Bank FD rates have risen nearly 2% in the past six months and investors seem to love it.
|
RSS feed for news |
KVS Manian, Head: Retail Liabilities, Kotak Mahindra Bank says, “Percentages vary from customer to customer depending on their risk appetite, the kind of asset classes they hold, but I would say if a person who was putting 0 is now looking at putting 10%, people with 20-30% asset book are now doing 30-40%. That’s the kind of shift happening.”
Banks are wooing depositors to spruce up their books. FDs have an edge over Government savings schemes like PPF, NSC which offer 8% interest.
Although post-office schemes come with tax benefits, the lock period is almost twice as long as short-term FDs. Experts say that for investors for whom tax saving is not a priority are better off with these short term bank FDs
Gaurav Mashruwala, Certified Financial Planner says, “Except PPF where you get sec 80C benefit when you invest and take out money and NSC where only when you invest, everything else is anyway taxable. So between 8% taxable and 9% taxable will score.”
With interest rates looking up over the past few months, investors hope FDs will get more attractive. It remains to be seen whether bank FDs will cross the double-digit mark. That would mean even more gain without the pain.
Business
Business News | Economy | Earnings | BSE NSE Notices
General News
Current Affairs | Politics | World News | Sports | Entertainment
Corporate Strategy
Management | Advertising | Marketing | Legal
Personal Finance
Tax | Insurance | Credit Cards | Loans | Property | Retirement | Investment Help | Financial Planning | Fixed Income
Markets
Local Market | Global Market | Market Cues | Analysis | Expert & FII outlook | Brokerage Recomendation
Stocks
Stocks in News | Expert Advice | ADRs & GDRs | IPO
Mutual Funds
News | Advice | MF Analysis | Fund Managers Views
Lifestyle
Travel | Wellness | Technology | Auto| Books
Ravi Ramu
Director of Finance
Puravankara Projects
Experts' take on road ahead for realty post rate hike
SC Sekaran
Executive Director
Hindustan Dorr Oliver
Have enabling resolution to raise $50m: Hindustan Dorr
MP Agarwal
Chairman and Managing Director
Shri Lakshmi Cotsyn
Will use QIP route to fund capex: Shri Lakshmi Cotsyn
US Jha
CMD
RCF
Nutrient-based subsidy policy to be win-win for all: RCF
-
Most Read
-
Most Viewed
- See bigger revolution than telecom in edu: Kapil Sibal

- Raamdeo Agrawal's top sector picks for your portfolio

- 10-15% mkt rise in a month not good for India: Blackstone

- Karvy Stock Broking's top sector/stock picks post rate hike

- Sudharshan Sukhani's top 5 picks for trade today

- Shree Ganesh Jewellery IPO opens; should you subscribe?
- Markets will reverse only if Nifty tests 4675: Atul Suri

- Policy rates hiked: Will banks raise lending rates?

- I see MNS as main opposition in long-term: Ashok Chavan

- Mkts to react –ve to RBI rate hike move on Monday: Experts
- UCO Bank plans follow-on offer to raise Rs 400 cr
Source: Business Line
- Valuations of Indian cricket teams reach new record
Source: ft.com
- Jewellers head to Dalal Street
Source: Business Line
- Nissan to build plug-in car in UK
Source: ft.com















