Top 6 NBFCs Offering Competitive Fixed Deposit Rates
Understanding NBFC Fixed Deposits
NBFC Fixed Deposits: If you're considering investing in fixed deposits (FD), it's essential to review the interest rates offered by Non-Banking Financial Corporations (NBFCs). Typically, NBFCs provide higher interest rates compared to traditional banks. Recently, the Reserve Bank of India (RBI) reduced the repo rate by 50 basis points for the third time this year, which may lead to changes in interest rates. Therefore, having the right information is crucial for making informed investment decisions. Let's explore the interest rates of six notable NBFCs that can offer good returns while keeping your money secure.
ICICI Home Finance
ICICI Home Finance
This NBFC offers an interest rate of 7.65% on fixed deposits with tenures of 39 and 45 months, effective from May 19, 2025. Withdrawals are not permitted in the first three months, but can be made later with a nominal fee. The minimum deposit amounts are ₹10,000 for annual plans, ₹20,000 for quarterly, and ₹40,000 for monthly schemes.
Bajaj Finserv
Bajaj Finserv
Bajaj Finserv provides interest rates of 7.30% for senior citizens and 6.95% for the general public on fixed deposits ranging from 12 to 60 months. A minimum deposit of ₹15,000 is required.
Muthoot Capital
Muthoot Capital
This NBFC offers attractive rates of 7.90% for 12 months, 8.70% for 24 months, 9.10% for 36 months, and 8.90% for both 48 and 60 months.
Shriram Finance
Shriram Finance
Shriram Finance provides interest rates up to 8.40%. Women receive an additional 0.10%, and senior citizens get an extra 0.50%, bringing the total to 9% for eligible individuals.
Sundaram Finance
Sundaram Finance
This NBFC offers 8% for senior citizens and 7.50% for the general public on fixed deposits of 24 and 36 months, effective from May 1, 2025. For a 12-month FD, the rates are 7.20% for the general public and 7.70% for senior citizens, with a minimum deposit of ₹10,000.
PNB Housing Finance
PNB Housing Finance
This NBFC offers a 7.50% interest rate on fixed deposits with a tenure of 60 months. The interest rates across these NBFCs range from 7.20% to 9.10%, with additional benefits for senior citizens and women in certain cases.
Conclusion
These NBFCs provide significantly better returns compared to banks. However, opening an FD with a bank is often considered a safer option. Therefore, it's advisable to invest wisely based on your financial goals.