Chapter 3: Basics of Fixed Deposit

Table of Content

Introduction to Fixed Deposits: 

• Understand the concept of fixed deposits as a financial investment option where a lump sum amount is deposited with a bank or financial institution for a predetermined period at a fixed interest rate.

Features and Benefits: 

• Explore the key features of fixed deposits, including the tenure, interest rates, liquidity, and safety. Learn about the benefits, such as guaranteed returns, low risk, and ease of investment.

Considerations and Tax Implications: 

• Delve into important considerations when investing in fixed deposits, including the impact of inflation, premature withdrawal penalties, and the tax implications on interest income earned from fixed deposits.