Some banks offer higher interest rates on Fixed Deposits (FDs) compared to Sukanya Samriddhi Yojana (SSY), making FDs more appealing for investors seeking fixed returns
According to the experts investors must keep their exposure limited in FDs of small finance banks so that it will fall within the purview of DICGC cover of Rs 5 lakh rs including principal and interest.
Financial Literacy News: Small finance banks provide great interest rates on fixed deposits (FDs), with some going as high as 9%. If you're looking for top rates, you might want to invest soon, as rates could go down later. Before you invest, check out the best FD rates from small finance banks. Remember, these rates apply to deposits up to Rs 2 crore.
The fixed deposit interest rates given by small finance banks, are higher. There are some small finance banks that are offering up to 9% interest on FDs. Book these FD now before the rates start to drop. Read here to know the FD rates offered by the small finance banks in India.
The small finance bank model may still be testing the water some 10 years since its launch.
According to banking experts, the regulator has taken a cautious approach in granting approvals.
Unity Small Finance Bank was the last one to get a licence in the category in November 2021.