Up to 8.6% interest rate on corporate FDs: 5 highest company FD interest rates for you However do keep in mind corporate FDs have no insurance from Deposit Insurance and Credit Guarantee Corporation (DICGC) in the event of a default by the company. Read here to know more about interest rate of various corporate FDs
The corporate fixed deposits offer an attractive interest rate of 8.6% for customers. Corporate FDs (issued mostly by NBFCs and housing finance companies) which are rated AAA and AA, are typically considered safe. Do keep in mind there is no deposit insurance available on corporate FDs. In this article, we have discussed which corporate FDs are currently offering the highest interest rates and what are some important things to know about corporate FDs..live_stock{left:17px;padding:1px 3px 1px 5px;font-size:12px;font-weight:600;line-height:18px;top:9px} #sr_widget .sr_desc{margin:0 auto 0;} #sr_widget .sr_desc{color: #024d99;margin-top:10px;} #sr_widget .crypto .live_stock .lb-icon{8px 6px 5px 3px !important} #sr_widget.crypto a.text{border-bottom:1px solid #ccc;padding-bottom:5px;display:block;width:100%} #sr_widget .sr_desc .text p, #stock_pro .sr_desc .text p{font-size:12px;font-weight:400;} Latest from the Election Surpirse
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Here's the highest rates offered on corporate FDs
Bajaj Finance Limited FD rate
Bajaj Finance is offering an 8.6% interest rate for its FD maturing in 42 months. This FD has a credit rating of AAA/stable from CRISIL and ICRA.Highest Interest rate: 8.6%
Rating: CRISIL - AAA/Stable and ICRA - AAA/Stable
Tenure: 42 months
Muthoot Capital Services Limited FD rate
Muthoot Capital Services is offering 8.38% interest for its FD maturing in five years. This FD has got a credit rating of A+/Stable from CRISIL.Highest Interest rate: 8.38%
Rating: CRISIL - A+/Stable
Tenure: 5 years
Shriram Finance FD rate
Shriram Finance is offering an interest rate of 8.47% on deposits of various tenures. The same interest rate is available for deposits maturing in 50 months and five years. These FDs have a credit rating of AA+/Stable from ICRA and IND AA+/Stable by India Ratings and Research.Highest Interest rate: 8.47%
Rating: ICRA: AA+/Stable and IND AA+/Stable from India Ratings and Research
Tenure: 50 months/5 years
Manipal Housing Finance Syndicate Limited FD rate
Manipal Housing Finance Syndicate is offering an 8.25% interest rate for its FD maturing in one year. It must be noted that the same interest rate of 8.25% is being offered by the company for its FDs maturing between two years and three years. This FD has a credit rating of ACUITE - ACUITE A.Highest Interest rate: 8.25%
Rating: ACUITE A.
Tenure: 1/2/3 years
Mahindra Finance FD rate
Mahindra Finance is offering an 8.1% interest rate for its FD maturing in various tenures - three years and five years. These FDs have a credit rating of AAA/Stable from CRISIL and IND AAA/Stable from India Ratings. Highest Interest rate: 8.1%
Rating: AAA/Stable by CRISIL and IND AAA/Stable from India Ratings.
Tenure: 3/5 years
NameInterest rateTenureBajaj Finance8.60%42 monthsMuthoot Capital Services8.38%5 yearsShriram Finance8.47%50 months/5 yearManipal Housing Finance Syndicate8.25%1/2/3 yearsMahindra Finance8.10%3/5 yearsSource: www.paisabazar.com as of June 5, 2024.
"Corporate FDs, as issued by NBFCs and HFCs are regulated by Reserve Bank of India (RBI) and National Housing Bank (NHB) respectively," said State Bank of India (SBI) Securities on its website as of June 8, 2024. According to the SBI securities website, "The deposit scheme of companies is 'AA/AAA' rated from independent rating agencies like CRISIL, ICRA & CARE (reaffirmed over the long period) which indicates credible track record & high to highest degree of safety when it comes to timely repayment of Interest and Principal investment amount."
Disclaimer: Corporate FDs have no insurance from Deposit Insurance and Credit Guarantee Corporation (DICGC) in the event of a default by the company. Make sure to study the financial health of the company and also read the details of ratings given by credit rating agencies.
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This story originally appeared on: India Times - Author:Faqs of Insurances
