Bajaj Finance Slashes Minimum Fixed Deposit Amount to Rs. 25,000
Bajaj Finance, India’s top most NBFC, has announced a reduction in the minimum investment amount for Fixed Deposits from Rs.75,000 to Rs.25,000. In an intend to maximise the returns for its customers, Bajaj Finance will offer an annual cumulative interest rate of 8.05% for a tenor of 36-60 months on the reduced amount.
Taking into consideration the huge demand from the existing customers, the minimum investment amount in FD has been revised from Rs.75,000 (in Mumbai and Delhi) and Rs.50,000 (for the remaining parts of the country) to Rs.25,000 by Bajaj Finance.
With this move, Bajaj Finance aims to double its deposit base rate to about Rs. 8,000 crore from Rs. 4,100 crore. The move also puts Bajaj Finance in the same bracket of Housing Development Finance Corporation in terms of minimum deposits.
Speaking to The Economic Times, Sachin Sikka, the company’s business head of Fixed Deposits, said: “We are excited to reduce the minimum investment size as an effort to exploit the opportunity as a retail deposit player.” He also added, “Our new offering will allow small depositors to earn higher returns through traditional and “triple A rated” savings product.”
What is on offer?
Bajaj Finance already offers a higher Fixed Deposit Interest Rate as compared to leading banks. Bajaj Finance offers 7.8% interest on a one-year deposit as compared to 6.9% interest rate from State Bank of India on a similar maturity.
Senior citizens would get an additional 0.25% for deposits up to Rs 1 crore.
Bajaj Finance offers a maximum annual cumulative interest of 8.05% on its fixed deposits of a tenure of 36-60 months. This is higher than the average deposit rates available today.
The new minimum cap of Rs. 25,000 has come into effect from 3rd April, 2017.
The news has been making rounds in the media and was covered by Economic Times. Click here to read the full article.