As a disciplined investor, one of the first things you should do is make a systematic investment or savings plan. You can have an approximate timeline for each of your financial goals and start investing in a lucrative and stable monthly saving scheme. Choosing the right plan is the first step. A commonly used steady plan is the fixed deposit. Bank deposits are currently offering 6 – 7.75% for the longest tenor. However, if you look a bit further, fixed deposits offered by NBFCs offer 1-2% higher interest rates as compared to bank FDs.
Systematic Deposit Plan (SDP)
Among the leading NBFCs, Bajaj Finance offers one of the best rates along with one-of-its-kind monthly saving scheme – Systematic Deposit Plan (SDP). Under this monthly saving scheme, you can invest in a series of monthly deposits starting from Rs. 5000. You can deposit during your pre-determined tenor ranging from 12 to 60 months by choosing the number of deposits from 6 to 48. So even if you do not have the surplus to deposit for a few months during the tenor, you can easily skip a deposit as there are no penalty charges.
Each deposit works like a new FD and the current prevailing interest rate is applicable to it. It gets compounded for the entire tenor and matures per that interest rate. Thus, each SDP has an in-built laddering (series of consecutive payments) which will allow you sufficient income for a future goal.
Making the Best Use of the SDP
An SDP requires you to make deposits with a minimum of Rs. 5,000. You can plan your future financial goals based on the maturity amounts and also make further deposits. To know the maturity amounts of your investment, you can use the Systematic Deposit Calculator available on Bajaj Finserv website.
You can utilise the calculator in the following ways –
- Choose the category of customer you fall into – New, Existing, Senior Citizen, Bajaj Group Employee.
- The minimum amount needs to be Rs. 5,000.
- The investment tenor can be chosen from 12 to 60 months.
- The number of deposits can be chosen between 6 to 48.
You will get an approximate maturity amount nearest to 4 bps variation.
This output from Systematic Deposit Calculator allows you to know the exact amount you can expect after the maturity period. Thus, with a maximum period of 60 months, you can plan your finances by creating different monthly savings plans with flexibility.
You can use the Systematic Deposit Calculator to know how much more investment and deposits it will require for you to reach your required financial goal.
Ease of Investment
You can make the payment for the SDP by giving a NACH mandate and the matured amounts will also get credited to your account. Premature withdrawal is also allowed provided the FD has completed three months.
Stability of Returns
The way to choose the best company FD is by looking at the stability ratings generally given by leading credit rating agencies. With Bajaj Finance SDP, you are assured of the highest stability ratings with CRISIL’s FAAA/Stable rating and ICRA’s MAAA/stable rating.