Corporate Fixed Deposits
Corporate Fixed Deposits (CFDs) are investment instruments offered by companies to raise funds from investors. Similar to bank fixed deposits, they provide fixed interest returns over a specified tenure. However, corporate FDs generally offer higher interest rates than traditional bank deposits, depending on the company’s credit rating and financial strength.
How does it help Investors to Create Wealth?
Higher Returns – Attractive interest rates compared to bank FDs.
Regular Income – Fixed periodic interest payouts ensure steady cash flow.
Diversification – Adds a stable, fixed‑income component to an investment portfolio.
Capital Growth – Reinvesting interest or compounding over time enhances wealth creation.
Frequently Asked Questions
Find answers to your common questions about Corporate Fixed Deposits
Corporate Fixed Deposits (CFDs) are investment instruments offered by companies to raise funds. They function like bank fixed deposits but usually provide higher interest rates, depending on the company’s credit rating.
Bank FDs: Issued by banks, generally lower but safer returns.
Corporate FDs: Issued by companies, offer higher returns but carry higher risk.
Attractive interest rates compared to banks.
Flexible tenures and payout options (monthly, quarterly, annually).
Opportunity to diversify into fixed‑income instruments.
Potential for wealth creation through compounding.
Safety depends on the issuing company’s credit rating. AAA‑rated issuers are considered more reliable. Investors should always check ratings before investing.
Investors seeking:
Higher fixed returns than bank deposits.
Regular income through interest payouts.
Diversification in their portfolio.
Generally, they have a fixed lock‑in period. Premature withdrawal may attract penalties, and liquidity is lower compared to bank FDs.
We help clients identify trusted issuers, optimal tenures, and payout structures aligned with their financial goals, ensuring both safety and attractive returns.
|
Tenure
|
Shriram Financial@
|
Bajaj Finance#
|
Mahindra Finance$
|
|---|---|---|---|
|
12 Months
|
6.75%
|
6.60%
|
6.60%
|
|
24 Months
|
7.05%
|
6.85%
|
6.85%
|
|
36 Months
|
7.25%
|
7.40%
|
7.40%
|
|
48 Months
|
7.25%
|
7.40%
|
7.45%
|
|
60 Months
|
7.25%
|
7.40%
|
7.45%
|
The above rates are for the Cumulative Option. You can ask Quote for Monthly/Quarterly/Half-yearly/Yearly Payout.
@Shriram Finance – Senior Citizen 0.50% extra rate. Women 0.05% extra rate. Women Senior Citizen 0.55% extra rate.
#Bajaj Finance – Senior Citizen 0.35% extra rate
$Mahindra Finance – Senior Citizen 0.35% extra rate (for 12 month 0.25% extra rate)
Senior Citizen means person age above 60 at the time of booking of FD.
Please recheck rate while placing FD. As above rate might be be outdated.