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Fixed Deposits

Fixed Deposits in companies that earn a fixed rate of return over a period of time are called Company Fixed Deposits. Financial institutions and Non-Banking Finance Companies (NBFCs) also accept such deposits. Deposits thus mobilised are governed by the Companies Act under Section 58A.

SALIENT FEATURES

  • Company Fixed Deposits are non transferable that means there is no fear of FD receipt being stolen. In case it falls into wrong hands, it cannot be misused.
  • Premature encashment of deposit is available any time subject to payment of prescribed penalty.
  • Attractive and assured returns
  • Company Fixed Deposits offer comparatively higher returns than banks.

 

 

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