If you are a salaried person or newly employed, you would love to invest in the Systematic Deposit Plan (SDP) of Bajaj Finance. You will enjoy the benefits of fixed deposits in this scheme. SDP interest rate is higher as compared to bank fixed deposits. The biggest benefit of SDP is that you can withdraw money in parts. Here are the features of SDP that allure investors.
Features and Benefits of Systematic Deposit Plan
1. Flexible Tenor and Number of Monthly Deposits
The scheme is available for 12 to 60 months and you can opt from 6 to 48 monthly deposits as per your choice. Once you fix the tenor, it will apply to all deposits. You will get a fresh FD for each deposit. The scheme comes in two variant –
• Monthly Maturity Scheme
• Single Maturity Scheme
If you choose the Monthly Maturity Scheme, every deposit will have a different maturity date as per your tenor selected. On the other hand, if you choose a Single Maturity Scheme, the maturity date for all your deposits will be the same. So, you have two choices to get maturity proceeds as per your financial goals. There is a common application form for both variants.
2. Convenient Deposits
The first payment will be made through cheque so that depositor’s bank account details get registered with Bajaj Finance. After the first deposit, subsequent deposits can be made by NACH mandate.
3. Disciplined Investing
You have three options for the day to make deposits – the 3rd, 7th or 12th of every month. You can fix any of these dates to make deposits as per your salary crediting day. Thus, it helps you to make disciplined investments that too as per your convenience.
As you know, with every deposit in case of monthly maturity scheme, you will get a fresh FD that will provide the benefit of maturity proceeds at different dates. Whenever you need money, it allows you to withdraw partially, unlike fixed deposits where your whole amount of investment is affected due to premature withdrawal. After 3 months from a deposit date, you can withdraw it.
5. Higher Interest
With a monthly maturity scheme, you can withdraw FD partially because every deposit you make will proceed with different maturity dates and it won’t let your funds be affected as a whole. Hence, you will get higher interest rates even after premature withdrawal. At present, fixed deposit India rates lie between 4-6%. With SDP, your funds will provide attractive returns up to 6.85%.
6. Frequency of Interest Payouts
You have the choices to receive interest pay-outs. You can choose for cumulative interest or choose from monthly, quarterly, half-yearly, annually, according to your requirements.
7. Low Deposit Amount
You can start investing in a Systematic Deposit Plan with as low as Rs. 5,000 monthly.
8. Loan Against SDP
The additional alluring reason is that you can avail loan against each deposit. In case you do not want to withdraw your money from SDP, you can apply for a loan.
9. High Stability and Safety
Just like other financial products of Bajaj Finance, Systematic Deposit Plan is also a safe deposit option. Bajaj Finance has earned the high credit ratings from national and international credit agencies i.e. CRISIL and ICRA. Depositors will get guaranteed returns at the lowest risk.
Investors who want safety and returns just like fixed deposits without depositing a lump sum amount, Systematic Deposit Plan is a great solution for them. An FD requires an up-front lump sum deposit and it may not be possible for every individual. Side-stepping this issue, go ahead with SDP and enjoy the benefits of an FD.