Bajaj Finance Ltd. is one of the leading non-banking financial companies (NBFCs) in India, offering a diverse range of financial products and services, including fixed deposits (FDs). FDs are investment instruments that offer investors attractive interest rates and the security of capital protection. Bajaj Finance’s FDs are popular among investors, thanks to the high FD rates, flexible tenure options, and easy online application process. The company has recently announced that its digital FDs have been assigned the highest credit rating of AAA/Stable by CRISIL, one of India’s premier credit rating agencies. In this article, we will discuss the impact of this development on Bajaj Finance’s digital FDs and how it can benefit investors.
Features and Benefits of Bajaj Finance Fixed Deposit
1. High Interest Rates
Bajaj Finance provides attractive interest rates on FD of up to 8.85% p.a. ensuring that investors receive substantial returns on their investments. This feature makes their FDs a lucrative option for wealth accumulation.
2. AAA Ratings
Bajaj Finance FDs are AAA rated from the financial agencies like CRISIL and ICRA. This factor boosts confidence in investors regarding the safety and reliability of their investments, assuring them of timely and guaranteed returns.
3. Flexible Tenures
Acknowledging the varied financial requirements of investors, Bajaj Finance offers FD with flexible tenures of 12-60 months. Whether individuals seek short-term returns or strategizing for long-term financial aspirations, Bajaj Finance provides diverse tenures to align with different financial objectives.
4. Senior Citizen Benefits
Senior citizens enjoy an additional rate benefit of up to 0.25% p.a. over regular FD (over and above base rate). The higher interest earned on the FD can help senior citizens maintain a steady cash flow and provide them with financial security.
5. Multiple Interest Payment Options
Bajaj Finance offers investors the option to choose between cumulative and non-cumulative FD. In cumulative FD, the interest earned is reinvested along with the principal amount, and the maturity amount is paid at the end of the tenure, thus helping in higher returns.
In non-cumulative FD, the interest earned is paid out at regular intervals such as monthly, quarterly, half-yearly, or yearly, based on the investor’s preference. homes or offices.
Bajaj Finserv App
Bajaj Finance has further enhanced the user experience of its digital FDs by offering a mobile app the Bajaj Finserv app. The app allows investors to invest in FDs, view their investment portfolio, and manage their accounts from their smartphones. The app is available for download on both iOS and Android platforms.
The Impact of Bajaj Finance’s Highest Credit Rating on Its Digital FDs
Bajaj Finance’s highest credit rating for its digital FDs is a significant milestone for the company, as it confirms the strength and stability of its financial position. CRISIL’s AAA/Stable rating indicates that Bajaj Finance’s digital FDs have the highest degree of safety regarding timely payment of interest and principal. The rating is based on various parameters, such as the company’s financial performance, management quality, industry and competitive position, and regulatory compliance.
The highest credit rating is likely to have a positive impact on Bajaj Finance’s digital FDs for several reasons. Firstly, it enhances investors’ confidence in the company’s financial stability and reduces the perceived risk of default. As a result, investors may be more willing to invest larger sums in the company’s digital FDs, which can boost Bajaj Finance’s deposit base and improve its liquidity position.
Secondly, the highest credit rating may help Bajaj Finance attract new customers and retain existing ones. Customers are likely to be attracted to a company that has a strong credit rating, as it provides assurance that their investments are safe and secure. Additionally, the rating can help Bajaj Finance differentiate itself from its competitors and establish itself as a trusted brand in the market.
Lastly, the highest credit rating can have a positive impact on Bajaj Finance’s borrowing costs. A higher credit rating generally leads to lower borrowing costs, as lenders perceive the company as less risky and are willing to lend at lower interest rates. Bajaj Finance can pass on these savings to its customers in the form of higher FD rates or lower loan rates.
How to invest in Bajaj Finance Digital FD?
Investing in Bajaj Finance Digital FD is a simple process. Follow these simple steps:
- Visit the Bajaj Finserv app or website
- Navigate to the ‘Investments’ section and click on ‘Fixed Deposit’
- Click on ‘Open FD’ at the top of the page to open the online application form
- Enter your 10-digit mobile number and verify the OTP sent to your phone
- Fill in the investment amount, choose the investment tenure and the payout frequency. Enter your PAN and date of birth
- Complete your KYC: If you are an existing customer, confirm the details available with us, or edit to make any changes. For new customers, complete your KYC using Aadhaar Card
- A declaration will be displayed. Please read it carefully and agree to the terms and conditions. Enter your bank details and proceed to pay
- Complete your investment using Net Banking/ UPI or NEFT/ RTGS
In conclusion, Bajaj Finance’s highest credit rating for its digital FDs is a significant development that is likely to enhance the company’s reputation, customer base, and financial strength. Investors can benefit from this development by investing in Bajaj Finance’s digital FDs, which offer competitive FD rates, flexible tenure options, and online account management. Additionally, investors can download the Bajaj Finserv app to avail of a convenient and hassle-free experience.
