MPARISION OF FIXED DEPOSIT PRODUCT

PRESENTED BY-
SACHIN SHARMA
INDRA BHUSHAN MISHRA
AKANKSHA TRIVADI
ANKIT TIWARI
NEHA SAXENA
 FIXED DEPOSIT

The account which is opened for a particular fixed

period (time) by depositing particular amount
(money) is known as Fixed (Term) Deposit
Account.

The term 'fixed deposit' means that the deposit

is fixed and repayable only
after a specific
period is over.
Fixed Deposit Example:

For example, a Fixed Deposit will often be used by

individuals, businesses and financial institutions
around the world as a means of storing their liquid
funds for a fixed period of time for future use. In the
retail market, Fixed Deposits are relatively safe
investments when provided by insured financial
institutions such as banks, savings and loan
corporations and credit unions that are duly
regulated within the country in which they operate.
Also, while the term Fixed Deposit is in common
usage in India and some other countries, Fixed
Deposits are also known as term deposits in
countries like Australia, Canada and New Zealand,
as time deposits in the United States and as bonds
in Great Britain.
Features of Fixed Deposit Account
The main features of fixed deposit account are as follows:-

The main purpose of fixed deposit account is to enable the individuals to earn a
higher rate of interest on their surplus funds (extra money).

The amount can be deposited only once. For further such deposits, separate
accounts need to be opened.
The period of fixed deposits range between 7 days to 10 years.

A high interest rate is paid on fixed deposits. The rate of interest may vary as per
amount, period and from bank to bank.

Withdrawals are not allowed. However, in case of emergency, banks allow to close the
fixed account prior to maturity date. In such cases, the bank deducts 1% (deduction
percentage many vary) from the interest payable as on that date.

The depositor is given a fixed deposit receipt, which depositor has to produce at the
time of maturity. The deposit can be renewed for a further period.
Advantages of Fixed Deposit Account

Fixed deposit encourages savings habit for a longer

period of time.
Fixed deposit account enables the depositor to earn
a high interest rate.
The depositor can get loan facility from the bank.

On maturity the amount can be used to make

purchases of assets.
The bank can get the funds for a longer period of
time.

The bank can lend such funds for short term loans
to businessmen.
Fixed deposits indirectly boost economic
development of the country.
The bank can also invest such funds in profitable
Benefits of Fixed Deposits
Increase your interest earnings

You decide how much you want to invest

Know that your money is safe with us

Enjoy more flexibility at maturity

Regular Income

Choice of two investment plans

MAIN POINTS-:

The minimum amount required for opening a FD

account is Rs.10,000

Interest is taxable and Tax is deducted at source, from

the interest on Fixed Deposits, as applicable, as per the
Income Tax Act, 1961.

You can withdraw money from your Fixed Deposit

Account in multiples of Rs 1,000

FD can be closed before the original term of the FD

Auto renewal facilities available

Nomination facilites available on FD

Loan can be granted upto 85% to 90%.

ICICI Bank is India's second-largest
bank .In 2002 ICICI was merged with
ICICI Bank.

REGISTERED OFFICE: Vadodara

CORPORATE OFFICE: Mumbai

BRANCHES-2532

ATMs- 6301
Founded as 'Canara Bank Hindu Permanent Fund'
in 1906, by late Sri. Ammembal Subba Rao Pai, a
philanthropist, this small seed blossomed into a
limited company as 'Canara Bank Ltd.' in 1910
and became Canara Bank in 1969 after
nationalization.

HEAD OFFICE: Bangalore

BRANCHES-3253

ATMs-2216
Axis Bank was the first of the new private banks to
have begun operations in 1994, after the
Government of India allowed new private banks to
be established.

CENTRAL OFFICE- Mumbai

REGISTERED OFFICE- Ahmedabad

BRANCHES 1281

ATMs - 6270
Kotak Mahindra Finance Limited in 1985, it has been
a steady and confident journey leading to growth
and success.

REGISTERED OFFICE- MUMBAI

BRANCHES-370

ATMs-1400
Dhanlaxmi Bank Ltd. was incorporated in 1927 at
Trissur, Kerala by a group of ambitious and
enterprising entrepreneurs.

HEAD OFFICE- KERALA

BRANCHES-275

ATM-460
CALCULATION OF INTEREST ON F.D.-

1- Simple Interest
2- Compound Interest

1- Simple Interest- It is determined by

multiplying the principal
amount deposited by the
depositor with the
interest is applicable(per
period) and the time
periods for which the
amount is deposited.

2- Compound Interest- It is different from the

simple interest .
In a principal amount
Example-
Suppose you deposit Rs. 1000 in a bank
for a period
of two years at 9% per annum.
COMPARISION OF
FIXED DEPOSIT
INTEREST RATES
Domestic Deposits Below Rs.15 Lacs
Rate of Interest (% p.a.)w.e.f. May
2011
General
Maturity ICICI AXIS CANARA MAHIND DHANLAX-MI
Period BANK BANK BANK RA BANK
KOTAK
BANK
7 to 14 days 3.75 No Quote 4.00 No Quote 3.50
15 to 29 days 4.00 2.50 4.50 4.75 5.00
30 to 45 days 5.00 3.00 4.50 5.25 5.00
46 to 60 days 5.75 3.50 5.50 6.00 6.25
61 to 90 days 6.25 4.00 5.50 6.00 6.25
91 to 120 7.00 6.25 7.00 7.00 7.00
days
121 to 184 7.00 6.75 7.00 7.00 7.00
days
185 to 189 7.50 7.75 8.00 8.00 8.50
days
190 days 7.75 7.75 8.00 8.00 8.50
191 to 210 7.50 7.75 8.00 8.00 8.50
Domestic Deposits Below Rs.15 Lacs
Rate of Interest (% p.a.)w.e.f. May
2011
General
Maturity ICICI AXIS CANARA MAHIND DHANLAX-MI
Period BANK BANK BANK RA BANK
KOTAK
BANK
270 to 289 7.50 8.50 8.00 8.50 8.50
days
290 days 7.75 8.50 8.00 8.50 8.50
291 to lees 7.50 8.50 8.00 8.50 8.50
than 1 year
1 year to 389 8.25 9.25 9.10 9.00 9.00
days
390 days 8.50 9.25 9.10 9.40 9.00
391 to 589 8.25 9.00 9.25 9.00 9.50
days
590 days 9.25 9.00 9.10 9.00 9.00
591 to less 8.25 9.00 9.10 9.00 9.00
than 2 year
Domestic Deposits Below Rs.15 Lacs
Rate of Interest (% p.a.)w.e.f. May
2011
General
Maturity ICICI AXIS CANARA MAHIND DHANLAX-MI
Period BANK BANK BANK RA BANK
KOTAK
BANK
791 to 989 8.50 8.50 9.00 9.40 8.75
days
990 days 8.75 8.50 9.00 9.40 8.75
991 to less 8.75 8.50 9.00 9.40 8.75
than 3 year
3 year to less 8.75 8.50 8.75 9.25 8.75
than 8 year
8 year up to 8.75 8.50 9.00 9.25 8.25
10 year
* Senior Citizens are eligible for an additional interest
rate of 0.50%
omestic Deposits of Rs.15 Lacs to less than Rs. 1 Crore
Rate of Interest (% p.a.)w.e.f. May
2011
General
Maturity ICICI AXIS CANARA MAHIND DHANLAX-MI
Period BANK BANK BANK RA BANK
KOTAK
BANK
7 to 14 days 3.75 2.00 4.00 4.00 3.50
15 to 29 days 4.00 2.50 4.50 5.00 5.00
30 to 45 days 5.00 3.00 4.50 5.50 5.00
46 to 60 days 5.75 3.50 5.50 6.25 6.25
61 to 90 days 6.25 4.00 5.50 6.25 6.25
91 to 120 7.00 6.25 7.00 7.50 7.00
days
121 to 184 7.00 6.75 7.00 7.50 7.00
days
185 to 189 7.50 7.75 8.00 8.25 8.50
days
190 days 7.75 7.75 8.00 8.25 8.50
omestic Deposits of Rs.15 Lacs to less than Rs. 1 Crore
Rate of Interest (% p.a.)w.e.f. May
2011
General
Maturity ICICI AXIS CANARA MAHIND DHANLAX-MI
Period BANK BANK BANK RA BANK
KOTAK
BANK
270 to 289 7.50 8.50 8.00 8.75 8.50
days
290 days 7.75 8.50 8.00 8.75 8.50
291 to lees 7.50 8.50 8.00 8.75 8.50
than 1 year
1 year to 389 8.25 9.25 9.10 9.25 9.00
days
390 days 8.50 9.25 9.10 9.60 9.00
391 to 589 8.25 9.00 9.25 9.25 9.60
days
590 days 9.25 9.00 9.10 9.25 9.00
591 to less 8.25 9.00 9.10 9.25 9.00
than 2 year
omestic Deposits of Rs.15 Lacs to less than Rs. 1 Crore
Rate of Interest (% p.a.)w.e.f. May
2011
General
Maturity ICICI AXIS CANARA MAHIND DHANLAX-MI
Period BANK BANK BANK RA BANK
KOTAK
BANK
791 to 989 8.50 8.50 9.00 9.50 8.75
days
990 days 9.25 8.50 9.00 9.50 8.75
991 to less 8.50 8.50 9.00 9.50 8.75
than 3 year
3 year to less 8.75 8.50 8.75 9.25 8.75
than 8 year
8 year up to 8.75 8.50 9.00 9.25 On day to
10 year day basis

* Senior Citizens are eligible for an additional interest rate of

0.50%
Premature Policy

CANARA BANK - The bank imposes a penalty of

1.00% for
premature closure/part withdrawal
of
term deposit.

DHANLAXMI BANK- Penalty charged for term deposit

premature
closed is 1.00%.

MAHINDRA KOTAK- No Penalty

AXIS BANK - The bank charges a premature

withdrawal penalty
of 1.00%.
Conclusion-

Fixed Deposit encourage saving

habit.

Mahindra Kotak is giving the

highest interest
rate on Fixed Deposit.

Mahindra Kotak giving no

penalty charges on
premature policy.

It is beneficial for Economic

THANK YOU