Everything you should know about Systematic Deposit Plan by Bajaj Finance3 min read . Updated: 17 Jan 2020, 04:21 PM IST
When you invest via SDP, each deposit is treated as a new FD that earns interest as per the prevailing rate at the time of booking the FD.
When you just start earning, you may hear or read about the numerous ways to save money or grow your wealth. From options like savings accounts, to investing in fixed deposits, you can choose an option as per your goals to create a solid portfolio. While fixed deposits work best for every investor, setting aside a huge investment amount may not be possible always.
Systematic Deposit Plan by Bajaj Finance is best for such situations. This new offering by Bajaj Finance enables you to get your portfolio going, by enabling you to invest in monthly FDs starting Rs. 5000.
What is an SDP?
An SDP or Systematic Deposit Plan is a feature of a regular FD. When you invest via SDP, each deposit is treated as a new FD that earns interest as per the prevailing rate at the time of booking the FD. Unlike regular FDs, where the lump sum amount matures at a fixed interest rate, here each deposit has its own interest rate as per which you earn returns. This one-of-a-kind feature is offered by Bajaj Finance in addition to high interest rates as well as other benefits.
Before you invest, take the time to learn all about this smart savings tool and how it helps you multiply your wealth, even when you’re on a budget.
Invest easily thanks to a low monthly deposit amount
With Systematic Deposit Plan, you can invest as little as Rs. 5,000 per month. This means that instead of saving for months to be able to invest in an FD, you can just set aside Rs. 5,000 each month. This is useful if you’re a young-earner, first-jobber or simply on a budget as you as you can save in small chunks just like you’d buy a new smartphone or gaming console!
Choose a tenure that best suits your goals
With an SDP, you can choose a flexible tenure as per your financial goals. If you’re looking to build a healthy savings habit, you can choose a longer tenure and allow the money to grow slowly and steadily through the power of compounding. Optionally, for short-term goals such as buying a car, you can invest for a shorter duration. With an SDP from Bajaj Finance, you can choose to invest for a flexible tenure of 12 to 60 months and enjoy a competitive interest rate throughout. You can also decide how many deposits you’d like to make. Depending on your goals, you can choose to make 6–48 deposits.
Take a look at the earnings in store by considering the following table.
You can also use the SDP Calculator to determine the returns and your maturity amount before you invest.
Earn steadily courtesy of the fixed interest rate
A key benefit to investing via an SDP is that it allows you to grow your wealth steadily and safely. While your money will earn returns as per the interest rate at the time you make the deposit, this rate will be fixed through the tenure, ensuring the security of your principal and maturity amount.
Moreover, as Bajaj Finance has the highest credibility ratings from both CRISIL and ICRA, as well as a ‘BBB-‘ rating from S&P Global, you have no reason to worry. You will receive the amount due to you, on time.
Withdraw prematurely in case of emergencies
A key element of choosing an SDP is that it offers liquidity. If you need finance urgently, you can prematurely withdraw a deposit. This ensures convenience in times of emergencies as you can use the money you’ve saved with ease. Moreover, you can get a loan against your FD too. You can access the amount you need and also keep your corpus intact.
Make hassle-free monthly deposits
Making hassle-free deposits is key to growing your wealth consistently. Thankfully, with the Bajaj Finance SDP, you only have to make the first payment by cheque. Subsequent payments will be automatically debited from your bank account once you have signed a NACH mandate.
Now that you know all about this new FD feature, invest in the Bajaj Finance Systematic Deposit Plan. In addition to all the perks mentioned above, Bajaj Finance doesn’t levy any bounce charges on missed monthly payments, making it greatly beneficial for when you are strapped for cash and can’t contribute as much as you normally would. You can even hasten the entire application process and apply for a Bajaj Finance online FD. All you have to do is request a call and wait for a representative to contact you.
Disclaimer: This content is distributed by Bajaj Finserv. No HT Group journalist is involved in the creation of this content.