Comparison of Bajaj Finance FD rates vs Post Office FD rates

A Post Office fixed deposit is a fixed deposit investment issued by the Indian Postal Services. It lets you invest your money for a fixed tenor and interest rate, with a guaranteed interest income at the time of maturity. The higher your tenor, the higher the interest rates offered. Many people choose to invest in this type of FD because of the safety it offers and the attractive Post Office FD rates.

A Post Office fixed deposit is backed by the sovereign guarantee of the government of India. Therefore, people who want a risk-free and guaranteed investment option can opt for a Post Office fixed deposit. Given below is the list of the Post Office FD interest rates.

Post Office FD Rates

A Post Office fixed deposit is available for a tenor of 1, 2, 3, and 5 years. The government of India decides the Post Office FD rates. Currently, the NBFC & Bank FD rates are the same for up to 3 years. For five years, the Post Office FD rates 2021 are higher. The rates are revised by the government every quarter under Small Saving Schemes, depending on the performance of government securities/bills. A Post Office FD with a tenor of 5 years has an interest rate mark up to 0.25% p.a. over the yield of comparable government securities. 

Post Office Fixed Deposit vs Bajaj Finance Fixed Deposit

Bajaj Finance FD is the best fixed deposit in India to earn a guaranteed interest income in a risk-free environment compared to a Post Office fixed deposit. The most important thing to note is that the interest rates offered by Bajaj Finance FD are higher than the Post Office interest rates. You can earn more with Bajaj Finance FD for the same tenor as that of a Post Office FD.

Senior citizens also get an additional 0.25% of interest rate benefits. All of this can be availed by a hassle-free online paperless application process.

How to Invest in Post Office FD?

Features of Post Office Fixed Deposits

1. Your account can be transferred from one Post Office to any other PO within the country

2. You can open any number of accounts in any Post Office within the country

3. You can convert a single account into a joint account and vice versa

4. You can nominate someone while opening the account or any time afterwards, too

5. You can open the account using cash or cheque

6. The minimum deposit amount is Rs. 1,000

7. No maximum limit on the principal amount

8. You must convert a minor’s account after turning 18

9. You can always extend your tenor

10. Interest is paid annually

11. Interest on FD is credited into the holder’s savings account

Now that you know the Post Office fixed deposit interest rates, check out the step-by-step guide to investing in Post Office FD online:

1. Go to the official e-banking portal of Post Office

2. Log in via your registered ID and password

3. Click on ‘Service Request’ under the ‘General Services’ tab

4. Follow the directions provided on the screen and click on ‘New Request’ to invest in Post Office fixed deposit.

Eligibility Criteria for Post Office FD

Here’s who can benefit from high Post Office fixed deposit rates.

1. A single adult

2. A joint account with a maximum of three account holders

3. A minor over the age of 10

4. A guardian can open an FD account on behalf of a minor or a person of unsound mind

Documents Required to Open Post Office FD

You need to submit the below documents to open a Post Office fixed deposit account:

1. Identity proof (Aadhaar card, Voter ID, Passport, PAN card)

2. Address proof (electricity bills, passport, driving address, etc.)

3. Job card issued by NREGA and signed by the State Govt. Officer

4. A letter issued by the National Population Register containing details like name and address

5. Two passport-size photos

While Post Office FD rates are higher than most bank FD schemes, NBFCs like us at Finserv MARKETS offer interests that go up to 7.05% p.a. Bajaj Finance FD provides maximum security, flexible premature withdrawal, auto-renewal feature, online account tracking, and so much more. Invest in Bajaj Finance FD and let your money grow rapidly!