The leading NBFC company has hiked its fixed deposit rates in light of the interest hike scenario and now general investors will be able to fetch as high as 8.75% return for 40 months tenure. The minimum deposit amount under the FD schemes by Mahindra Finance is Rs. 5000 and also investors get a free insurance up to Rs. 1 lakh.
The rate hike has been made effective from August 23, 2018.
The interest rate for deposits up to 12 months have been revised higher by 30 basis points to 8 per cent, while those for 18 months has been increased by 35 basis points to 8.10 per cent, and for deposits up to 24 months, rates have been hiked by 10 basis points to 8.35 per cent, the NBFC said in a statement.
This is the second hike effected by the NBFC company in a year in two months' time.
Further, savvy investors can gain further with a more interest of 0.25% by investing through the online mode. Also, senior citizens are eligible for an additional interest rate of 0.10%.
V. Ravi, Executive Director and Chief Financial Officer, Mahindra Finance said, "Fixed deposits have become the most preferred investment instruments for planning a financially worry-free future. We believe the interest rate environment is likely to remain firm going forward. Mahindra Finance's fixed deposits are specially designed to suit all segments of depositors, providing assured returns with low risk".