For Quick Alerts
For Daily Alerts

3 Company Fixed Deposits That Offer More Than 9% Interest


Interest rates in the economy are falling and one more interest rate cut by the Reserve Bank of India (RBI) is expected next month.

A host of banks have cut interest on deposit rates, which are now nearing just about 8 per cent. Many individuals who depend on interest income for sustenance will now have to look outside of the traditional bank deposits in order to boost returns.

3 Company Fixed Deposits That Offer More Than 9% Interest
Take a look at three company fixed deposits that can still offer you good returns in a falling interest rate regime.

Also read how to save TDS on fixed deposits

Mahindra Finance

Mahindra Finance Fixed Deposits are rated FAAA rating, which indicates a very high level of safety. This makes the deposits extremely secure considering the fact that company fixed deposits are not secure deposits.

Mahindra Finance is a part of the Mahindra Group and hence can be considered as very safe for investors to place money.

As can be seen from the table below the yields on the deposits work out to as high as 9.68 per cent, clearly beating bank interest rates.

Period Interest Rate Yield
12 9.25% 9.00%
24 9.25% 9.53%
36 9.25% 9.68%

Bajaj Finserv

The rates of Bajaj Finserv is slightly lower than KTDFC and Mahindra Finance. However, the company like Mahindra also has a very high rating. The deposits can be considered as relatively secure.

Period Interest Rate Yield
12 9.10% 9.10%
24 9.25% 9.41%
36 9.25% 9.68%


Kerala Transport Development Finance Corporation (KTDFC) is a government of Kerala owned enterprise. The fixed deposits come with an interest rate of up to 10 per cent. This is phenomenal considering that interest rates that are presently available on bank deposits.

Period Interest Rate (below Rs 25 lakhs) Above Rs 25 Lakhs
1 Year 9.75% 10.00%
2 Year 9.75% 10.00%
3 Year 9.75%


Rationale for investing

Interest rates in the economy are beginning to fall and bank deposit interest rates have dipped from levels of 9.5 per cent to the current levels of just about 8 per cent.


There is every reason to believe that interest rates are headed lower. It is therefore advised to lock-in money in some of the company deposits as they offer very good interest rates. If you place money in three year deposits you may not have to worry about falling interest rates. The deposits mentioned above are pretty secure and the chances of a default are also minimal.

Read more about: rbi ktdfc bajaj finser
Story first published: Thursday, August 20, 2015, 8:47 [IST]
Company Search
Get Instant News Updates
Notification Settings X
Time Settings
Clear Notification X
Do you want to clear all the notifications from your inbox?
Settings X
We use cookies to ensure that we give you the best experience on our website. This includes cookies from third party social media websites and ad networks. Such third party cookies may track your use on Goodreturns sites for better rendering. Our partners use cookies to ensure we show you advertising that is relevant to you. If you continue without changing your settings, we'll assume that you are happy to receive all cookies on Goodreturns website. However, you can change your cookie settings at any time. Learn more