The Reserve Bank of India (RBI) on Tuesday cut repo rates by 0.50 per cent. Repo rates are rates at which the country's central bank lends money to commercial banks in the country.

We have highlighted three deposits ideas that could be good bet for investors from a long term perspective. These include company deposits as well as bank deposits.

Ratnakar Bank

Ratnakar Bank is soon set to go public with an IPO. The bank is offering interest rates that are pretty attractive when compared to other private and commercial banks. If one does not find a branch of Ratnakar Bank in the viscinity one can also open an account online.

Deposit interest rates of Ratnakar Bank

At the moment there are very few banks that can match these interest rates. At the most one can get higher rates at some of the cooperative banks in the country. It is highly likely that the bank may revise its rates given the RBI interest rate cut. So, it makes sense to invest in these deposits now.

KTDFC Fixed Deposits

The deposits of Kerala Road Transport Finance Corporation are not rated by agencies, but they are very safe as amounts up to Rs 2000 crores is guaranteed by the government of Kerala.

Take a look at the interest rates on the KTDFC deposits, which is by far the best in the industry and comes with great safety.

Company deposits are relatively less safer as compared to bank deposits. However, KTDFC being a government of Kerala undertaking, the chances of a default are almost negligible.

Bajaj Finance Fixed Deposits

Bajaj Finance fixed deposits have the highest rating from CRISIL and ICRA. The deposits offer interest rates that are much better than banks.

Conclusion

It is important to remember that fixed deposits are not free from income tax and are taxable. Hence, your post tax yields could drop when compared to the above.

Also, there is a possibility that interest rates in the economy could decline further. Hence, it is advisable to invest in deposits for the long term, typically at least three years. Investors can make good money as they could benefit from compounding interest.

It is highly possible that interest rates may fall by another 25-50 basis points in the next few months. Therefore, stay locked in deposits for the longer term.

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