Non Senior Citizens Get 8% Interest From This Government Company On Fixed Deposits

The Tamil Nadu Transport Development Finance Corporation, owned by the Government of Tamil Nadu is offering good interest rates of up to 8% for non senior citizens on fixed deposits. In fact, for senior citizens the interest rates can go as high as 8.25%. Being backed by the Government of Tamil Nadu there is some safety on these fixed deposits.

Non senior citizens deposits fixed deposits

Non senior citizens can get as high as 8% interest on the fixed deposits of Tamil Nadu Transport Development Finance Corporation, if they invest under the Money Multiplier Scheme for a period of 5-years. In fact, it is not a bad idea to consider investing for a long period of time as interest rates could fall anytime soon. If you are looking at slightly shorter time frame say of about 3-years, the interest offered on these deposits is about 7.75%. However, if you invest for the short-term and interest rates fall, when renewing your deposits, you would get a lower interest rate. The company has options for both cumulative and non cumulative deposits.

Senior citizens fixed deposits

These deposits offer very attractive interest rates and in fact better than what the Senior Citizen Saving Scheme offers. If senior citizens decide to go for the periodic interest payments, they get as high as 8.25% under the annual payment options. If they opt for the 36-months periodic interest payments, the interest rate offered is 8%. This is a good interest rate that is offered to investors and they can consider the same.

Overall take on interest rates

In the next 1-year, there is a possibility that interest rates could drop. In fact, it would not be a surprise if interest rates start falling by the start of the year itself, as inflation in the economy begins to drop. Simply put, interest rates have now peaked and this would be the best time to invest for a 3-5 year time frame.