A fixed deposit double scheme is an investment scheme offered by banks and financial institutions. It allows investors to deposit a particular sum for a fixed period. Unlike regular Fixed Deposits, where one can choose the tenure, FD double deposit schemes generally come with a pre-defined tenure that can range from a few years to 10 years.
Fixed Deposit Double Scheme offers a fixed interest rate which is higher than the regular FD rates. Here, the interest on the deposited amount is compounded quarterly, which means the interest earned is added to the principal amount, which earns interest in the subsequent periods. This compounding effect helps your money grow faster and work towards doubling your investment.
FD Double Scheme is a popular investment option in India. It provides a safe and secure way to invest money and earn interest on it.
Given below are some of the benefits of fixed deposit double scheme:
In the Fixed Deposit Double Scheme, the maturity amount is double the investment amount. Whereas, in the case of a regular fixed deposit, the maturity amount remains fixed with consistent interest rates.
The table below shows the major differences between regular Fixed Deposits and Fixed Deposit double scheme:
Regular FD vs FD Double Scheme |
||
Key Features |
Regular FD |
FD Double Scheme |
Flexibility |
The account holder is provided the flexibility to select the period of the investment. |
The individual will have to deposit a fixed amount of money for a predetermined tenure. |
Interest Rate |
It has a lower interest rate compared to the FD double scheme. |
It has a higher interest rate as compared to normal FD. |
Interest Payment |
Interest can be paid periodically or at maturity. |
Interest is paid at maturity along with the principal amount. |
Maturity Amount |
Fixed. |
Double the investment amount. |
The Fixed Deposit double scheme has the following eligibility criteria:
Fixed Deposit double scheme is a popular scheme among investors due to its low risk and guaranteed return. Given below is the list of FD Double Schemes available in India: