Fixed deposits are an investment option that can help you gain from stable returns. Investing in multiple FDs can often help you widen the scope of making money. However, dividing your investment into various FDs is not as simple as it sounds.

It requires you to thoroughly monitor and manage your accounts so as to gain the highest yield. One good way to manage your FD in advance is to use the FD calculator. This can help you view the FD interest rate Read further to know about the various other ways in which you can manage your fixed deposits.

  1. Ladder your FDs

The most common way of managing multiple FDs is to ladder them. This involves taking a lump sum and dividing it between numerous FDs for varied tenors. The logic here is that a single sum of money divided between various FDs yields much more than investing it in a single account.

So, in order to earn more on your fixed deposits. It is good to split your main principal into a mixed bag of cumulative and non-cumulative FDs. This will not only help you gain from varying interest returns and compounding frequencies but will also give you access to matured returns at frequent intervals.

  1. Avoid crossing the Rs.10,000 mark to save tax

According to Section 80C of the Income Tax Act, fixed deposits of up to Rs.1.5 lakh can fetch you tax exemptions. On the other hand, the interest gains exceeding Rs. 10,000 in a single financial year on your investment is eligible for tax deductions.

Hence, when you invest in an FD, calculate your returns in advance using the FD calculator and ensure that you ladder your FDs in such a way that they don’t all mature during the same financial year. This will help you save on excess deductions.

  1. Keep a strict record

When you have multiple FDs, it can often become difficult for you to keep track of all your accounts simultaneously. In such cases, you need to ensure that you monitor your accounts carefully. In order to cut the hassle of manual tracking, set a calendar reminder on your smartphone or via apps so that you know when to check the FD statements for interest gains and tax deductions.

  1. Go for an issuer with online management

Online account management is key to handing your investment stress-free. This is a unique facility that helps you view the details of your fixed deposit online. All you have to do is log in with your allotted user ID and password.

You can then check all your FD-related details such as the FD interest slips, view the statement, and the account balance. All this happens in just a click without having to visit the branch. Also, you have more flexibility as you can access your account from anywhere and at any time.

  1. Keep track of renewal deadlines

Depending on the day you started your FD and the tenor you chose, your FD will have a maturity date. Once it is mature, you will need to claim the amount or renew it. Most issuers have a fixed cut-off time for renewal. Setting your fixed deposit on auto-renewal will help you stay tension-free as then you do not have to constantly remember your maturity and renewal date. Keeping track of renewal deadlines and renewing FDs on time lets you gain from additional interest gains that issuers offer as a reward to existing customers.

These strategies can make the task of managing FDs simple. However, you need to first ensure that you invest in a rewarding fixed deposit. You can do this by opting for a Fixed Deposit with NBFCs This enables you to receive high returns of up to 8.75% and enjoy more stability with high safety rating.

Before you invest, ensure that you check your maturity amount using the FD calculator. Once you do this, you can open Fixed Deposit account in gurgaon online and use your earnings for a range of purposes like financing holidays, repaying loans, paying bills and funding your child’s education.

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Gaurav Mittal
Gaurav Mittal is a Content writer and he loves to write about Finance and Insurance Articles. You can check his blog at https://www.bajajfinserv.in/insurance.