What Are the Surprising Benefits Of A Fixed Deposit (FD)?

What Are the Surprising  Benefits Of A Fixed Deposit (FD)?

21 December, 2022

For many, a Fixed Deposit is the most secure and popular route of wealth creation. You can choose from different types of fixed deposits, including a five-year tax-saving FDs and enjoy tax benefits under Section 80C of the Income Tax Act.

Fixed Deposits are - attractive - interest-generating instruments that are also risk-free. Market fluctuations do not affect a Fixed Deposit, so you will get an assured return on your deposits by the end of the maturity period.

Fixed Deposits also come with a host of benefits, such as:

  1. Get an overdraft against your Fixed Deposit

    If you are facing a cash crunch, you can simply avail of an overdraft against your FD instead of liquidating it and paying a penalty. The overdraft is up to 90% of your total HDFC Bank Fixed Deposit's value. A minimum FD amount of ₹ 25,000 for a minimum tenure of 6 months 1 day is required to avail an overdraft against FD that you can avail instantly through HDFC Bank NetBanking. Pay back with interest only on the drawn amount, while your Fixed Deposit continues to earn you interest.

  2. Flexible Interest payment option

    Customers can choose the flexible interest payment option depending on their financial plan, i.e., Customers can opt for periodic interest pay outs (monthly/quarterly) to help manage their expenses or select the re-investment deposit option, as it has the potential to generate compound interest.

  3. HDFC Bank SureCover Fixed Deposit

    With the HDFC Bank Sure Cover Fixed Deposit, you can secure your family’s future and fulfil your investment goals.. HDFC Bank Sure Cover FD is a unique corpus creation product that offers the benefits of a Fixed Deposit and the security of a term life insurance cover.

How does it work?

A Life Insurance cover equivalent to the Fixed Deposit principal for the first year will be provided on booking HDFC Bank SureCover FD. Term Life insurance cover is offered only to primary resident applicants in the age group of 18 to 50 years.


  • Age group: Resident Individuals falling in the age group of 18 to < 50 years.

  • Amount - The Fixed deposit amount varies from a minimum of ₹2 lakh and a maximum of ₹10 lakh

  • Tenure: SureCover FD has a flexible tenure of a minimum of 1 year and a maximum of 10 years

  • Interest rates - Earn assured returns, as the interest rates offered are the same as Regular Fixed Deposits 

  • Interest payment - Monthly/quarterly interest pay-out option is available.

Additionally, you can maximise your income with compound interest on reinvestment deposits.

HDFC Bank SureCover Fixed Deposit is an ideal income-generating product that comes loaded with the benefits of both  Fixed Deposits and term life insurance cover. Invest in one today and secure your family’s future.

​​To Book an HDFC Bank SureCover FD, you can visit your nearest HDFC Bank branch today.

Use FD Calculator and Get details of maturity amount and interest earned on deposits.

​​​​​​​*Terms and conditions apply. The information provided in this article is generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances.

Click here to open a Fixed Deposit!

Related Articles
Option For You?
Tax-Saving FD