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A Fixed Deposit involves locking a particular amount of money for a certain time period, say Rs 20000 for 1 year, at a much higher rate of interest than being given on amount in a savings account. The interest on Fixed Deposit varies with the state of economy, being much higher when inflation is high (so that people save more and spend less), sometimes being as high as 10% per annum , to as low as 6% per annum, when economy is going good and inflation is low.
To create a FD, you normally need to have a savings account with that bank. Since interest accrued on a FD is much much higher than that on a savings account, its wise to keep money parked in these instruments.
However one must be sure to balance their needs well so that they do not have to break an FD before maturity to meet their daily requirements. It means that if a FD is broken before its maturity, a penalty is applied, and hence the returns come out to be much lower comparatively. So make sure your needs are well taken care of, before you park the money in fixed deposits.
There are so many popular Banks like HDFC, Axis, ICICI and NBFCs like Bajaj Finserv which offers high interest rate on Fixed Deposit.
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The difference between the balance of a fixed asset account and the related accumulated depreciation account is termed?
Net Fixed Assets is the term used for the difference between the balance of a fixed asset account and the related accumulated depreciation.
What is the meaning of fixed account?
I wasn't sure about this question, so I hope that I changed it to clarify a few things. The original question being meaning of "fix" account, assuming you mean "fixed" account. A fixed account (Fixed Assets) refer to asset accounts that are stable, or "fixed", meaning not easily turned into cash. Fixed assets go under Property, Plant & Equipment (PP&E). These include, Property owned by the company, Plant (buildings, etc), Equipment used in the business, hence the term PP&E.
What are different types of bank accounts?
In India: Savings Account Current Account Fixed Deposits account Recurring Deposits account DEMAT Account etc.
Is equipment a debit or credit balance account?
equipment is a fixed asset.so it's a Debit balance account.
The difference between the balance of a fixed asses account and the related accumulated depreciation account is termed?
Book Value
The difference between the balance of a fixed asset account and the related accumulated depreciation account is termed?
Net Fixed Assets is the term used for the difference between the balance of a fixed asset account and the related accumulated depreciation.
What are the functions of Habib Bank Ltd?
saving account fixed account current account
What is the journal entry for lost of fixed assets?
debit loss of assetcredit fixed asset account
How do you withdraw from a fixed deposit account?
You cannot withdraw from a fixed deposit account without cancelling the note, which will likely incur a cancellation fee...
What are the types of deposits in SBI bank?
State Bank of India offers different types of accounts. They are: a. Savings Account b. Current Account c. Fixed Deposit Account d. Recurring Deposit Account e. Senior Citizen Deposit Account f. Senior Citizen Pension Account g. Etc.
How do you write a letter to bank manager for closing fixed deposit?
To Manager Subject: Closing Fixed deposit account. This is to inform you that, My Fixed deposit will mature on 01/12/2012, Kindly request you to transfer the fixed deposit to my Saving account, details are mention below. Name: Saving bank account: your faithfully *****
Is petty cash a fixed cost?
No, petty cash is a control account not an expenditure account.
What is the meaning of fixed account?
I wasn't sure about this question, so I hope that I changed it to clarify a few things. The original question being meaning of "fix" account, assuming you mean "fixed" account. A fixed account (Fixed Assets) refer to asset accounts that are stable, or "fixed", meaning not easily turned into cash. Fixed assets go under Property, Plant & Equipment (PP&E). These include, Property owned by the company, Plant (buildings, etc), Equipment used in the business, hence the term PP&E.
What are different types of bank accounts?
In India: Savings Account Current Account Fixed Deposits account Recurring Deposits account DEMAT Account etc.
Are Fixed Deposits Bought?
No FD's are not bought. They are types of deposit account which are opened in banks for a fixed period....
How can you close a fixed deposit account?
In order to close a fixed deposit account, one must contact their financial advisor and request the required form to close an account, and upon filling it out, it must be turned into the local teller.
What are thebasic requirements for a fixed deposit account?
The basic requirements for opening a fixed deposit account are: a. Amount to deposit b. Existing relation with bank (You need to hold some sort of account with the bank. Else, you will be asked to open one) c. Source/Proof of legal income If you have these, any bank will be willing to open an fixed deposit account for you.
