Fixed Deposit: The State Bank of India (SBI) has slashed its long-term fixed deposit (FD) interest rates by 15 bps and from 10th January 2020, SBI FD interest rates from one year to up to 10 years will fetch 0.15 per cent less and now the highest SBI FD interest rate is 6.10 per cent only. In such a case, those who want to invest in bank fixed deposits, there are other options available for them where they can earn up to 9 per cent or more than that provided they change their investment banker. There are some Non Banking Financial Companies (NBFC) that are still giving higher returns to the bank FD investors. Bajaj Finance, PNB Small Finance, Fincare Small Finance Bank, etc. are some of such options available for the bank FD investors.

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For bank fixed deposit investors who want higher returns on their investment PNB Housing Finance can be an option, they can think of. The NBFC is giving 8 per cent interest on the fixed deposit for the period of 12 months to 35 months, its FD interest rate is 8.10 per cent fixed deposits for the period of 36 months to 59 months. PNB Housing Finance is giving 8.15 per cent returns on fixed deposits for the period of 60 months to 84 months. The tentative yield to the fixed deposits up to 47 months, 59 months, 71 months and  84 months are 8.77 per cent, 9.14 per cent, 9.59 per cent and 10 per cent respectively. If the fixed deposit is for the 10 years, the tentative returns can be up to 10 per cent, which is around 2 per cent higher than the highest yielding debt investment funds.

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Another option among the NBFCs that is giving higher FD interest rates than major banks is Bajaj Finance or Bajaj Finserve. The NBFC is giving 7.60 returns on fixed deposits for the period of 12 months to 23 months, for 24 months to 35 months fixed deposits Bajaj Finserve is giving 7.90 per cent interest per annum while for 36 months to 60 months fixed deposit annual yield is 8.10 per cent.

However, Fincare Small Finance is a few steps ahead of all these NBFC. On long-term fixed deposits, it is giving up to 9 per cent annual returns. Fincare Small Finance NBFC is giving 7 per cent returns on fixed deposits for the period of 181 days to 364 days, it is giving 8 per cent returns on fixed deposits for the period of 12 months to 15 months, the NBFC is giving 8.25 per cent returns on fixed deposits for the period of 15 months one day to 18 months, it gives 8.5 per cent returns on fixed deposits for the period of 18 months one day to 21 months, it is giving 8.75 per cent returns on fixed deposits for the period of 21 months one day to 24 months while for the Fincare Small Finance fixed deposit for the period of 24 months one day to 36 months is 9 per cent. In the case of a senior citizen, Fincare Small Finance is giving 0.50 per cent higher returns on all fixed deposit categories.