For multiplying your savings steadily, you will need to find an instrument that offers good returns. However, only good returns are not sufficient as you would want to choose an investment that provides enough options and features.
SDP i.e. Systematic Deposit Plan is a monthly deposit plan from Bajaj Finance that lets you deposit an amount starting from Rs. 5000 every month. It also allows you to choose flexible tenors ranging from 12 to 60 months for your deposits.Â
The deposit date can be the 3rd, 7th, or 12th of every month and you can make any number of deposits between 6 and 48. It is a good alternative to fixed deposits for those individuals who don’t have a sufficient corpus to invest in FDs. Let’s see how this savings plan of Bajaj Finance enables you to receive the benefits of a fixed deposit in a disciplined manner:
Receive the maturity proceeds at once
The Single Maturity Scheme that is one of the variants of SDP allows you to receive the maturity proceeds of all your deposits at once. In this scheme, only the first deposit is locked-in for the entire tenor and the tenors of the remaining deposits are adjusted so that all the deposits mature simultaneously on a single day.
This option provided by SDP makes it comparable to a fixed deposit plan but you don’t need to deposit a lump sum amount in SDP like you are required to do in FDs.
Flexible options
If you want to lock-in each of your deposits for the same period, you can invest in the Monthly Deposit Scheme of SDP. In this scheme, you need to make monthly deposits but instead of maturing on the same day, your deposits will mature in consecutive months upon tenor completion.
You can select a tenor up to 60 months for your deposits. The interest along with the deposited amount will help you to collect a large corpus or you can also use it to cover some of your immediate expenses.
Each deposit will gather interest throughout the tenor as FDs do. Therefore, you will get the benefit of an FD plan by investing in a disciplined manner that is similar to an RD.
Convenient investment method
An online form is provided through which you can invest in an SDP conveniently. Only the first deposit needs to be made via cheque because your account number needs to be registered. After that, the subsequent deposits will be automatically deducted from your bank account via the NACH mandate.
Other benefits
Each of your deposits will attract interest at the interest rate applicable on the date of deposit irrespective of the SDP variant you choose. Many features that come with fixed deposit plans can also be accessed through an SDP.
For example, you can use the SDP calculator to predict your returns in advance. You can get a loan against every deposit in SDP like you can avail against your FD. Also, the deposits can be withdrawn prematurely if required once they complete 3 months from the deposit date. Moreover, SDP ensures the safety of your deposits as it has also received high credit ratings for being a stable investment option like the fixed deposit schemes of Bajaj Finance.
The Systematic Deposit Plan of Bajaj Finance is a good investment option as it provides flexible investment options and features that are identical to those of fixed deposit plans. Bajaj Finance FD rates (up to 6.85%) are lucrative but if you want to receive the same benefits without depositing a lump sum amount then SDP is the ideal instrument for you. It allows you to invest a small amount starting from Rs. 5000 every month and you can make from 6 to 48 deposits.
You can either choose a single maturity day for all your deposits or you can choose a tenor up to 60 months for all your deposits. The easy withdrawal options, loan against FD feature, and convenient online investment method make it the best investment option for everyone.
