How Loans Against Fixed Deposits Offer Lower Interest Rates - Pune

A loan against fixed deposit (FD) allows individuals to borrow funds by using their FD as collateral, offering a secure and cost-effective financing option. Key pointers include:

· Quick Access to Funds: Provides immediate liquidity without breaking the fixed deposit.

· Lower Interest Rates: Typically lower than unsecured loans since the FD serves as security.

· Flexible Repayment Terms: Offers flexible repayment options tailored to your financial situation.

· Minimal Documentation: Simplified application process with minimal paperwork.

· Retention of FD Benefits: Continue earning interest on the FD while using it as collateral.

This loan type is ideal for those needing urgent funds while maintaining their savings intact.