MIS Scheme – Fixed Deposit Monthly Income Scheme

“Never depend on a single income. Instead, invest in creating a second source.” 

Nowadays, more and more investors are considering a monthly income scheme as their investment option. When customers invest in a fixed deposit, they get an interest rate on the deposited money. As per the reports, the highest interest rate that one can get from a bank fixed deposit is nearly 6.25%. Therefore, when senior citizens opt for a monthly income scheme, they get a chance to earn more interest. If you’re looking to invest your money in a fixed deposit monthly income scheme, all you need to do is read this complete guide.

What Is MIS Scheme Or the Monthly Income Scheme?

If you’re a risk-averse investor, opting for a fixed deposit monthly income scheme is best. Investing in a fixed deposit means you get a small amount as a return on the deposit based on the money you keep in the fixed deposit. The added advantage of the fixed deposit MIS is that it is liquid, i.e., investors can withdraw their money anytime he wishes to. The cost for withdrawing is around 1% of the invested amount. Furthermore, when an investor plans to invest their money in an MIS scheme, they don’t have to pay any account management or account opening cost. Thus, it makes the scheme a cost-effective option for investors. 

Key Features Of Fixed Deposit Monthly Income Scheme

Thanks to its secure nature, more and more investors are looking to leverage the benefits of a fixed deposit monthly income scheme. Below is the list of main features of the MIS scheme you need to know before investing. Check out!

• There is no maximum deposit amount in the bank MIS fixed deposit scheme. 
• Many banks offer long period schemes like ten years. Investors investing in the long-term scheme have the chance of gaining more interest every month. 
• FD MIS is more liquid and safe compared to other monthly schemes. One can withdraw money anytime by paying a small withdrawal cost. 
• Investors don’t have to pay processing fees when choosing the MIS FD scheme. 
• Compared to the normal FD, the monthly income scheme offers high earnings to the investor. 
• Regardless of how the market fluctuates, investors can get monthly deposit returns.

Key Benefits Of Fixed Deposit Monthly Income Scheme

Every investor looks for the benefits before choosing any investment. The same goes for fixed deposit monthly income schemes in banks. Here is the list of major benefits of investing money in the scheme.

• Easy Withdrawal – Investors get a chance to withdraw money easily from the FD MIS due to its highly liquid nature. 
• Nomination – Most banks, if not all, offer nomination features in the FD MIS scheme. Any person can become a nominee of the investor and withdraw money during the absence of a depositor. 
• Business Loan Facility – One of the best benefits of the MIS scheme is that the investors can secure business loans against the deposited money. Banks offer easy loans for businesses if the person has deposited money. 
• Monthly Income – Regardless of what is happening in the market, the investor can rest assured that he will get monthly payouts based on the fixed deposit. 
• Zero Processing Fees – Investors don’t have to pay any account processing fee in the FD MIS scheme investment case. Thus, it is considered to be one of the most pocket-friendly solutions out there.

Interest Rate Of FD MIS Scheme In Indian Banks

To help you make the final investment decision, here is the list of MIS interest rates offered by different banks in India. 

Bank	Tenure	Interest Rate	Interest Rate (Senior Citizen)
HDFC Bank FD	7 days to 10 years	2.5% – 5.5%	3.00% – 6.25%
SBI Bank FD	7 days to 10 years	2.9% – 5.4%	3.4% – 6.2%
Axis Bank FD	7 days to 10 years	2.5% – 5.75%	2.5% – 6.25%
Kotak Bank FD	7 days to 10 years	2.5% – 5.3%	3% – 5.8%
IDBI Bank FD	7 days to 10 years	2.7% – 5.4%	3.20% 5.75%
IDFC Bank FD	7 days to 10 years	2.75% – 5.75%	3.25% – 6.25%
Punjab National Bank FD	7 days to 10 years	2.9% – 5.25%	3.40% – 5.75%

*The FD interest rate is subject to change; it’s better to check out the official website of the bank before investing*

Final Thoughts 

Before investing in any investment option like a monthly income scheme in banks or applying for a business loan, it’s vital to analyse its benefits and return on investment. If you’re planning to invest in a fixed deposit or apply for a business loan or Msme loan, all you need to do is visit the official website of FLEXILOANS for the best business loan interest rates. We offer MSME loans to help businesses grow in the competitive market. Get in touch to know more about how you can apply for a small business loan with FLEXILOANS. 

FAQs

1. Which is the best monthly investment option in the market? 

A fixed deposit monthly income scheme in banks is one of the best investment options available in the market as it comes with an easy money withdrawal facility. 

2. What is the difference between a recurring deposit account and a monthly interest FD scheme? 

In monthly interest FD, a lump sum of money is deposited at once, whereas a recurring deposit account involves depositing money in various installments. 

3. What is the monthly income from the MIS scheme? 

The interest earned based on the amount deposited is the monthly income one can generate from the MIS scheme.

4. What are the eligibility criteria for FD monthly income scheme? 

• Must be a legal citizen of India or another country 
• Must be 18 years of age to open their account 
• Minor can open a joint account for MIS with an adult 

5. What are the documents required for a monthly income scheme? 

• Application form filled 
• Two passport-sized pictures 
• Identity proof such as PAN card, Aadhar card, Driving licence, etc 
• Address proof

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