An investment is an asset or item purchased to earn money or increase in value. The term “appreciation” refers to an asset’s value increasing over time. When a person buys something as an investment, the goal is not to consume it but to use it to build wealth in the future like post office fd.

For example, an investor may buy a monetary item now with the expectation that it will generate income in the future or be sold for a profit later.

What is post office FD?

The Department of Posts, Ministry of Communications, of the Government of India offers fixed deposit accounts with excellent interest rates and terms ranging from one year to five years. The interest is paid annually, with a minimum deposit of Rs.1,000 and no upper limi and you will get good post office FD interest rate 2022.

Features of post office FD

  • An account can be transferred from one post office to another anywhere in the country.
  • Any post office in the country can open an unlimited number of accounts.
  • A single account can become a joint account, and vice versa.
  • Nomination is possible both at the time of account opening and later.
  • Check, or cash can be used to open an account.
  • The minimum amount required is Rs.1,000.
  • There is no maximum deposit amount.
  • After reaching the majority, a minor’s account must be converted.
  • Interest is due once a year.
  • The holder’s savings account receives interest.
Deposit Tenure Post Office FD rates (p.a.)
One year 5.50%
Two years 5.50%
Three years 5.50%
Five years 6.70%


What is Bajaj Finance FD?

A low-risk financial instrument investment option offered by Bajaj Finance provides a high-interest rate of up to 7.45% p.a. It is one of the highly-rated investments with an FAAA rating from CRISIL and an MAAA rating from ICRA. It proves that your capital will remain safe with the Bajaj Finance FD. Apart from the high credit ratings, the Bajaj Finance FD is insured for up to ₹1 lakh.

Features of Bajaj Finance FD

The features of Bajaj Finance FD are: 

  • The minimum deposit is Rs 25,000.
  • Duration: 12 to 60 months
  • Senior citizen FD depositors receive an additional 0.25 per cent interest rate.
  • Interest payments are due on:

Deposits that are not cumulative: Last day of the month for interest payments

Interest is paid every three months on March 31st, June, September, and December.

Half-yearly interest payments are due on March 31st and September 30th.

of annual interest: March 31st

In the event of cumulative deposits, the deposit’s maturity date.

  • After three months from the date of deposit, a ‘loan against the deposit’ facility is available.
  • The loan amount cannot be more than 75% of the deposit amount.
Tenor in months Minimum Deposit Amount (in Rs.) Cumulative
Interest Rate (% p.a.)
Non-Cumulative Interest Rates (% p.a.)
Monthly Quarterly Half-Yearly Annual
12 – 23 15,000 5.75 5.60 5.63 5.67 5.75
24 – 35 6.40 6.22 6.25 6.30 6.40
36 – 60 7.00 6.79 6.82 6.88 7.00


Comparing Post office FD with Bajaj Finance FD

In comparing the two FDs, here are the details we can see: 

Post Office FD Bajaj Finance FD
Eligibility A single adult

For joint account, maximum of three adults 

Minors above ten years of age

A guardian on behalf of an individual who is a minor or a person of unsound mind

Individuals above 18 years of age



Interest Rate Up to 6.75% p.a. Up to 7.45% p.a.
Pre-withdrawal Yes Yes
Tax Saving Yes No
Minimum Deposit  Rs. 1,000 Rs. 15,000


While both post office FD and Bajaj Finance FD are great investment options, you can choose which one you want to put your money is based on the above giving criteria. Compare fixed deposit rates across different tenures in the same bank and multiple banks to get the best-fixed deposit rates. Make sure it’s neither too short nor too long.


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