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what is the key difference between fd and rd

110015.00 United States Dollar - $
Published date: 2024/07/03
  • Location: Delhi City, Delhi city, Delhi, India
what is the key difference between fd and rd
what is the key difference between fd and rd






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Fixed Deposits (FD) and Recurring Deposits (RD) are popular investment options. FD involves a one-time deposit of a lump sum for a fixed period at a predetermined interest rate, offering guaranteed returns. In contrast, RD allows you to deposit a fixed amount regularly, usually monthly, over a specified tenure, earning interest on the cumulative amount. FD is ideal for those with surplus funds seeking stability, while RD suits individuals preferring disciplined, regular savings. Both options provide safe, low-risk investment avenues, but their key differences lie in deposit frequency and the flexibility of funds management.

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