Life seems perfect when you receive your salary on time and can pay bills without struggle. However, you could sometimes land in a terrible situation, like a medical emergency, economic ups and downs, or job uncertainties. How do you continue to pay your bills, then? You should make suitable investments to secure yourself and your loved ones in such circumstances. 

When you plan to invest and seek advice in India, “invest in Fixed Deposit” will be a prompt reply by all. It is a simple investment instrument where you make a one-time investment. Later, all you need to do is sit back and relax. You will earn modest interest returns throughout your investment tenure. 

Fixed Deposit receipt is the most common document you receive on making an FD investment with any leading bank or financial company. It is proof of ownership and highlights your investment’s key details. 

Fixed Deposit Receipt components: 

  • Name and address –You will find your name and address mentioned at the top. If you hold a joint FD, both account holders’ names will be mentioned. 
  • Fixed Deposit Account Number – The bank assigns every investor a unique account number. It helps identify your account for any transaction or activity easily. 
  • FD type – FDs are of two types – non-cumulative and cumulative. You receive your interest earnings periodically with a non-cumulative FD. You receive your interest earnings at maturity with a cumulative FD. You can choose either based on your investment objectives and financial capacity. 
  • Principal amount – You can invest any significant amount in FDs. Every bank has a different minimum investment amount, while there is no maximum investment amount. 
  • Interest rate – Pay attention to the FD interest rates on the form. Aim to obtain higherrates, which translate to better returns. 
  • Tenure – You can invest in a Term Deposit for any tenure between three months to five years.Typically, a longer tenure helps maximise your interest earnings. 
  • Investment and maturity date – The receipt in bold includes your investment and maturity date.
  • Maturity value – FDR states an estimate of your maturity value. You can also view a clear break-up of the principal amount and interest earnings. 
  • Withdrawal penalty – You can find the FD withdrawals and penalty amount mentioned on the FDR. 
  • Auto-renewal – If you have opted for auto-renewal, you will find the box ticked. It will be unticked if you have not opted for it.

Fixed Deposit receipt importance: The FDR is an essential financial document. You need to provide it when you wish to make a partial withdrawal, renew, or obtain a Loan against your FD investment. You can obtain the FDR within minutes from the Banking app. You also receive anFDR copy on your registered email address. Make sure you prioritise the mail for easy reference.