How suitable are Time Deposits for an increase in my investment?
Time Deposits are suitable for capital appreciation in the sense that your money grows at a pre-determined rate. Unlike certain other investment options, where returns are commensurate with the risks, the rate of growth is also high, Time Deposits return a lower, but safer, growth in investment. Therefore, Time Deposits are one of the better ways to get a relatively high interest rate for your savings. The only condition is that they are bound for some specific period of time. Are Post-Office Time Deposits Suitable For Regular Income? No, Time Deposits are not meant for regular income. Since Time Deposits, as their name suggests, are time-bound, you get a lump sum (principal + interest) at the maturity of the deposit. To What Extent Does The Time Deposit Protect Me Against Inflation? Time Deposits are not the ideal investment option if the rate of inflation is either too high or is fluctuating beyond a limit. Since the rate of return in case of a Time Deposit is fixed, they cannot guar
