New Banking facility: Invest in this scheme to get interest like FD, money will be withdrawn like savings account

New Banking facility: If you are looking for a scheme which gives returns like Fixed Deposit (FD) on deposit and the facility to withdraw money whenever you want like a savings account, then the Sweep In FD service can be useful.

FD service Rate:  Auto Sweep Facility is a banking facility that gives you the benefits of savings account and fixed deposit (FD) together. In this, the bank automatically converts the extra money you keep in the savings account into an FD, which gives you interest like FD. Not only this, if needed, you can also withdraw it easily without breaking the FD, like you withdraw money from a savings account. You can go to your bank and choose the option of sweep-in-FD in your savings account.

Special features of this scheme:

Interest rate-

The extra amount that is converted into FD in the auto sweep account gets interest like FD (eg up to 6%–7%, depending on the bank). This interest is higher than that of a savings account.

Liquidity-

If you need money, you can withdraw money at any time. The amount you need is automatically broken from the FD.

Threshold Limit-

The bank sets a threshold limit (eg. ₹25,000). The money above this limit is automatically converted into FD. The bank also gives the account holder the option to customize it as per the need.

Tenure-

The tenure of sweep-in FD depends on the rules of the bank and the choice of the customer. Sweep-in FD is usually for 1 to 5 years.

Suppose you have Rs 50,000 in your savings account and the threshold limit is Rs 25,000. The remaining Rs 25,000 will be transferred to FD, on which you can earn up to 6-7 percent interest. If you want to withdraw Rs 40,000, then Rs 25,000 will be swept-in from savings and Rs 15,000 from FD.

The post New Banking facility: Invest in this scheme to get interest like FD, money will be withdrawn like savings account first appeared on informalnewz.

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