A corporate fixed deposits is a term deposit that is held over a fixed period at a fixed rate of interest. These are offered by financial and non-banking financial companies (NBFC). The maturities of various company’s fixed deposits can range from few months to few years.
The key benefit of the corporate fixed deposits (FDs) is higher returns coupled with flexibility, liquidity & lower risk. Investors should always look for corporate FD with a good credit rating, good background, and solid repayment history.