Company Fixed Deposits

Like bank fixed deposits, Company fixed deposit is a deposit with financial institution and non-banking finance companies {NBFC} for a fixed rate of revisit more than a fixed tenure. The rate of interest depends on the maturity tenure and those deposits are governed by section 58A of the Companies Act of 1956.

Capital Protection

The capital in the company fixed deposit is not secluded as these are not secured like most bank deposits.

Inflation Protection

The company deposit is not inflation sheltered, which earnings whenever inflation is above the guaranteed interest rate is eminent than inflation rate, it does straight a positive real rate of revisit.


The interest rate on the company deposit is definite as long as the company can manage to pay the depositors. on the other hand, company deposits are recognized to wait and at times defaulting on payments.


The company deposit is liquid, despite the predetermined lock-in that deposits have. The liquidity is obtainable in the form of withdrawals subject to situation.

Credit Rating

A company deposit has to have a credit rating, which they can acquire from any of the credit rating agencies such as CRSIL, CARE or ICRA.

Exit Option

Premature encashment of the deposit is permissible.

Other risks

Savings in this product is risky because deposits are not tenable.

Tax Implications

The sum invested in a company deposit or the interest that it produces is not eligible for any tax concessions. The interest earned on a deposit on a yearly basis is added to the total income under the head ‘Income from extra sources’ and taxed accordingly.

Departing Online

Most company deposits are obtainable offline, unless it is being sold online in the course of a broking account.

Where to open a Deposit

Deposits can be made in a straight line with the companies offering the deposit or distributors promotion the same.

How to Buy

Formerly you have decided on the sum that you wish to invest and the tenure

You need to fill the deposit application from obtainable with the company.

Carry original identity proof for verification at the time of buying

You can advance in deposits with cash, cheque or demand draft drawn in favor of the company or the specified entity.

Points to Ponder

  • Company deposits are unsafe
  • No TDS in case the interest is only Rs. 5,000 in a financial year.
  • Interest income is offered monthly, quarterly, half-yearly or regularly
  • The recourse in case of delays or defaults are not very tight or regulated

Company Fixed Deposits:


Dewan Housing Finance Limited, Exim Bank, First Leasing, Gruh Finance, Housing Development Finance Corporation Ltd, Kerela Transport Development Finance Corporation, LIC Housing Finance Mahindra Finance Ltd Shriram Transport Finance Ltd SIDBI ( Individuals & Huf ) (Trust) Sundaram Home Finance (Regular) Tamilnadu Power Finance.


Hudco (Individuals/Trust), National Housing Bank (Sunidhi), NHB SUVRIDDHI (Tax Saving ), Pnb Housing, SIDBI ( Individuals & Huf ) (Trust).


Alembic Ltd., Ansal Housing & Construction, Ansal Properties & Infrastructure Ltd., Apollo Hospitals Enterprises Ltd., Bharat Bijlee Ltd, Bombay Dyeing and Manufacturing Company (Renewals), Bombay Swadeshi Stores Ltd. (Only Renewals), Ceat Ltd (Only Renewals), D.S Kulkarni Developer Ltd. (Only Renewals), Damodar Industries Ltd., Darcl Logistics, DCM Shriram Consolidated Ltd, Deepak Nitrite Ltd, Excel Industries Ltd. (Renewals), Fenner India Ltd, Foods and Inns, Gati Ltd., Godrej Boyce & Manufact. Ltd, Godrej Boyce & Manufact. Ltd., Godrej Industries Limited, Godrej Properties Ltd. (Only Share Holder), Helios & Matheson (Only Renewals), Ion Exchange (India) Ltd, J K Paper Ltd., Jagatjit Industries Ltd, Jagsonpal Pharma, Jaiprakash Associates Ltd, Jaypee Infratech Ltd., Jindal Saw Ltd. (Saw Pipes Ltd), Jindal Stainless Steel Ltd, JK Lakshmi Cement Ltd, JK Tyre & Ind. Ltd, JMC Projects (India) Ltd, Mahindra & Mahindra LtD, Mukand Engineers Ltd (Renewals), Mukand Ltd, Neesa Leisure Limited, Network 18 Media & Investments (Only Renewals), OCL India Ltd., Omaxe Ltd, Parsvnath Developers Ltd, Pearl Polymers Limited (Renewals), Prism Cement Ltd, Pudumjee Pulp (Fresh only from Mumbai & Pune), Surya Roshni Ltd., Talbros Automotive Components Ltd, Thirumalai Chemicals Ltd., Unitech Limited, United Spirits, Vadilal Industries Ltd (Renewals), Valecha Engineering Ltd. Visit Profit Krishna to know more about Company Fixed Deposits.



Resident Indians


  • You need to be over 18 years old
  • Minors can open a deposit with the natural guardian operating it


  • Minimum: Rs. 1,000/-
  • Maximum: There was no upper limit


  • Depends on tenure of the deposit and the issuer.


  • Individual
  • Joint
  • As specified by the issuer


  • Facility is available