Bank FDs VS Small Savings Schemes: Nowadays, the inflation rate is increasing day by day, due to which many people are now preferring to save for the future of themselves and their family, because they never know when and what emergency will come. In such a situation, people want to keep their money safe and also want good returns. Bank FD and small savings schemes emerge as the two most popular options, but both have their own advantages and limitations, hence people should choose the right option.

The most important thing is that in the April-June 2026 quarter, the government has not made any change in the interest rates of small savings schemes, while the bank FD rates are around 6.25 percent to 6.66 percent, while small savings schemes are still giving returns up to 8.2 percent. In such a situation, the question before investors is whether they should choose FD facility or invest in government schemes for higher returns.

Who is ahead in interest rates?

If we talk about returns, small savings schemes look better than bank FDs, know how?

• Sukanya Samriddhi Yojana: 8.2 percent
• NSC: 7.7 percent
• Kisan Vikas Patra: 7.5 percent
• Monthly Income Plan: 7.4 percent
• PPF: 7.1 percent
• Post Office Saving: 4 percent

If we look at bank FD rates

• SBI, HDFC, ICICI: 6.25 percent
• Kotak Mahindra: 6.50 percent
• Yes Bank: 6.66 percent

Lock-in and Liquidity

Let us tell you that bank FDs are more flexible. You can invest for more or less time and can also withdraw money when needed (with penalty). If we talk about small savings schemes then there is more lock-in in it.

• NSC: 5 years
• PPF: 15 years
• Sukanya Yojana: Long term (up to the age of the daughter)

Therefore these plans are better for long term goals.

Whose benefit in tax?

Tax exemption up to Rs 1.5 lakh is available under Section 80C on investing in small savings schemes. In some schemes, tax exemption is also available on interest. On the other hand, the interest on bank FD is fully taxable, which may reduce the actual returns.

Who is safer?

Both options are considered safe. Small savings schemes are backed by the government, whereas bank FDs are also safe in big banks. Therefore both are reliable in terms of risk.

Is it right to invest in both?

Experts believe that instead of choosing just one option, it is better to invest in both. With this, you can get more returns and tax benefits from liquidity and small savings schemes from FD.

EMI Trap News: In today’s time, if a person is not able to fulfill all the comforts of himself and his family by doing a normal job, then he takes the help of EMI i.e. Equated Monthly Installment. EMI has completely changed the way people spend.

Now it has become easier for people to buy a house, car or expensive electronic goods, because after purchasing any item, there is no need to pay the entire amount at once, but one thing that everyone must remember is that EMI is as helpful as it is, it affects your financial decisions and many times people do not understand it.

How does EMI determine your financial life?

The most important thing is that when you take a loan for the first time, EMI seems easy and manageable, but as you take different loans like home loan, car loan, personal loan, a large part of your income starts going towards EMI and gradually your income gets used to repay these installments.

Why can high EMI be dangerous?

EMI is a fixed responsibility, which you have to repay on time every month. If you are late, both the penalty and your credit score are affected, but imagine if you or your family face a medical emergency or a change in job, it can become a big problem for you.

What is the impact on lifestyle?

Due to EMI many times you have to compromise in your lifestyle like…

• Going on holidays may be reduced.
• Spending on yourself may reduce.
• Learning new skills or growth may be affected.

How to strike the right balance?

Financial experts believe that your total EMI should not exceed a fixed portion of your salary.

Please think about this before taking a loan.

• Will you be able to repay it comfortably?
• Do you have an emergency fund?

It is important to think about the future

It is not right to take a loan only according to today’s income. It is important that you plan keeping the future in mind, because it is not necessary that your earnings always keep increasing. It is always wise to keep some savings aside.

Cibil Score Tips: When it comes to credit score, most people think that it is necessary to have a credit card for it. This is why many people take credit cards to build their credit score. However, the reality is a little different.

Credit cards are not the only way to build a good credit score. If you take care of your expenses and make all payments on time, you can build a strong credit profile even without a credit card. By doing this you can gradually move towards a better credit score. Let us know what things should be kept in mind for a good credit score.

This is how you will get a good credit score

Even if you don’t have a credit card, you can easily improve your credit score. For this, you can take a small loan and repay all its installments on time. Especially the loan taken on the basis of FD is available quickly and timely payment strengthens the credit history. Apart from this, it is also beneficial to buy any important item on EMI and pay its installments on time. This gradually improves your credit profile and helps in increasing the score.

Score will improve with timely payment

If you want to improve your credit score without a credit card, then it is most important to pay all the bills like electricity, rent, mobile and subscription on time. By doing this your responsibility and payment habit is clearly visible.

Things will be done with regular income

Regular job or stable income is also very important, because it gives assurance to the bank that you can repay the EMI on time. Therefore, try to ensure that your income appears consistently in your bank statement. These small habits help in improving your credit score in the future.

Also read:

The burden of inflation on the plate! Food inflation increased to 3.87% in March, Iran war spoiled the budget

Mirae Asset Great Consumer Fund: The rapidly increasing consumption in India has emerged as a big opportunity for investment. Based on this theme, Mirai Asset Mutual Fund has attracted attention by giving excellent returns to investors in the last few years. Mirai Asset Mutual Fund, which was launched about 15 years ago, has given good profits to investors by taking advantage of the strength of the consumption sector. Now finally the question arises that what did this fund do that gave so much benefit to the investors?

Fund size and performance

The asset under management (AUM) of this fund is approximately Rs 4500 crore. Also, it has performed brilliantly in the last few years.

• Nearly 25 percent CAGR returns in the last 5 years.
• About 15.4 percent CAGR return on SIP since inception in 2011.

If an investor had done SIP of Rs 10 thousand every month from the beginning, then today his actual amount would have increased to around Rs 62.9 lakh.

Benefit even on lump sum investment

Let us tell you that this fund has given good returns not only to SIP but also to those who invest lump sum. If an investor had invested Rs 10,000 in the beginning, today that amount would have become more than Rs 88,000. Accordingly, the CARG of the fund has been around 15.76 percent.

Where does he invest?

This fund invests in sectors related to consumption, such as…

• consumer durables
• automobile
• retail
• Telecom
• FMCG

Its portfolio includes big companies like Mahindra & Mahindra, Maruti Suzuki, Titan Company and Bharti Airtel.

What is the expert advice?

According to fund manager Siddharth Chhabria, it is very important to have a vision of at least 5 years while investing in such thematic funds. He believes that consumer discretionary sectors like jewellery, fashion, retail can grow rapidly and can give 1.5 to 2 times more growth than GDP.

Positive outlook on quick commerce and digital platforms

However, his stance regarding the FMCG sector is a bit cautious, because the margins here are at their highest and competition is also increasing. In FMCG, he considers food category better than personal care and if we look at it, his outlook towards quick commerce and digital platforms is positive, because now the profit situation in these sectors is gradually getting stronger.