Question

What feature does a Fixed deposit account provide?

• A. No minimum balance is required
• B. Bank pays same interest to these accounts just as savings account(for same amount of money).
• C. Senior citizens get more interest than usual.
• D. It is a means of conpulsory savings.

Answer 1

The correct option is C Senior citizens get more interest than usual.

A depositor deposits a certain amount for a fixed period in the bank.
This deposit attracts a greater rate of interest than the savings account.
However, these rates are different in different banks. Senior citizens get a slightly higher rate of interest than the usual.