Many banks in india including SBI offer a provision to avail loan against your fixed deposits. As such you cna vail loan against total principal and interest accrued so far. this option helps you wiht money rotation instead of breaking your fixed deposits.
Also, if you find current potential in stock market but don't wnat to touch your money, looking for an option cheaper than personal loan this is a very great approach that can be taken
What are the beenfits of taking loan against fixed deposit?
1) Your principlan and interest earned is intact and is not impacted at any cost
2) Interest rates are .5% more than prevailing interest rates in fixed deposit. In case of personal loans usually rates are between 11% to 13.5%. Whereas this scenario helps you get loan at 10% to 10.5%
3) Loan can be availed upto maximum 90% face value of deposit. This varies from bank to bank
4) This can be availed against security of NRO/NRE/FCNR fixed deposits
Also, if you find current potential in stock market but don't wnat to touch your money, looking for an option cheaper than personal loan this is a very great approach that can be taken
What are the beenfits of taking loan against fixed deposit?
1) Your principlan and interest earned is intact and is not impacted at any cost
2) Interest rates are .5% more than prevailing interest rates in fixed deposit. In case of personal loans usually rates are between 11% to 13.5%. Whereas this scenario helps you get loan at 10% to 10.5%
3) Loan can be availed upto maximum 90% face value of deposit. This varies from bank to bank
4) This can be availed against security of NRO/NRE/FCNR fixed deposits
