MobiKwik has launched instant FDs with up to 9.5% returns
Leading payment platform MobiKwik has launched an instant fixed deposit (FD) product on its mobile app. The new offering promises returns of up to 9.5% per annum without having to open a new bank account. The move comes as part of MobiKwik's efforts to make the process of saving easier for its customers across India, especially those living in remote areas.
A collaboration with SFBs and NBFCs
The launch of the instant FD product comes as a result of MobiKwik's partnerships with different small finance banks (SFBs) and non-banking financial companies (NBFCs). With this, users can start investing with as little as ₹1,000. They can also select investment periods between seven days and 60 months, offering them flexibility with respect to the duration of investment.
User experience and withdrawal flexibility
Upon booking a deposit, users will get SMS or email confirmation, making the investment process transparent. MobiKwik also provides users with the option to withdraw their money before the deposit term ends. However, the early withdrawal might impact the interest earned on these deposits. The feature adds a touch of liquidity to their investments, but with implications on returns.
MobiKwik's vision for its FD product
Bipin Preet Singh, Co-founder and CEO of MobiKwik, said, "Fixed deposits have long been a preferred choice for Indians looking to secure their savings." He went on to say that their FD product is made to be accessible and beneficial for users across India, especially in remote areas. This is in line with MobiKwik's vision of leveraging advanced tech to improve user experience, and establish itself as a one-stop shop for financial services.
