Team,
I could see Fixed Deposit Option in smallcase app. Can this be pledged for Zerodha trading?
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Could u please send me a link for additional info. Fd interests me.
OP is presumably referring to the feature being promoted in this blogpost by Smallcase.
Smallcase has also published a list of banks and their respective range of returns from FDs for 2024 in this article on their website
The latest list of current FD rates being offered by banks on Smallcase,
appears to be available only within their app / website after logging-in with a Smallcase account.
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Apparently not, according to this Zerodha support article.
It is basically an option available inside the smallcase APP. If you login, you can see that near mutual funds tab
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great CVS thanks.
You can download apps like stable money for FD investments. You can invest in many SF banks that offer good interest using this app
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Are these are reliable like other banks?
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Exactly. This is my question as well.
My doubts - When a customer invest via small case, the funds will be parked with a Bank. Do the customer get a FD ac number, Can the customer approach the Bank Directly with the FD number in case the broker goes bankrupt - In stocks the purchased stock will be with the depository, where does the FD remain. How is TDS deducted.
How come this product is not available with other broker such as Icici Direct? How come all these bank are available on these apps but not available with mainstream brokers?
I though this small case was owned by zerodha. It says Nithin is a investor among others, but who manages this, the About Us - does not even have the name of the CEO or MD etc
Not keen to pursue.
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Yes . You clearly narrated the issue. Good.
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@neha1101
I don’t know abt small case but I have used stable money app for multiple years now. No issues faced so far. The FD’s have matured multiple times and I have received the money. Small finance banks have 5 lakh insured by RBI’s subsidiary DICGC just like other private banks so I feel safe to invest up to 4 lakhs.
Steps:
- Select the tenure, nominee, bank and other details and deposit your money
- Online video KYC with the SF bank
- You get a receipt after investment that has all the details like interest rate, nominee, maturity date, etc.
- On maturity, you will get the money with the linked bank
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Other good option for FD is NBFC like Bajaj Finance. They offer higher interest than private banks and have AAA rating.
Ok. Thanks.
RBI provides insurance upto 5L per bank per PAN. You can safely invest upto that in small finance banks. Above that as per your risk profile.
Worth the extra interest imo
DICGC the insurance arm pays 5 L as long as the deposit is with a Bank which is mentioned in their website. The question is does the customer know the “flow of transaction” when you are booking the same through an app. What are the roles and responsibility of the app and the Bank.
What recourse does the customer have in case the app goes bankrupt. This is what clarity is needed. How are grievances handled. In a Bank you can write to customer care, escalate it to regional officer, then to zonal officer and nodal officer and then to RBI ombudsman.
How are the above handled when FD are opened by an App. Can nominee be registered, in case of death, does the customer need to go via the app or go directly to the bank and if so which branch? Will the app customer service assist in the above.
Read this article - no corelation with the above but still need to be careful…
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You get the FD statement and receipt on email from bank. What else do you need? You will get money back into your account you paid from on maturity. App is just an agent. Doesn’t mean you can’t go to bank branch and break FD prematurely, etc. this interest will show up in AIS too…
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Going by the above you can approach the Bank directly and not through the app and any request will be entertained right? Going by what you have mentioned, the FD statement should be sufficient and the Bank will entertain customer request. Just need a confirmation on this. Have you invested in FD through this app. If you have done and sure that customer can approach the bank directly, then it is acceptable.
Read the FAQ, but did not find anything mentioned as above.
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