In this article I will writing about the fixed deposit with Tata Motors. As we are aware of the fixed deposit with banks, nowadays many corporates started rolloing out the fixed deposit schemes to the public to collect money. The one advantage with this option is they are providing you the highest interest rates compare to the other banks. In this market, Tata Motors is the first company coming with its own fixed deposit scheme. In this article I will be writing about the advantages and disadvantages of this scheme. Please post your comments after reading this article. You can also subscribe to our future articles here.
Tata Motors Fixed Deposit Schemes
The fixed deposit scheme comes with the two plans.
Quarterly Income Plan
In this plan the interest for the amount is deposited to your savings bank account every three months which you have specified while opening the fixed deposit account. It will not be added to your fixed deposit money. This will be good when you are looking for the periodic income on your deposit. You will get the interest for very month if you are depositing more than Rs.100000. The following table illustrates the rate of interest and duration for the fixed deposit.
|
Period |
Minimum Amount (Rs.) |
Rate of Interest (p.a) |
|
1 Year |
20,000 |
10.00% |
|
2 Years |
20,000 |
10.50% |
|
3 Years |
20,000 |
11.00% |
| * Monthly interest option available in case of deposits of Rs.100000 + | ||
Cumulative Deposit Plan
This is another plan which yields returns at the time of maturity. Cumulative interest means every quarter the interest will be added to the fixed deposit amount and interest will be calculated for the total amount. You have to note that the interest will be added every three months. For example, if your deposit earns Rs.2000 for each month, and the fixed deposit is Rs.200000, then from the beginning of the fourth month onwards interest will be calculated for Rs.202000.
This plan gives more advantage when you don’t want to use any money from the deposit. At the completion of period, you will get the lump sum amount as the return.
|
Period |
Minimum Amount (Rs.) |
Rate of Interest*(p.a) |
Maturity Value (Rs.) |
Yield (p.a) |
|
1 Year |
20,000 |
10.00% |
22,076 |
10.38% |
|
2 Years |
20,000 |
10.50% |
24,607 |
11.52% |
|
3 Years |
20,000 |
11.00% |
27,696 |
12.83% |
| * Compounded quarterly | ||||
Key Points
- 0.5% more for senior citizen’s, Tata Motors share holders and employees of Tata Motors.
- The interest rate is good compare to the bank deposits.
- It is good for the short term deposits like up to three years.
Updated as on (17-July-2009):
Tata Motors Fixed Deposit schemes accepting fresh Deposits only from Share Holders. They clearly mentioned as
Deposits will be accepted only from shareholders of Tata Motors Limited.
I will be updating this post once it is open to public. Here is the revised Interest Rates for Share Holders:
Investment Option I: Scheme-A Quarterly Income Plan*
|
Period |
Minimum Amount (Rs.) |
Rate of Interest (p.a) |
|
1 Year |
20,000 |
9.50% |
|
2 Years |
20,000 |
9.75% |
|
3 Years |
20,000 |
10.25% |
| * Monthly interest option available in case of deposits of Rs. 1 lakh & above | ||
Investment Option II: Scheme-B Cumulative Deposit Plan
|
Period |
Minimum Amount (Rs.) |
Rate of Interest*(p.a) |
Maturity Value (Rs.) |
Yield (p.a) |
|
1 Year |
20,000 |
9.50% |
21,968 |
9.84% |
|
2 Years |
20,000 |
9.75% |
24,249 |
10.62% |
|
3 Years |
20,000 |
10.25% |
27,095 |
11.83% |
| * Compounded quarterly | ||||
Updated as on (25-Aug-2009):
Tata Motors again accepting the fresh deposits with lowes rates from public. The following are the interest rates.
Investment Option I: Scheme-A Quarterly Income Plan*
|
Period |
Minimum Amount (Rs.) |
Rate of Interest (p.a) |
|
2 Years |
20,000 |
8.00% |
|
3 Years |
20,000 |
8.75% |
| * Monthly interest option available in case of deposits of Rs. 1 lakh & above | ||
Investment Option II: Scheme-B Cumulative Deposit Plan
|
Period |
Minimum Amount (Rs.) |
Rate of Interest*(p.a) |
Maturity Value (Rs.) |
Yield (p.a) |
|
2 Years |
20,000 |
8.00% |
23,433 |
8.58% |
|
3 Years |
20,000 |
8.75% |
25,930 |
9.88% |
| * Compounded quarterly | ||||
Summary
In this article I have explained about the Fixed deposit scheme by Tata Motors Limited. When the banks are reducing the deposit rates, these kind of offers are good for the customers to get the good return for their investment. In my next article I will be writing about the fixed deposit from another well know company. Thank you for the reading!! Please leave your comments and feed backs in the below comments section.
June 7, 2009 at 3:36 am
I HAVE TAKEN A PLAN OF TATA MOTOR FIXED DEPOSITE (FD)SCHEME ON MY NAME AS WELL ON MY WIFE’S NAME i.e SMT.SHANTI SINGH OF Rs.50,000.00 EACH.PAYMENT HAS BEEN MADE THROUGH SAVING BANK ACOUNT OF SBI VIDE A/C NO-10781005164 JAYANT, DIST-SINGRAULI(MP) CHHEQUE NO-113661 & 113662 BY AN AGENT NAMED Mr.BHWANI SHARMA.BUT TILL DATE I HAVE NOT RECEIVED ANY DEPOSITE SLIP OR ANY BOND PAPER.THE AGENT Mr.SHRMA IS ALSO NOT TACEABLE.
YOU ARE THEREFORE KINDLY REQUESTED PLEASE LET ME KNOW WHEATHER AGAINST ABOVE PLAN AMOUNT HAS BEEN DEPOSITED ON MY NAME/MY Miss OR NOT.
PLEASE REPLY ON ABOVE E-MAIL ADRESS OR ON POSTAL ADRESS GIVEN BELOW-
ARUN KUMAR SINGH
Q.N- C-07, CLUSTER -1
PO-NIGAHI
DIST – SINGRAULI(MP)
PIN CODE-486884
June 7, 2009 at 3:45 am
I HAVE TAKEN A PLAN OF TATA MOTOR FIXED DEPOSITE (FD)SCHEME ON MY NAME AS WELL ON MY WIFE’S NAME i.e SMT.SHANTI SINGH OF Rs.50,000.00 EACH.PAYMENT HAS BEEN MADE THROUGH SAVING BANK ACOUNT OF SBI VIDE A/C NO-10781005164 JAYANT, DIST-SINGRAULI(MP) CHHEQUE NO-113661 & 113662 BY AN AGENT NAMED Mr.BHWANI SHARMA.BUT TILL DATE I HAVE NOT RECEIVED ANY DEPOSITE SLIP OR ANY BOND PAPER.THE AGENT Mr.SHRMA IS ALSO NOT TACEABLE.
YOU ARE THEREFORE KINDLY REQUESTED PLEASE LET ME KNOW WHEATHER AGAINST ABOVE PLAN AMOUNT HAS BEEN DEPOSITED ON MY NAME/MY Miss OR NOT.
PLEASE REPLY ON ABOVE E-MAIL ADRESS OR ON POSTAL ADRESS GIVEN BELOW-
ARUN KUMAR SINGH
Q.N- C-07, CLUSTER -1
PO-NIGAHI
DIST – SINGRAULI(MP)
PIN CODE-486884
E-MAIL ADRESS-arushish@yahoo.com
July 6, 2009 at 9:50 pm
HI Arun,
Please contact the Tata Motors directly.
Thanks,
Krishna
July 10, 2009 at 2:02 pm
still tata motors accepting deposit from public
July 13, 2009 at 6:14 am
still many company accetping deposit from public in higher rate though the rate in nationalised bank are coming down .Is this not a risk.
July 13, 2009 at 8:19 am
HI Padma,
Even companies are started reducing the interest rates. Before investing money, you can check the financial strength of the company. It doesn’t matter if the company has enough cash to handle the tough situations.
Thanks,
Krishna
July 13, 2009 at 8:22 am
HI Balaji,
Yes..still Tata Motorsare accepting the fixed deposit forms.
Thanks,
Krishna
July 16, 2009 at 1:19 pm
can you tell me how can i invest here. I dont want to go through any agents coz they are not very trust worthy.
July 16, 2009 at 7:21 pm
HI Mugesh,
You need not go through any agents. Directly contact any of the Tata Motors employee they will help you. You can find details here : http://www.tatamotors.com/fixed-deposit-scheme.htm
But the site says they are accepting FD only from Shareholders. Please talk to them to get more details.
Thanks,
Krishna
July 18, 2009 at 6:57 am
Dear Sir,
This to inform you that at the time of Tata FD I have submitted a transaction of Rs. 500000 dated 13.04.09 where we have done a mistake .As in the form it had been already printed in the place of broker code i.e, TATA SECURITIES whereas it should be JM FINANCIAL PVT LTD (BROKER) and 21192 (Sub-broker). For this reason we are not getting our brokerage.
Please show me the way out from this otherwise I am going to face a big trouble.
July 18, 2009 at 8:10 am
HOW CAN I TAKE TATA MOTOR FIXED DEPOSITE PLAN DIRECTLY THROUGH INTERNET
July 19, 2009 at 7:46 pm
HI Arun,
Tata Motors not accepting the frsh FDs from the public.
Thanks,
Krishna
July 19, 2009 at 11:15 pm
mahindra fd currant rate
July 20, 2009 at 3:45 am
HI Dharmesh,
Revised rates here:
http://www.mahindrafinance.com/prod_fixeddeposit/prod_fixeddeposit.asp
Thanks,
Krishna
July 27, 2009 at 4:35 am
I would like to have deposited in TATA Motors Limited. Please furnish to whom i have to contact immediately.
Nagendra Babu
Mobile: 9948014554
July 29, 2009 at 8:35 am
i want to deposite rs 1,00000/- for one year req adv
August 13, 2009 at 11:15 pm
what is the definition of shareholder. i buy 1 share of tata motors in open market, i become share holder and then i can deposit?
can you please clarify.
thanks,
ganesh
August 15, 2009 at 6:47 pm
Hello MVSS Nagendra Babu,
Tata Motors not accepting the FDs from the public. If you are the share holder then you can invest in their fixed deposit. Please reply me if you have any other doubts.
Thanks,
Krishna
August 15, 2009 at 6:52 pm
Hello Ganesh,
Yes..if you buy one share also then you become the share holder. How ever please inquire to them what is their rules for accepting the Fixed Deposit.
Thanks,
Krishna
August 19, 2009 at 11:34 pm
please sent me the detailes & security part/rates application as on today
August 23, 2009 at 11:43 pm
Dear Krishna,
Does LIC have any monthly income scheme (like the Post Office MIS) ?
Regards,
Manoj Thomas
August 24, 2009 at 1:37 am
Is the saving account in central bank of india transfer from one city to other /in any of the city in india ? Any formalities required , or we have to just give application to transfer the account ? is the transfer free of cost….
August 26, 2009 at 8:30 am
Tata Motors is accepting FDs again, though on lower rate of interest compare to the previous scheme.
August 26, 2009 at 9:21 am
Hello Manoj Garg,
Thank you for the information. I have updated the site with latest interest rates.
Thanks,
Krishna
August 26, 2009 at 10:27 pm
Revision of interest rate on TATA fd
Why to Invest in TATA FD when You have Post office monthly income scheme giving 8% return , with monthly income of rs 6000 on 9 lacs deposit on joint account. Unlike tata fd, your principal is safe and at the end of tenure you will get 5% bonus.
your comments please.
August 27, 2009 at 1:35 am
Hello Rahul,
There is few differences between bank deposits and the post office savings.
In post office RDA, you can withdraw up to half the balance. On premature closure of the account (after one year), interest is payable as per the rate for the Post Office Savings Bank Account, which is 3.5 per cent.
In the case of banks, premature closure of an RDA will attract a penal interest. This means the depositor will get interest around 1 per cent less than the prevailing rate. It will certainly be higher than the 3.5 per cent paid by post office.
There seems to be some other differences too. So, I am planning to draft for my future article
Thanks,
Krishna
August 27, 2009 at 1:44 am
Hello Krishna,
I am not talking bout RDA but POMIS(Post office Monthly Income Scheme) . Can you compare TATA FD with POMIS? dont u think POMIS is superior as it generates 8% return and regular monthly income plus capital is protected. 5% bonus at end of tenure? If u are no need of Monthly interest, it can be invested in MF/ULIP/stocks to generate more return. So Double benefit of generating money on interest upon interest.
Can you throw some more light on premature withdrawal and bonus in POMIS?I search on net, but there seems different take on this .
August 27, 2009 at 1:57 am
Hello Rahul,
An investor may be permitted to withdraw the deposit and closure of the account, at any time after expiry of one year from the date of opening of the account subject to the condition that:
(i) If the account is closed on or before expiry of three years opening of such account, an amount equal to two percent of the deposit shall be deducted and remainder paid to the depositor and
(ii) If the account is closed after expiry of three years opening of such account, an amount equal to one percent of the deposit shall be deducted and remainder paid to the depositor
no bonus is applicable to any premature closure of the Account.
Thanks,
Krishna
September 7, 2009 at 11:39 am
Thank you for your comments, related to Tata Motors Fixed Deposit on Fixed Income India blog.
November 1, 2009 at 11:02 am
Sir i wud like to invest in fd scheme of either mahindra finance or jp associate. Which one is safe.
November 1, 2009 at 12:04 pm
Hi ..
Can anybody tell me how secure is all these fixed deposit offered by companies?
Is the return guaranteed?
I mean suppose the company is bankrupted then who will be responsible for my money.
Thanks
Mantosh
November 1, 2009 at 4:50 pm
Hello Kuldeep,
Mahindra finance is more safer.
Thanks,
Krishna
November 1, 2009 at 4:51 pm
Hello Mantosh,
Tata Motors and Mahindra Finance are good companies. You need not worry about the returns. If the company is bankrupt, can not claim money from anyone.
Thanks,
Krishna
November 17, 2009 at 11:23 pm
Dear Sir/ Madam,
Kindly inform me the present interest rate(compound) , minimum/maximum amount to be invested, yield after 5/6years for fixed deposit in TATA FINANCE.
Regards,
B.C. Ray
November 25, 2009 at 9:48 am
Hai…..
I would like to know wherether a student like me can able to be a shareholder and so able to fixdeposit to you. If that is possible, answer the ff questions for me please:
Where can i buy shares?
How much does each share cost currently?
How much is the minimum deposit?
I own no company or business but I do have cash currently amounted to +R5 000-00. Do I Qualify?
November 25, 2009 at 8:05 pm
Hello Ntuthuko,,
Anyone can open the Tata Motors fixed deposit scheme. The restriction for only shareholders is not right now. It is open to every one.
Thanks,
Krishna
December 16, 2009 at 4:58 am
We have taken a fixed deposit of Rs, 2,00,000 in Tata Motors, through an agent. We are getting quarterly interest regularly, but we want that
1. Interest should be paid directly to my bank account
2. No tax should br deducted as we have submitted form 15 g
2. As I am a senior citizen, is any differential rate applicable to me
December 16, 2009 at 5:03 am
what is the email address of Tata Motors Fixed Deposit
January 7, 2010 at 4:46 am
Keep up the good work! Look forward to reading more from you in the future. I think it will be also nice if you add “send to email” tool so people can forward the articles to their friends easily.
January 14, 2010 at 5:23 am
they are bloody suckers sucks the money!
January 15, 2010 at 4:57 am
Hello Suresh,
Do you have any problem with Tata Motors? Please post it here.
Thanks,
Krishna
January 19, 2010 at 10:54 pm
My father has a fixed deposit in TATA Motors, the details are as follows
Policy No: 600370
Printed No: 0163485
Deposited date 6th April, 2009
Maturity date 5th April, 2012
My father died on 3rd August, 2009. How can I get this account transferred on my name?
Please do me the needful.
I am working for CPA, e-nxt financial services (an associate to TATA Motors Limited, TATA Motors Financial Services Limited & TATA Capital Limited) and my employee code is 04587
My mobile number is 09949587520.
January 19, 2010 at 11:18 pm
Hello GattuPalli,
Please contact the Tata Motors for the queries.
Thanks,
Krishna
January 30, 2010 at 2:57 am
Dear Sir/Madam I am holding a TATA Motor Fixed Deposit receipt which is going to mature on 16 Jan 2010. what is the procedure of redemtion kindly send the detailed procedure to me.
With Regards
VIKAS JAIN
Bangalore.
January 30, 2010 at 5:33 am
dear sir. i have visited ur site first time
nice and vry infermative. i dont understand quarterly. i t means i will be getting intrest quartely in my personal account. and will not be added to my fd
m i right
thanks regards
February 5, 2010 at 12:25 pm
1. Today date is 5-Feb-1010. Which companies are accepting FDs from public /shareholders ? and what interest rates ?
2. Which among Tata Motors / TV 18 / Mahindra Finance /Bombay Dyeing is safe for giving FD ?
- which is giving better interest rate ?
- Which has good reord of paying back principal amount / interest in time to public / shareholders ?
I await your full answer please
Thank you
February 6, 2010 at 1:34 pm
Hi,
I have plan to invest on FD for 3 years & i have some query related to the same.
1) do i get TAX benfit out of it?
2) And how much TAX befiniit do it get, if i invest 20,000=00Rs?
3) please let me know whom to approach for the same?
4) I am employee of TCS do i get an benfit for the same?
5) whom to contact, i staying Bangalore
February 17, 2010 at 12:17 am
I have to invest 8,00,000/- and i want quarterly interest.so please send me the schemes for this kind of investment with all details. please tell me the security of my fund.
Regards
Amita Shah
February 17, 2010 at 8:34 am
Hi,
I have deposited Rs.100K ti the Tata moters FD scheme when it was launched First time in Year 2009, for 3 Yars with Cumulative plan.I want to know how can I break that FD before 3 years If I need money.Do thay charge any penalty for break the deposit in between.
kinnly help.
Shashi Kant
February 17, 2010 at 8:36 am
Hi,
I have deposited Rs.100K to the Tata moters FD scheme when it was launched First time in Year 2009, for 3 Yars with Cumulative plan.I want to know how can I break that FD before 3 years If I need money.Do thay charge any penalty for break the deposit in between.
kindly help.
Shashi Kant
March 27, 2010 at 2:32 am
Pl contact me for opening a/c with tata 08026392998
March 27, 2010 at 2:32 am
Pl contact me for opening a/c with tata 08026392998