Introduction: A fixed deposit (FD) is an investment scheme offered by banks and NBFCs (Non-banking financing companies) and is fairly popular in India. The tenure for this investment is fixed, hence the name. In comparison to non-bank FDs, bank FDs are relatively risk-free since they do not come with the market and credit risk that non-bank FDs bring. However,  bank FDs also bear slightly lower interest rates than non-bank FDs