While banks are slashing their fixed deposit rates as interest rates are heading southwards, private companies are luring customers by offering them with much higer rates on their deposits.
Unitech Ltd, which is involved in developing real estate properties in India, is now offering 11% on deposits on a minimum amount of Rs 25,000 for a period of 6 months (under the cumulative scheme) and one year (under the non-cumulative scheme).
On deposits over two years, the company is offering a deposit rate of 11.50% per annum.
The company is also offering an additional 0.50% interest for senior citizens, Unitech shareholders and employees. Shriram Transport Finance is offering a rate of 8-8.25% on one year deposits and LIC Housing Finance offers 7.3% on one year deposits with a minimum amount of
Rs 10,000 , while HDFC offers in a range of about 6.60-7.15% for a one-two year deposit.
However, despite offering lucrative rates on deposits, many domestic companies have not been able attract customers in a big way.
