Fixed Deposits Are Back: Should You Lock In Now or Wait? A Smarter Strategy Revealed

• Fixed deposit rates are attractive again due to higher policy rates, offering comfort and predictable income for savers.
• The real risk isn't locking in "too early," but "reinvestment risk" – lower rates when your FD matures.
• Match FD tenure to your financial needs; short-term funds for short tenures, medium-term for 3-5 years.
• Deposit laddering, spreading FDs across different maturities, helps manage reinvestment risk and provides flexibility.
• For retirees, stable income from FDs often outweighs chasing slightly higher rates, offering peace of mind.

Why It Matters: Invest in FDs thoughtfully by matching tenure to needs and using laddering, rather than predicting rate cycles.