Corporate fixed deposits are very similar to bank fixed deposits where you deposit money with an
institution and it promises to pay you an interest on that money and principal at maturity. The only
difference is that these fixed deposits are issued by private companies and the payouts are higher
than bank FDs.
Some of the companies issuing fixed deposits include Bajaj Finance, Shriram Transport Finance,
HDFC, ICICI Home Finance to name a few.
These FDs are quite safe as they are issued by some of the leading companies in the country.
Taxation: Corporate fixed deposits are taxed in the same manner as bank fixed deposits, i.e. at the slab rate.
