What’s common between Short Term Money and fixed deposits (FDs):
Both gives you the same kind of growth rate for your money.
Just as in an FD, this offering also invest money in funds that have low risk to ensure customers do not lose money due to market fluctuations.
Benefit of investing in Short Term Money over FDs:
The post-tax returns from this offering are better when compared to FDs.
For FDs, you have to pay tax on the interest earned every year. However, for Short Term Money, you pay taxes only at the time of withdrawal which is comparatively lesser than FDs. (to know more please click here).
You also have access to your money anytime in this offering whereas in FDs, you have to wait until your FD matures.