Need cash? Loan against fixed deposits is cheaper than a personal loan

Here is how the rares of loan against fixed offered by various banks stack up

• This type of loan is suitable for people who have a low credit score and hence find it difficult to get an unsecured loan.
• People who do not meet the income eligibility criteria of lenders can also opt for it
• The interest rate charged on them is usually in the range of 1-2.50 percentage points above the fixed-deposit rate
• The loan amount can go up to 95 per cent of the fixed deposit
• These loans are usually given as an overdraft facility
• Interest levied only on amount withdrawn