| Rate of Return | Not Fixed-Change company to company-Generally better the company lower the interest | ||
| Liquidity | Can be sold through exchanges but usualy no buyers-freely transferable/Usually issued for 7 to 10 years | ||
| Tax Consideration | a) Interest is fully taxable without exemption | b) Tax deducted if interest per annum exceeds Rs.2500/- | |
| Other Details | Exempt from weath tax without limit/generally secured against the assets of the company |
| Rate of Return | 13 % appx.per annum |
| Liquidity | Premature withdrawals normally not possible/Can be invested for shorter period |
| Tax Consideration | Interest on deposit is fully taxable |
| Other Details | Tax deducted if interest per annum exceeds Rs.2500/- Nomination facility available/Not secured |
