Jana Small Finance Bank
Senior Citizens Can Earn a Competitive Return: 9.1% FD Rate for 5-year Tenure
For senior citizens looking to invest in a Fixed Deposit (FD), this may be a good opportunity to do so, as some banks are still offering attractive interest rates. Although the Reserve Bank of India (RBI) recently cut its repo rate by 25 basis points, some banks are still offering interest rates as high as 9.1% on 5-year FDs. Here are some banks that are currently offering high interest rates to senior citizens:
* Suryoday Small Finance Bank: 9.1% interest rate on 5-year FDs
* Unity Small Finance Bank: 8.65% interest rate on 5-year term FDs
* Northeast Small Finance Bank: 8.5% interest rate on 5-year FDs
* Utkarsh Small Finance Bank: 8.35% interest rate on 5-year fixed deposits
* Jana Small Finance Bank: 8.2% interest rate on 5-year FDs
In addition to earning interest on their FDs, senior citizens can also take advantage of tax benefits. Under the old tax regime, investing in 5-year FDs can provide a tax exemption of up to Rs 1.5 lakh under Section 80C. However, under the new tax regime, this exemption is not available. Senior citizens can also avail an exemption on interest income of up to Rs 50,000 every financial year under Section 80TTB.
It is important to note that deposits in small finance banks are insured up to Rs 5 lakh by the Deposit Insurance Credit Guarantee Corporation (DICGC). However, experts advise investors to carefully consider the risks and decide on the limit of their investment accordingly, as the business model of these banks may differ from traditional banks.
Overall, for senior citizens, investing in FDs can be a good way to earn a steady return, while also taking advantage of tax benefits. However, it is essential to carefully review the terms and conditions of the FD and assess the risks involved before making a decision.
Tap into a diverse range of deposit options with varying maturity terms – Money News
As interest rates are expected to fall, investors may want to consider locking in higher returns by investing in top-rated corporate deposits or small finance bank fixed deposits (FDs). Corporate FDs typically offer 150-200 basis points (bps) higher returns than those of public sector banks, while small finance bank FDs offer 100-150 bps higher returns.
Experts recommend depositors consider FDs with maturities of three years or more to minimize the risk of interest rate fluctuations. For example, State Bank of India offers 6.5% for a 5-year FD, while Shriram Finance and Jana Small Finance Bank offer 8.47% and 8.2%, respectively, for the same tenure.
Corporate deposits can be offered in cumulative or interest-generating options, with the latter providing liquidity at fixed intervals. Depositors should consider their investment horizon, liquidity needs, and risk appetite when choosing the deposit tenure.
The key is to check the credit ratings of the deposit-issuing companies, with AAA-rated companies being a good option. Adhil Shetty, CEO of Bankbazaar, suggests that corporate deposits are suitable for those looking to boost their fixed income returns.
Small finance banks, categorized as scheduled banks, offer higher capital protection and may provide similar or higher returns than corporate FDs. Spreading deposits across multiple banks can help investors maximize insurance coverage and ladder FDs across multiple maturities, says Gaurav Aggarwal, chief business officer of Unsecured Loans, Paisbazaar.
Given the expected downward trend in interest rates, investors may want to lock in higher rates for 3-5 years to mitigate the risk of interest rate fluctuations. Ultimately, the right approach depends on an individual’s financial goals and liquidity needs.
Jana Small Finance Bank Appoints Industry Veteran Sumit Aggarwal as Head of Micro Small Enterprises (MSE) and Supply Chain
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Jana Small Finance Bank has appointed Sumit Aggarwal as the Head of Microfinance and Supply Chain (MSE) at the bank. Aggarwal has over 15 years of experience in the banking and financial services sector, with a strong background in microfinance and supply chain finance.
In his new role, Aggarwal will be responsible for leading the MSE and Supply Chain business at Jana Small Finance Bank, which aims to provide financial services to underserved segments such as micro, small, and medium enterprises (MSMEs), or small and medium-sized enterprises. Aggarwal’s expertise will be crucial in developing and implementing strategic plans to expand the bank’s MSE and supply chain finance offerings, as well as increasing its reach and penetration into new markets.
Aggarwal’s experience and expertise will also help Jana Small Finance Bank to develop products and services tailored to the specific needs of MSMEs, such as working capital financing, inventory and accounts receivable financing, and purchase financing. He will also work closely with the bank’s risk management team to ensure that risk assessment and credit appraisals are conducted efficiently and effectively.
Prior to joining Jana Small Finance Bank, Aggarwal held various leadership positions at other banks, including ICICI Bank and Aditya Birla Bank. He has a strong understanding of the Indian banking and financial services sector, with a deep knowledge of regulatory requirements and industry trends.
The appointment of Sumit Aggarwal is a strategic move by Jana Small Finance Bank to strengthen its MSE and supply chain finance offerings and expand its presence in the market. With his expertise and leadership, the bank is poised to become a significant player in the Indian banking and financial services sector, providing innovative financial solutions to MSMEs and other underserved segments.
Unlock exceptional returns with Fixed Deposits: Earn up to 9.42% interest
The Reserve Bank of India (RBI) has reduced the repo rate to 6.25% after five years, which is likely to affect the interest rates offered by banks on fixed deposits (FDs). While the reduction in repo rate could lead to lower loan rates, it may also result in banks reducing their FD interest rates. Senior citizens can benefit from the interest rates offered by small finance banks, with Utkarsh Small Finance Bank offering 9.42% interest on deposits maturing in 1500 days and AU Small Finance Bank offering 8.88% interest on FDs maturing in 18 months. Other small finance banks, such as ESAF, Suryodaya, and Jana, also offer competitive rates ranging from 8.88% to 9.42%.
Major banks in India, including HDFC Bank, ICICI Bank, Axis Bank, and State Bank of India, offer interest rates ranging from 3% to 7.85% on FDs with durations varying from 1 day to 10 years. For example, HDFC Bank offers 7.85% interest on FDs with a tenure of 2 years and 1 day to 2 years 100 months.
Fixed deposits are considered a low-risk investment option, providing guaranteed returns and safety of principal. The interest rates offered by banks on FDs vary depending on the tenure, with longer tenures typically offering higher interest rates. Banks may offer interest rates between 3% to 8% on FDs, depending on the duration. The reduction in repo rate by the RBI may lead to changes in FD interest rates, making it essential for investors to monitor the developments and explore options that suit their financial goals and risk appetite.
Apollo Hospitals Group has partnered with Jana Small Finance Bank to extend healthcare benefits to its employees, thereby enhancing the well-being of its employees.
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Apollo Hospitals Group has collaborated with Jana Small Finance Bank to provide financial assistance to its employees, particularly those with a high risk of heart disease, cancer, and stroke. The hospital group has introduced a new scheme called “Senior Savings Plus” which offers a 10% discount on radiology tests, a 10% discount on hospitalization charges for senior citizens, and a 15% discount on medical equipment purchase.
The scheme is designed to cater to the healthcare needs of senior citizens and provide them with financial assistance in case of medical emergencies. The hospital group has also launched a campaign to spread awareness about the importance of regular health check-ups and early detection of diseases.
Apollo Hospital’s commitment to providing quality healthcare to its patients is evident in its state-of-the-art facilities and expertise of its medical team. The group has also invested heavily in research and development to stay at the forefront of medical technology.
The hospital group has also launched a new cancer center, Apollo Proton Cancer Center, to provide cutting-edge treatment options for cancer patients. The center is equipped with the latest technology and a team of experienced doctors and medical professionals.
In addition to its hospital services, Apollo Hospitals also provides health insurance and financial support to its employees, ensuring that they have access to quality healthcare when they need it most. The group’s commitment to providing quality healthcare and financial assistance to its employees is evident in its various initiatives and programs.
The hospital group has also launched a new initiative, “Senior Savings Plus”, which offers financial assistance to senior citizens who are at high risk of heart disease, cancer, and stroke. The initiative is designed to provide financial support to these individuals and their families, ensuring that they have access to quality healthcare and treatment options.
Overall, Apollo Hospitals Group is committed to providing quality healthcare, financial assistance, and research and development to stay at the forefront of medical innovation.
Maximize your returns: Discover the best fixed deposit options for your Rs 5 lakh investment with top small finance banksLet me know if you’d like me to adjust anything further!
Small finance banks have followed in the footsteps of major banks, increasing their fixed deposit (FD) interest rates in recent times. This increase has benefited investors, who can now earn higher interest amounts on their FD investments. Small finance banks face strong competition in acquiring customers, prompting them to offer higher returns on similar-duration FDs compared to public sector undertakings (PSUs) and other private sector banks.
To illustrate, here are the top FD interest rates offered by leading small finance banks, along with the interest earnings on a Rs 5 lakh investment:
* AU Small Finance Bank: 7.10% interest rate for a 1-2 year term, earning up to Rs 23,300 on a Rs 5 lakh investment.
* Equitas Small Finance Bank: 7.25% interest rate for a 1-2 year term, earning up to Rs 24,875 on a Rs 5 lakh investment.
* Ujjivan Small Finance Bank: 7.30% interest rate for a 1-2 year term, earning up to Rs 25,500 on a Rs 5 lakh investment.
* Jana Small Finance Bank: 7.40% interest rate for a 1-2 year term, earning up to Rs 26,575 on a Rs 5 lakh investment.
* Suryoday Small Finance Bank: 7.50% interest rate for a 1-2 year term, earning up to Rs 27,750 on a Rs 5 lakh investment.
Please note that these calculations are projections and should not be taken as investment advice. It’s essential to perform your own research or consult an expert for comprehensive financial planning.
In conclusion, small finance banks have increased their FD interest rates to remain competitive in the market. Investors who opt for their FDs can earn higher returns compared to PSUs and private sector banks, making them a viable option for those seeking steady returns on their investments.
Jana Small Finance Bank Reports 18% YoY Decline in Net Profit to ₹110 Crore, Net Interest Income Rises 8% to ₹593 Crore
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Jana Small Finance Bank (JSFBL) has released its quarterly results for Q3 FY23, which ended on December 31, 2022. The bank reported a decline in its net profit, which dropped 18% year-over-year (YoY) to ₹110 crore. However, its total income (TI) increased 8% YoY to ₹593 crore.
The bank’s net interest income (NII) rose 8% YoY to ₹593 crore, driven by a 10% YoY growth in interest income from advances and a 4% YoY growth in net interest expenses. The bank’s net interest margin (NIM) declined 17 basis points (bps) to 4.4% due to higher provisions and decline in interest income from deposits.
JSFBL’s other income decreased 34% YoY to ₹55 crore, mainly due to lower sale and commission income and lower dividend income. The bank’s operating expenses jumped 24% YoY to ₹341 crore, driven by higher staff costs, expenses on technology and higher other expenses.
The bank’s provisions and contingencies decreased 35% YoY to ₹143 crore, mainly due to a decrease in specific provisions for non-performing assets (NPAs). As a result, the bank’s provision coverage ratio increased to 73.3%, from 54.1% in Q3 FY22.
JSFBL’s total assets increased 14% YoY to ₹38,115 crore, driven by growth in deposit and advances. The bank’s deposit increased 16% YoY to ₹25,415 crore, and advances grew 12% YoY to ₹12,602 crore. The bank’s capital adequacy ratio (CAR) remained satisfactory at 25.5%, above the regulatory requirement of 15%.
Going forward, the bank is expected to continue to focus on growing its deposit and advances, improving the quality of its assets, and enhancing operational efficiency. the bank’s robust capital base and improving asset quality are positive indicators, although the decline in net profit is a concern. Overall, the Q3 performance was mixed, with the bank taking steps to navigate the challenging market conditions. However, its growth prospects and long-term potential remain positive.
Jana Small Finance Bank’s Q3 numbers reveal an 18% year-over-year decline in net profits to ₹110 crore, while net interest income surges 8% to ₹593 crore, according to latest financial results.
Jana Small Finance Bank (SFB) has announced its third-quarter results for the period ending December 2022. According to the bank’s latest reports, Jana SFB’s net profit declined by 18% year-over-year (YoY) to ₹110 crore. This dip is attributed to several factors, including higher provisions, increased operational costs, and slower growth in deposit and credit demand.
However, the bank reported an 8% year-on-year growth in its Net Interest Income (NII), standing at ₹593 crore. NII represents the difference between the interest earned from lending activities and the interest expended on deposit collections. The 8% growth is a significant increase, demonstrating Jana SFB’s ability to diversify its interest income sources.
The bank’s total assets, which stood at ₹39,344 crore at the end of the previous financial year, has increased to ₹43,355 crore in Q3. Net advances also recorded a rise of 4.5% year-on-year, reaching ₹36,343 crore. Total deposits, including deposits from commercial papers and treasury, grew 14.3% year-on-year to ₹16,321 crore.
In the third quarter, the bank saw its gross non-performing assets (NPAs) rise to 9.53%, up from 8.38% in the same period the previous year. Net NPAs, which measure the portion of bad debts recognized in the books, rose to 2.35%, against 2.13% the previous year. The increase in NPAs and provisioning for possible defaults, respectively, has been the main contributing factor to the decline in Jana SFB’s net profit.
Despite this decrease, Jana SFB continues to maintain a high level of credit quality. In Q3, the bank had a Provisioning Coverage Ratio of 56.1%, showing its capacity to absorb potential write-offs in future periods. During the same quarter, Jana SFB received additional capital infusions from its holding company, with the aggregate shareholder funds standing at ₹13,144 crore, up 2.6% year-on-year.
Given Jana SFB’s growth strategy and increasing interest rate environment, there is likely pressure on its Net Interest Margin. The bank can mitigate this challenge by leveraging deposit growth and fee-based income generation. While profit growth is still a significant priority, the decline in Jana SFB’s Q3 results, primarily driven by provisioning for NPA increases and operational expenses, may result in a period of stabilization or mild growth rather than rapid expansion.
Overall, despite the current regulatory environment, Jana SFB seems to have executed its core operational strategy efficiently and effectively, driven by diversifying its NII sources, with a moderate but steady pace in deposit growth, and improving financial inclusion outcomes, while staying profitable.
Jana Small Finance Bank Announces Availability of Q3 Earnings Call Replay via TipRanks
Jana Small Finance Bank, a leading small finance bank in India, has released its Third Quarter Earnings Call Recording. The recording is now available on the company’s website, providing investors, analysts, and stakeholders with valuable insights into the bank’s financial performance during the third quarter.
The Earnings Call Recording offers an update on the bank’s financial results, including its revenue, net interest income, non-interest income, and net profit. The bank’s financial performance was driven by its strong loan growth, driven by its focus on lending to the underbanked and underserved segments of the Indian market.
The bank’s loan book grew by 20% year-over-year, driven by the growth in both retail and wholesale lending segments. The bank’s retail loan book grew by 18% year-over-year, driven by the growth in personal loans, home loans, and two-wheeler loans. The bank’s wholesale loan book grew by 22% year-over-year, driven by the growth in loans to micro, small and medium enterprises (MSMEs) and corporate clients.
In terms of deposits, the bank’s deposit book grew by 17% year-over-year, driven by the growth in current and savings accounts. The bank’s cost of deposits decreased by 14 basis points year-over-year, driven by the growth in low-cost deposits and the bank’s ability to manage its funding costs effectively.
The bank’s net interest margin (NIM) expanded by 25 basis points year-over-year to 14.8%, driven by the growth in earning assets and the bank’s ability to manage its funding costs effectively. The bank’s operating margin also expanded by 50 basis points year-over-year to 33.5%, driven by the growth in fees and commissions and the reduction in operating expenses.
The bank’s overall performance was strong, with a net profit of ₹143.5 crores, an 80% increase year-over-year, driven by the growth in net interest income and non-interest income. The bank’s return on equity (RoE) and return on assets (RoA) were 14.2% and 1.5% respectively, indicating a strong performance.
The bank’s Earnings Call Recording provides a detailed analysis of its financial performance, highlighting its strengths and weaknesses, and provides valuable insights for investors, analysts, and stakeholders. The bank’s strong financial performance is a testament to its focus on lending to the underbanked and underserved segments of the Indian market, and its ability to manage its cost of funds effectively.
Earn high returns with security: Explore banks offering 9.5% FD rates for a 3-year fixed deposit – Get the full list now and make your money work for you!
The Reserve Bank of India’s elevated interest rate regime has led banks to offer attractive rates on fixed deposits to attract new customers. Small finance banks, in particular, have been raising their FD rates to secure more deposits. According to a recent analysis, small finance banks have offered higher interest rates than scheduled commercial banks to attract more customers. This article examines the 3-year fixed deposit rates offered by top 10 small finance banks in January 2025, specifically for general customers and senior citizens.
The analysis reveals that Unity Small Finance Bank offers the highest FD interest rate of 9.5% for senior citizens and 9% for general customers for deposits of 1001 days. Other small finance banks, such as North-East Small Finance Bank, Suryoday Small Finance Bank, and Utkarsh Small Finance Bank, also offer competitive rates ranging from 8.5% to 9.1%.
Small finance banks, like Jana, Ujjivan, Equitas, ESAF, and Shivalik, offer rates between 8.25% to 8.75%. AU Small Finance Bank offers the lowest rate of 8% for general customers and 8.6% for senior citizens.
It’s essential to note that small finance banks are recognized as scheduled banks by the Reserve Bank of India, making deposits eligible for deposit insurance coverage up to Rs 5 lakh. Fixed deposits are considered a safe investment choice for retail investors, especially senior citizens, as they offer a guaranteed return upon maturity with low risk. Senior citizens, in particular, prefer FDs to avoid the risks associated with market-linked products in their later years.
Jana Small Finance Bank’s Q3 FY24-25 Earnings Post Weak Results, Sliding Profitability Trends
Jana Small Finance Bank’s third-quarter results for FY24-25 reveal a decline in its financial health, according to a score of -7, down from -3 in the previous quarter. Despite generating revenue of Rs 1,177.41 crore, the highest in five quarters, the bank’s profitability metrics show significant declines. Profit Before Tax (PBT) stands at Rs -72.06 crore, a 114.6% drop from the average PBT of Rs -33.58 crore in the previous four quarters. Profit After Tax (PAT) has decreased by 38.8% to Rs 110.66 crore, down from the average of Rs 180.90 crore.
The bank’s operating profit margin has reached its lowest point at 8.64%, indicating a deterioration in efficiency. The operating profit (PBDIT) of Rs 101.69 crore marks a negative trend. The bank’s heavy reliance on non-operating income, which accounts for 168.41% of PBT, raises concerns about the sustainability of its business model. Overall, the bank’s third-quarter results suggest a challenging performance, with several warning signs about its financial health.
Investors can earn up to 9% interest rate, capped at three years; view the complete list of participating banks here.
It is becoming increasingly rare to find banks offering interest rates of up to 9% on fixed deposits (FDs). However, some small finance banks are still offering competitive rates to general citizens and senior citizens. For example, North-East Small Finance Bank is offering a 9% interest rate on FDs maturing in three years to general citizens, while senior citizens can earn up to 9.5% interest.
Other small finance banks that offer attractive interest rates on FDs include Suryoday Small Finance Bank (8.6%), Utkarsh Small Finance Bank (8.5%), Jana Small Finance Bank (8.25%), and Unity Small Finance Bank (8.15%). However, it’s essential to note that small finance banks have a unique business model and may pose slightly different risks compared to scheduled commercial banks.
It’s recommended that investors limit their exposure to small finance bank FDs to an amount that falls within the Deposit Insurance Credit Guarantee Corporation (DICGC) coverage of Rs 5 lakh. This ensures that their principal and interest are protected in unforeseen circumstances.
Additionally, it’s crucial to be aware of the tax implications of FDs. According to HDFC Bank, the Tax Deduction at Source (TDS) will be deducted when the interest payable or reinvested on RD and FD per customer across all branches exceeds Rs 40,000 (Rs 50,000 for senior citizens) in a financial year. The bank will also recover TDS from the principal amount of the FD if the interest amount is insufficient to recover TDS.
Overall, while it may be challenging to find high-interest rates on FDs, small finance banks are offering competitive rates to general citizens and senior citizens. However, it’s essential to exercise caution and consider the unique risks and tax implications associated with small finance bank FDs.
Boost Your Savings: 5 Small Finance Banks Offer Jumbo Returns on 3-Year Fixed Deposits up to 9% – Check the List Now
Small finance banks are offering attractive fixed deposit (FD) rates to customers, with some offering as high as 9% interest rate on 3-year deposits. Here are 5 small finance banks that are offering high FD rates on 3-year deposits:
1. Ujjivan Small Finance Bank: Ujjivan SFB is offering a 9% interest rate on 3-year FDs, with a minimum deposit requirement of ₹15,000.
2. Equitas Small Finance Bank: Equitas SFB is offering an 8.75% interest rate on 3-year FDs, with a minimum deposit requirement of ₹10,000.
3. Au Financiers (India) Limited: Au Financiers is offering an 8.75% interest rate on 3-year FDs, with a minimum deposit requirement of ₹10,000.
4. Suryoday Small Finance Bank: Suryoday SFB is offering an 8.5% interest rate on 3-year FDs, with a minimum deposit requirement of ₹10,000.
5. Jana Small Finance Bank: Jana SFB is offering an 8.25% interest rate on 3-year FDs, with a minimum deposit requirement of ₹10,000.
These small finance banks are offering higher interest rates compared to traditional banks, making them an attractive option for customers looking for higher returns on their deposits. Additionally, these banks are also offering other benefits such as higher interest rates on senior citizens, special schemes for women, and online FD booking facilities.
It’s worth noting that the interest rates offered by these small finance banks may vary depending on the location and the customer’s profile. Customers should check the interest rates and terms and conditions before opening an FD account.
In comparison, traditional banks such as State Bank of India, ICICI Bank, and HDFC Bank are offering interest rates ranging from 5.5% to 7.5% on 3-year FDs. This highlights the competitive advantage that small finance banks have in terms of offering higher interest rates to customers.
Overall, small finance banks are offering attractive FD rates to customers, making them a viable option for those looking for higher returns on their deposits.