Smallcase and other apps giving FDs at attractive interest rates. Is it safe?

[sid16]

Currently Smallcase shows 5 options for making FDs:

1. North East Small Finance Bank
2. Suryoday Small Finance Bank
3. Utkarsh Small Finance Bank
4. Shivalik Small Finance Bank
5. South Indian Bank

Smallcase says that the deposit in each bank is insured upto Rs. 5 lakhs by DICGC. Is it safe to invest in these FDs where return including interest is below 5 lakhs? Also, will the redemption be hassle free? Someone please guide on the same.

 

[helloworld]

Nowadays you can directly open FD of those banks by doing KYC.

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For illustration purpose..

consider all mentioned banks are "mutual funds of various companies".

smallcase is like broker to facilitate service so that you can view them all under single page instead login to each.

at the end of the day your mutual funds or fds are with those actual companies not smallcase.

 

[TechnoFi]

Currently Smallcase shows 5 options for making FDs:

1. North East Small Finance Bank
2. Suryoday Small Finance Bank
3. Utkarsh Small Finance Bank
4. Shivalik Small Finance Bank
5. South Indian Bank

Smallcase says that the deposit in each bank is insured upto Rs. 5 lakhs by DICGC. Is it safe to invest in these FDs where return including interest is below 5 lakhs? Also, will the redemption be hassle free? Someone please guide on the same.

It's safe but kindly also enquire about if Smallcase app vanishes in future then what will be the procedure of redemption if no branch of that particular bank is nearby your actual location.