What is Auto Renewal in Fixed Deposit?
Auto renewal in fixed deposit is something I personally find really convenient. Basically, when your FD matures, instead of the money being credited back to your account, it gets reinvested automatically for the same tenure at the interest rate applicable on that day. I had chosen this option for one of my FDs so I didn’t have to worry about missing the maturity date or deciding what to do next right away. It just renewed on its own, and my money continued to grow without any manual effort. But yeah, it’s always good to double-check the terms or opt out if you want to use that money when the FD ends.