Auto Sweep Facility: In this scheme, interest will be available like an FD, like a savings account, withdraw money whenever you want

New Delhi. Auto Sweep Facility is a banking facility that gives the simultaneous benefits of your savings account and fixed deposit (FD). In it, the bank automatically changes the extra money you keep in the savings account, which makes you interested as an FD. Not only that, if needed, you can easily withdraw the FD without breaking, such as withdrawing money from a savings account. You can go to your bank and select the Swap-FD option in your savings account.

Special things of this scheme:
Interest rate-
The additional amount that converts the FD into the Auto Sweep account is interested in the FD (such as 6 % – 7 % according to the bank). This interest is higher than the savings account.

Liquidity
If you need money, you can withdraw money at any time. It needs it, the same is broken by the FD.

Limit of limit-
The bank sets a limit (such as 000 25,000). The amount above it automatically turns into an FD. The bank also gives the account holder the option to customize it as needed.

Term
The period of FD in the broom depends on the bank’s rules and the consumer selection. Sweep in FD usually lasts 1 to 5 years.

Suppose your savings account is Rs 50,000 and the limit limit is Rs 25,000. The remaining 25,000 will be moved to the FD, which you can earn up to 6-7 %. If you want to withdraw Rs 40,000, Rs 25,000 will be saved and Rs 15,000 will be sweeping from FD.