Evaluating Customers Perception towards Savings Instruments: with Special Reference to Fixed Deposit

This research investigates customer perceptions of savings instruments, focusing on fixed deposits (FDs), which remain a popular investment choice for their safety and guaranteed returns. Despite competition from other financial products like mutual funds and bonds, FDs continue to attract risk-averse investors. The study, conducted for Shriram Finance, evaluates factors influencing consumer decisions, including safety, returns, liquidity, and tax implications, while considering the demographic impact of age, income, and education. Primary data were collected through structured surveys of 50 respondents across various demographics. The findings reveal that while FDs are favoured for their security and simplicity, low returns and lack of flexibility deter some investors. Awareness of advanced FD features such as tax-saving options remains limited, highlighting a need for better customer education. Younger investors tend to diversify their portfolios, favouring higher-risk products, whereas older and middle-income groups prioritize the stability of FDs.