Comparison of iWish, Recurring Deposit, and Fixed Deposit in 2025
Unlike traditional recurring deposits, iWish does not bind you to fixed monthly contributions. Instead, it allows you to set a financial goal and deposit any amount, at any time, toward that goal. This makes iWish particularly attractive for people with irregular income—such as freelancers or gig workers—or for those who prefer the freedom to save on their own terms.
A fixed deposit, where one keeps a particular sum of money aside each month is the simplest and most steady way of bolstering your financial position. FD provides you with a guaranteed amount as return on the amount you have invested in it.
A Recurring Deposit (RD) is a useful investment tool for those who cannot make the one-time payment that an FD requires, but deposits a fixed amount every month. The returns form an RD are also significant, and investors are guaranteed a particular percentage as returns.
iWish is a Recurring Deposit product introduced by ICICI Bank. It offers flexibility, allowing you to save and set money aside for the RD when you have the money to do so, and it also offers a more competitive interest rate.
RD Vs FD Vs iWish - Product Structure
Recurring Deposit- A Recurring Deposit (RD) is a financial instrument where a fixed sum of money is deposited every month for a pre-decided duration. They will receive interest on the amount they deposit at the same rate as for Fixed Deposits.
Recurring Deposits offer individuals flexibility in terms of investments since a fixed sum is to be invested each month. The individual can decide on the sum to be deposited, depending on his financial stability and disposable income.
Recurring Deposits offer another advantage in that the interest rate on the sum invested in the same as a Fixed Deposit interest rate. Individuals who opt for an RD stand to earn good returns on their investments even though they are made over a period of time as opposed to a lump sum investment.
In case the individual is in urgent need of funds, he can choose to withdraw or liquidate the holdings in the RD, depending on the terms of the Deposit. However this is to be done only in extenuating circumstances, when the individual has exhausted all other credit avenues.
Fixed Deposit - A Fixed Deposit (FD) is a an instrument offered by banks that provides a high rate of interest. Similar to a Savings Account, a Fixed Deposit is another form of an account wherein investors deposit a fixed sum of money for a particular time period. They receive interest at the end of the tenure of the deposit.
The difference between an FD and a Savings Account is an FD does not allow for easy liquidity. In other words, an individual cannot withdraw money from the Fixed Deposit if he has need of cash. It is for this reason that FD's offer a higher rate of interest as compared to Savings Accounts as well as Recurring Deposits.
A sum of money is generally deposited into the FD for a fixed period of time- the general times periods are 7, 15 or 45 days. FD's can also run into years, with the longest tenure being 10 years and the shortest being 1 year. An FD can be renewed if the individual so desires it, and the term can be extended based on the terms of the FD.
The interest earned from the FD is payable either monthly, annually or at the time of maturity of the FD, depending on the individual, allowing for flexibility when it comes to interest payments.
iWish- iWish is a financial product offered by ICIC Bank that combines the benefits of a Recurring as well as a Fixed Deposit. It is a flexible Recurring Deposit scheme that enables investors to invest money in the fund depending on their financial timelines, whenever they have the money to spare. In this regard, iWish is more flexible than a Fixed or even a regular Recurring Deposit.
As the name suggests, iWish was set up as a Recurring Deposit scheme with the aim of helping individuals achieve a financial goal or goals they have set themselves. By steadily making deposits towards it, they would not only be able to achieve it but also get the added boost of attractive interest rates.
In spite of providing such flexibility when it comes to investing money in the scheme, iWish offers the same rates of interest as a Fixed Deposit does, further adding to its appeal. Investors can thus benefit from the high rates of interest offered by the scheme and they can choose when to deposit money in the account.
In another move seen as a benefit, iWish allows you to share the goals you are saving for with family and friends. It also permits these individuals to help contribute to your goals by investing an amount towards their realization.
Compare iWish Vs RD Vs FD
In the below table, a comparison of the three products- Recurring Deposit, iWish and Fixed Deposit are given so individuals can choose the one best suited to their individual needs:
iWish Flexible Deposit | Fixed Deposit | Recurring Deposit | |
What is it? | Flexible RD with FD interest rate | One time deposit | Fixed schedule of deposits |
Minimum amount | Rs. 500 | Rs. 10, 000 | Rs. 500 |
Subsequent deposit amount | Any amount | Not applicable | Multiples of 100 |
Subsequent deposit date | At any time | Not applicable | Set date each month |
Deposits allowed per month | Unlimited | Not applicable | One on set date |
Penalty in case of no deposit for a month | No penalty | Not applicable | Yes |
Deposit duration | 6 months to 10 years | 7 days to 10 years | 6 months to 10 years |
Rates of interest | 7 - 7.50 % | 4 - 7.50 % | 7 - 7.50 % |
Can family/friends contribute | Yes | No | No |
Multiple goal saving | Yes | No | No |
As is seen above, the iWish deposit scheme offers a similar rate of interest along with added benefits like no limit on the number of deposits a month, no penalty charges for not depositing in a particular month etc.
It also offers the same duration as a regular Recurring Deposit, as well as the option to allow friends and family to contribute towards the deposit goal.
RD Article Pages
- Recurring Deposit Vs. Chit Fund
- Miss to Pay the Recurring Deposit Due
- Difference Between Recurring Deposit and SIP
- Open RD Account through HDFC NetBanking
- RD Account in SBI
- Advantages of Recurring Deposit
- Flexi RD
- SBI Flexi RD Schemes
- Monthly Recurring Deposit
- Indian Bank Recurring Deposit
- Union Bank Recurring Deposit
- UCO Bank Recurring Deposit
FAQs on iWish vs Recurring Deposit Vs Fixed Deposit
- What is the iWish flexible Recurring Deposit?
With this flexible recurring deposit, you can invest any amount at any time during the tenure as opposed to a fixed amount each month. In comparison to a standard recurring deposit account, it is more convenient.
- What is a fixed deposit?
A fixed deposit allows you to deposit a set amount here for a specific tenure, which can be anything from seven days to ten years. Your account will be credited with the interest that was earned on your deposit either monthly, quarterly or by reinvested interest in your principal. The interest rate remains fixed for the entire term of your investment.
- Who can open the iWish flexible Recurring Deposit?
The iWish flexible Recurring Deposit can be opened by all ICICI Bank customers who have internet banking.
- What is a recurring deposit?
In a recurring deposit, you make regular deposits of a certain amount. The majority of recurring accounts give investors the choice to deposit a fixed sum each month, and interest is also paid each month.
- What are the tenures available for the iWish flexible Recurring Deposit?
The iWish flexible Recurring Deposit can be opened for tenures ranging from six months to five years.
- What is the minimum deposit amount to open the iWish flexible Recurring Deposit?
The minimum deposit amount to open the iWish flexible Recurring Deposit is Rs.50.
- Will I have to pay a fine if I fail to pay my iWish flexible Recurring Deposit instalment?
No, you do not have to pay a fine if you skip paying your iWish flexible Recurring Deposit instalment.
- Do senior citizens get an additional interest rate benefit on the iWish flexible Recurring Deposit?
Yes, senior citizens are entitled to an additional interest rate benefit of 0.50% on the iWish flexible Recurring Deposit.
- Which is better: recurring deposit, fixed deposit, or iWish flexible RD?
You can open an FD if you have a large amount and want to invest it right away. An RD is suitable if you want to deposit only a small amount each month. The iWish flexible RD is a better option if you prefer to make varying monthly contributions or are unsure of your ability to invest consistently each month.
- Can I open the iWish flexible RD online?
Yes, you can open the iWish flexible RD online.
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