Edelweiss Financial Services Ltd said its subsidiary Edelweiss Retail Finance is offering interest rates of 8.75% to 9.25% to retail investors who want to put in Rs 1,000 or more in the company's debentures.\r\n\r\nDebentures are like bonds, and are issued by a company with a fixed tenure, after which they are redeemed.\r\n\r\nThe interest rate offered by Edelweiss is higher than the rates available in banking channels. Fixed deposit interest rates in India are in the 6%-7% range at present.\r\n\r\nThe actual interest rate on the debenture will depend on the tenure, which varies from 3 years to 10 years.\r\n\r\nInterest will be paid monthly or annually, according to the choice made by the investor, the company said.\r\n\r\nThe debentures will also be listed on the BSE and the NSE, allowing investors to sell the instrument before the maturity period. They can be purchased from Edelweiss Financial Services or from Axis Bank.\r\n\r\nThe debentures have received \u201cAA\/Stable\u201d rating by CRISIL and \u201cAA\u201d rating with a Stable Outlook by ICRA.\r\n\r\nThe issue is open from today to the 22nd of this month.\r\n\r\nThe company plans to raise between 250 to 500 cr via the issue, to be used in its retail lending business.\r\n\r\n\u201cThe credit needs of the SME sector have not been adequately addressed thus far. This is a significant opportunity which we are addressing through our rapidly expanding reach and customized product offerings in ERF," said\u00a0Anil Kothuri, Head \u2013 Edelweiss Retail Finance.\r\n\r\nERFL (Edelweiss Retail Finance) is focused on loans to individuals and corporates, including SME Finance, loans against property, construction finance and rural finance. As on January 31, 2018, ERFL had 83 branches.