A sweep in FD links your savings account to an automatic fixed deposit: balance above a threshold you set sweeps into an FD earning FD rates, and if you spend and the account runs low, money sweeps back out so your payments never bounce. For idle cash you want both reachable and slightly better yielding, it is one of the simplest tools going, with no separate app or fund to manage. The trade-offs are minor: the rate is still just an FD rate, and breaking the swept portion early can cost a little interest. It will not beat inflation, so use it for your buffer, not for long term wealth. The interest is taxable at your slab and TDS may apply, so the after tax return is lower than the sticker rate, and since tax rules change, confirm the current treatment with a CA before relying on a specific figure.
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The free, India-first grounding in what to do with cash once you have it: goals, allocation, SIPs, and not losing it to fees.
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