A lot of individuals view investing in FDs as secure. The explanation for this is that there is no anxiety about a decline like in the stock market. Investors receive returns at a predetermined interest rate. Simultaneously, numerous investors are unwilling to take risks with their investments. Consequently, FD serves as a superior choice for them.
Numerous banks are offering attractive interest rates on fixed deposits. When discussing elderly individuals, they receive greater returns compared to regular investors. Consequently, older adults prefer to invest in fixed deposits. At present, several banks are providing over 8 percent interest on 3-year fixed deposits for senior citizens (individuals aged over 60). Elderly individuals are also exempt from income tax on investments in fixed deposits. Elderly individuals can benefit from an income tax deduction of up to Rs 1.50 lakh on deposits in fixed accounts under section 80C of the Income Tax Act of 1961. Nonetheless, this exemption applies solely to FDs that have a lock-in period of 5 years.
Numerous banks are providing favorable interest rates to senior citizens on three-year fixed deposits. This interest rate exceeds 8 percent. These banks encompass institutions from the private sector as well as the public sector.
RBL Bank
This private banking institution is providing senior citizens with an 8% yearly interest rate. If you put Rs 1 lakh in this bank for a year, you will receive Rs 1,08,243. In three years, this investment will increase to Rs 1,26,824.
DCB Bank
This bank provides the highest interest rate on fixed deposits for senior citizens. The yearly interest rate for this bank stands at 8.05 percent. By investing Rs 1 lakh in a fixed deposit at this bank, the total will grow to Rs 1,08,296 after one year. For a three-year FD, this amount will rise to Rs 1,27,011.
Desclaimer : For any financial invest anywhere on your own responsibility, Times Bull will not be responsible for it.