Tax-saving bank fixed deposits have a fixed tenure of 5 years. As a senior citizen, a bank fixed deposit is a great tool for you to invest your money. You can choose to invest a huge part of your money in bank fixed deposits because your principal investment amount will be safer as compared to equity investments.
Bank Name | Interest Rate |
IndusInd Bank Tax Saving FD | 7.75% |
RBL Bank | 7.60% |
IDFC First Bank | 7.50% |
Axis Bank | 7.75% |
DCB Bank | 7.90% |
Under Section 80C of the Income-tax Act,1961, you can claim a deduction of up to Rs.1.5 lakh in one financial year. The interest that you get on your deposits with a bank, post offices, or co-operative banks, is tax-exempt under section 80TTB of the Income Tax Act.
For example, as a senior citizen, you can claim a deduction of up to Rs.50,000 interest income that you get from all the above-mentioned from your gross total income before tax.
Nomination facility for tax-savings fixed deposits. When you open a fixed deposit, you should mention a nominee so that your legal heirs do not have to face any difficulties claiming the amount. When you submit a nomination, you have to give a form called Form DA1.
Almost all banks will ask you to deposit at least Rs.100 for a Tax Saver fixed deposit.
The scheme has a tenure range of 5 years and 10 years.
Anyone who is eligible for the scheme can invest in a tax saving fixed deposit.
Yes, most banks will give you an additional interest rate as a senior citizen.
No, banks will not allow you to make a premature withdrawal in tax-saving fixed deposits.
Credit Card:
Credit Score:
Personal Loan:
Home Loan:
Fixed Deposit:
Copyright © 2025 BankBazaar.com.