SBI Scheme: If you are looking for a fixed income option without risk in the midst of the ongoing volatility in the markets, then you can invest money in the fixed income scheme of the bank. Tax exemption can also be available in this.
SBI Scheme: If you are looking for a fixed income option without risk in the midst of the ongoing fluctuations in the market, then you can invest money in bank FDs. In Bank FD, the customer can make a lump sum deposit in different tenors of 1-10 years. In this, the interest accrued at the time of deposit is fixed. On the maturity of the FD, the bank will give you the same interest. In this, there will be no effect of market volatility on the returns. You can also save tax on deposits in bank FDs. Fixed deposits (FDs) with a tenure of 5 years in banks can be claimed tax deduction. The country’s largest bank SBI is currently offering 5.50 per cent per annum interest to regular customers and 6.3 per cent per annum to senior citizens on 5-year FDs.
SBI: How much interest will be received on deposit of Rs 5 lakh
In SBI bank FD, if you do an FD of Rs 5 lakh for 5 years, the regular customer will get about Rs 6.57 lakh on maturity at 5.5 percent annual interest. That is, Rs 1.57 lakh will be a fixed income from interest. At the same time, if senior citizens make a 5-year FD for Rs 5 lakh, then they will get more than Rs 6.83 lakh on maturity. That is, fixed income of more than Rs 1.83 lakh in 5 years will be as interest. These interest rates of SBI are applicable from June 15, 2022, on deposits of less than Rs 2 crore. At the same time, if SBI employees make deposits for the same tenure, then they will get 1 percent more interest.
How much interest in PNB, BoB, HDFC Bank, ICICI Bank
Talking about the interest rates of 5 year tax saver FDs of other big banks, Punjab National Bank (PNB) is giving 5.75 per cent per annum to regular customers and 6.25 per cent per annum to senior citizens. Bank of Baroda (BoB) is offering 5.35% p.a. interest to regular customers and 6% p.a. to senior citizens. HDFC Bank is paying 5.70 per cent per annum interest to regular customers and 6.20 per cent per annum to senior citizens. At the same time, ICICI Bank is offering 5.70 percent annual interest to its regular customers and 6.2 percent to senior citizens. All these interest rates are applicable on deposits of less than 2 crores.
Benefits of Tax Saver FD
Fixed deposits / term deposits of banks are considered safe. This is a good option for risk-averse investors. One can avail tax deduction up to Rs 1.50 lakh under section 80C on tax saving FDs of 5 years. However, the interest earned from FD is taxable. Bank FD is a very popular scheme among the salaried class and senior citizens due to tax savings and fixed income.
(Note: Information about the interest rates available on FD has been taken from the official websites of banks.)
