Get Fixed Deposit Scheme - 2015 - Vatika Group

In the last 20 years, that is, from 2000 to 2023, the average interest rate in India dropped from 10.50% to 5.90%. The financial market conditions, the RBI policies, and the country's economic conditions accounted for this change.

In a Fixed Deposit, you put a lump sum in your bank for a fixed tenure at an agreed rate of interest. At the end of the tenure, you receive the amount you have invested plus compound interest.

These types of FDs are known as tax-saving fixed deposits, and they usually have a tenure of 5 years. Normal deposit accounts are liable for taxation.. However, a 5-year fixed deposit offers a tax-free deduction on investments of ₹1.5 lakhs currently.

You can also check out how different deposit amounts grow via FDs for 5 years. 8.05% p.a. 7.75% p.a.

Bank FD Interest Rates in India 2023 – Regular & Senior Citizen Rates BankFD Interest Rate for General CitizensSenior Citizen FD Interest RatesIndian Bank2.80% – 6.30%2.80% – 7.05%IDBI Bank3.00% – 6.10%3.50% – 6.85%Citibank1.85% – 3.50%2.35% – 4.00%PNB3.50% – 6.10%4.00% – 6.90%28 more rows

A 5-year term deposit is also called a Tax-Saving FD. If you invest in one, you are eligible for tax deductions under Section 80C of the Income Tax Act, 1961. You can claim up to a maximum of Rs. 1.5 lakh.

One can claim an income tax deduction by investing money in a five-year FD scheme under Section 80C of the Income Tax Act, 1961. The features, benefits, and terms associated with this type of account may not be completely the same as the normal FD accounts.

5 Year Time Deposits qualify for tax deduction under Section 80C of the Income Tax Act. Even minors aged 10 years and above can operate the account by themselves. Nomination facility is available. The investments are quite flexible and be made with an amount as low as Rs.