Tax-saving fixed deposits (FDs) are among the savings options that offer tax benefits under Section 80C. An investor can deduct up to ₹1.5 lakh by investing in tax-saving FDs.
What are tax saving FDs?
The maturity period of tax saving BD is 5 years. The interest earned from tax saving FDs is taxable. Premature withdrawal is not possible in tax saving FDs and you cannot take loan against tax saving FDs.
A look at the interest rates offered by the country’s largest lenders such as State Bank of India (SBI), HDFC Bank, ICICI Bank, and Bank of Baroda (BoB)
Latest rates of SBI tax saving FDs
SBI offers an interest rate of 6.5% for general customers and 7% for senior citizens on its tax saving FDs. The minimum deposit in SBI income tax saving FD is ₹1,000 and multiples thereof but the maximum deposit should not exceed ₹1,50,000 in a year.
Latest rates of HDFC Bank tax saving FDs
HDFC Bank allows opening of tax saving deposits with a minimum amount of ₹ 100. HDFC Bank offers fixed deposits of maturity up to 10 years. The bank is offering 7% interest rate on tax saving FDs. Seniors receive an additional 50 basis points on these deposits.
Latest rates of ICICI Bank tax saving FDs
ICICI Bank offers an interest rate of 7% for general customers and 7.5% for senior citizens on BDs with a maturity of five to 10 years. It is the minimum amount required to open ICICI Bank tax saving BD ₹10,000, but the maximum deposit should not exceed ₹1,50,000 in a year.
On BDs maturing between five and ten years, BoB offers an interest rate of 6.5% for general customers and 7.15% for senior citizens.
Latest rates of Axis Bank tax saving FDs
On FDs maturing between five and ten years, Axis Bank gives 7% to the general public and 7.75% to senior citizens
Milestone Alert!Livemint tops the charts as the fastest growing news website in the world 🌏 Click here for more information.
Get the latest Business News, Market News, Breaking News Events and News Updates on Live Mint. Download the Mint News App for Daily Market Updates.
Less
Updated: 16 November 2023, 03:01 IST
Denial of responsibility! vismuseum.org.in is an automatic aggregator around the global media. All the content are available free on Internet. We have just arranged it in one platform for educational purpose only. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, all materials to their authors. If you are the owner of the content and do not want us to publish your materials on our website, please contact us by email – at loginhelponline@gmail.com The content will be deleted within 24 hours.