Senior citizen FD interest rates
Senior citizen FD interest rates at Axis Bank are notably 0.5% to 0.75% higher than those offered in case of regular fixed deposits, offering you an excellent opportunity to enhance your savings effectively.
This preferential rate ensures a significant boost in wealth accumulation and a more substantial payout upon maturity, providing a solid foundation for financial security during your retirement years.
Axis Bank's competitive rates on FDs allow senior citizens to maximize their earnings and enjoy a financially secure retirement.
To learn more about FD interest rates for senior citizens spanning from 7 days to 10 years, Click here.
Senior citizen Fixed Deposit scheme: Important highlights
| Feature | Details |
|---|
| Minimum and maximum investment amounts | Investments can start from as low as ₹5,000, with no upper limit on the maximum investment. This flexibility allows you to invest according to your financial capabilities and goals, ensuring that you can benefit
regardless of your investment capacity. |
| Tenure | Fixed Deposit tenure options range from 7 days to 10 years, offering flexibility. This variety in tenure allows you to plan your investments based on personal financial goals, whether you're looking for short-term
gains or long-term growth. |
| Premature withdrawals | It is allowed with a nominal penalty, ensuring liquidity. This feature provides peace of mind to you, knowing you can access your funds in an emergency without losing the entire interest earned. |
| Loan against FD | Up to 85% of your Axis Bank Fixed Deposit can be used as a loan. This allows for financial flexibility, enabling you to meet unforeseen expenses without breaking your FD and thereby maintaining the continuity
of earning interest on your deposits. |
Taxation under the senior citizen Fixed Deposit scheme
For senior citizens, the interest earned on FDs is taxable under "Income from Other Sources." However, a tax deduction of up to ₹50,000 is allowed under Section 80TTB of the Income Tax Act, providing a beneficial tax treatment
for senior citizens.
This provision helps lower your tax burden post-retirement, ensuring you can enjoy a higher net income from investments. Additionally, this tax advantage encourages all senior citizens to invest in FDs, offering them a safe
and reliable income stream.
Features and benefits of FD for senior citizens
FD for senior citizens comes with a suite of features and benefits, including guaranteed returns, higher interest rates, loan facilities against FD, and easy liquidity through premature withdrawal. These attributes make FDs
a cornerstone of your retirement planning.
Moreover, the preferential interest rates offered with senior citizen FD ensure that your savings grow at an accelerated pace, while the option for premature withdrawal offers flexibility in case of emergency, making it a well-rounded
financial product for you.
How do you open a senior citizen FD account?
Securing an FD for senior citizens is a hassle-free process that can be completed by visiting the Axis Bank branch or via an online application or mobile app. Axis Bank offers the convenience of online applications, allowing
you to fill out and submit the required forms digitally. Simply, login to Internet or mobile banking and choose the deposit option, then click on create Fixed Deposit and fill in the required details. For more details,
click here.
Additionally, as a senior citizen, you have the flexibility to choose the frequency of your interest payouts, which can be monthly or quarterly.
Documents required for opening a senior citizen FD Account
The following documents are required to open a senior citizen FD:
- PAN Card
- Completed application form for FD account opening
- Standard KYC documents like an Aadhaar card, passport, driving licence, or voter ID
- Recent passport-sized photographs
- Form 15H for tax exemption, if applicable
Eligibility for senior citizen Fixed Deposit
Individuals aged 60 years and above are eligible to open a senior citizen FD Account. To open a Fixed Deposit Account, senior citizens are required to possess a Savings Account with any bank. However, with the digital FD option
provided by Axis Bank, even individuals without an existing account can open a fixed deposit.
Axis Bank's Fixed Deposits offer growth for your savings, especially curated with attractive Fixed Deposit rates for senior citizens. With a modest start of ₹5,000, these FDs
come with a flexible tenure of up to 10 years. The bank's digital prowess streamlines the process, ensuring bank FD interest rates for senior citizens are both competitive and accessible remotely, enhancing convenience
and financial empowerment for the elderly.
