SCSS vs senior citizen FDs of SBI, HDFC Bank, ICICI Bank, Axis Bank, PNB: Which offers highest interest rate?
The Senior Citizen Saving Scheme (SCSS) offered by the post office and bank fixed deposits (FDs) are two popular investment options for the elderly. Here is a comparison between the interest rates offered by SCSS and bank FDs for senior citizens.
SCSS interest rate
The government has not raised the SCSS interest rate for the current quarter (January- March 2024). Account holders will receive an interest rate of 8.2%. The tenure of the senior citizen savings scheme (SCSS) is 5 years and can be extended by 3 years. The interest is payable every quarter and is fully taxable. Minimum deposit shall be Rs. 1000 and in multiple of 1000, subject to maximum limit up to Rs. 30 lakh in all SCSS accounts opened by an individual. Investment under this scheme qualifies for the benefit of section 80C of Income Tax Act, 1961.PNB hikes FD rates again; increases fixed deposit interest rate by 80 bps on this tenure
Now let us take a look at the senior citizen FD interest rates offered by top private and public sector banks on 5-year tenure.
SBI senior citizen FD
As per the State Bank of India (SBI) website, it offers an interest rate between 4% to 7.50% (including SBI we care) for tenure ranging from 7 days to 10 years. The bank offers 7.25% on 5-year tenure.
Canara Bank senior citizen FD
Canara Bank offers an interest rate between 3.50% to 7.75% for 7 days to 10 years. The bank offers 7.30% on 5-year tenure.
PNB Bank senior citizen FD
Punjab National Bank offers an interest rate between 4% to 7.75% for 7 days to 10 years for senior citizens. For super senior citizens, it offers 4.30% to 8.05%. The bank offers 7% for senior citizens and 7.30% for super senior citizens on 5-year tenure.
HDFC Bank senior citizen FD
HDFC Bank offers an interest rate between 4% to 7.75% (including HDFC Bank Senior Citizen Care FD) for senior citizens. The bank offers 7.50% on 5-year tenure.
ICICI Bank senior citizen FD
ICICI Bank offers an interest rate between 3.50% to 7.50% (including ICICI Golden years FD). The bank offers 7.50% on 5-year tenure.
Axis Bank senior citizen FD
Axis Bank offers an interest rate between 3.50% to 7.75% for senior citizens. The bank offers 7.75% on 5-year to 10 year tenure.
SCSS vs senior citizen FDs of SBI, HDFC Bank, ICICI Bank, Axis Bank, PNB
BankInterest rateTenureSBI7.25%3 years to less than 5 yearsCanara Bank7.33 Years to less than 5 YearsPNB7% for senior citizens 3 years & upto 5 years7.30% for super senior citizensHDFC Bank7.54 Year 7 Months 1 day ICICI Bank7.50%3 years 1 day to 5 yearsAxis Bank7.75%5-10 yearsConnect with Experts - Wealth creation made easy
This story originally appeared on: India Times - Author:Faqs of Insurances
