If you’re looking to invest in fixed deposits with attractive interest rates, Punjab & Sind Bank and IDBI Bank are offering special schemes with competitive rates until December 31, 2024. These fixed deposit options come with various tenures for both general customers and senior citizens.
IDBI Bank’s Utsav Fixed Deposits
IDBI Bank’s Utsav Fixed Deposits are available for tenures of 300 days, 375 days, 444 days, and 700 days, with a deadline for investment by December 31, 2024. The interest rates for general customers are as follows:
- 300 days: 7.05%
- 375 days: 7.25%
- 444 days: 7.35%
- 700 days: 7.20%
Senior citizens enjoy slightly higher rates:
- 300 days: 7.55%
- 375 days: 7.75%
- 444 days: 7.85%
- 700 days: 7.70%
Special Conditions for IDBI Bank’s Utsav FDs:
- 300-day tenure is not available for NRE deposits.
- Premature withdrawal or closure is allowed.
- Staff and senior citizen rates do not apply to NRO and NRE term deposits.
Punjab & Sind Bank Special FD Rates
Punjab & Sind Bank also offers special fixed deposit schemes valid until December 31, 2024. The interest rates for general customers are:
- 222 days: 6.30%
- 333 days: 7.20%
- 444 days: 7.30%
- 555 days (callable): 7.45%
- 777 days: 7.25%
- 999 days (callable): 6.65%
Senior citizens receive an additional 0.50% interest on deposits under Rs 3 crore for tenures of 180 days or more. These rates range from 4% to 7.95%, with the highest rate offered on the 555-day callable deposit.
Benefits for Super Senior Citizens: Super senior citizens (aged 80 years and above) enjoy an extra 0.15% interest on select tenures, including 222, 333, 444, 555, 777, and 999 days. The highest rate of 8.10% is available on the 555-day callable deposit.
Taxation of Fixed Deposits in India
Interest earned on fixed deposits is taxable according to the individual’s income tax slab.
Example:
For a resident like Mr. Sinha a 50-year-old from Delhi, if the total interest earned annually is Rs 75,000, TDS will be deducted at a rate of 10% on the full interest, which is Rs 7,500. If his total income is below Rs 2.5 lakh, no additional tax will be due.
To avoid TDS deductions, individuals can submit Form 15G, confirming that their income is below the taxable limit, ensuring no TDS is deducted upfront.
These special FD schemes from IDBI Bank and Punjab & Sind Bank offer excellent opportunities to maximize returns on fixed deposits, but it is important to review the terms and conditions before investing.
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