INSUBCONTINENT EXCLUSIVE:
Bank FD rate: The maximum benefit that can be claimed through a five-year deposit is Rs 1.5 lakh a yearMajor lenders today offer income tax
benefits under a special type of fixed deposit (FD)
Using this FD, the investor can claim a deduction up to Rs 1.5 lakh a year from taxable income (under Section 80C of the Income Tax Act)
Baroda6.70%6.70%Canara Bank6.20%6.70%HDFC Bank7.25%7.75%ICICI Bank7.25%7.75%(Source: Bank websites)State Bank of India (SBI)The country's
the general public, PNB pays an interest rate of 6.25 per cent, and 6.75 per cent to senior citizens, according to the bank's website -
interest at the rate of 7.25 per cent to the general public, and 7.75 per cent to senior citizens on deposits in five-year tax-saving fixed
deposits, according to the lender's website - icicibank.com.HDFC BankHDFC Bank pays interest at the rate of 7.25 per cent to the general
allow a premature withdrawal from such an FD account before completion of five years from the date of issue
In other words, investment in these fixed deposits - tax-saving FDs - is locked in for a period of five years from the date of issue, which
means the investor cannot withdraw money during this period in order to utilize the tax benefit.
