Tax Saving FD: You can also save tax through fixed deposits. In tax saving scheme, one gets the benefit of tax exemption under Section 80C of the Income Tax Act. It matures in 5 years. During this period interest also continues to be received. Different banks offer different interest on deposits. Let us know which public sector bank is currently offering how much interest-
State Bank of India (SBI)
SBI is the largest government bank in the country. The bank is offering 6.50% interest on tax saving FD to common citizens. The interest rate for senior citizens is 7.50%.
Punjab National Bank (PNB)
Public sector Punjab National Bank is also offering attractive interest on tax saving FD. The interest rates are 6.50% for general citizens and 7.70% for senior citizens.
Bank of Baroda (BoB)
Bank of Baroda is also giving good returns on tax saving FD. The interest rates are 6.50% for general citizens and 7.15% for senior citizens.
These banks are also giving attractive interest
Many private sector and small finance banks are also offering good interest on tax saving fixed deposits. HDFC Bank, IDFC Bank and Axis Bank are offering 7% interest to ordinary citizens. Suryoday Small Finance Bank is offering 9.10% interest. Unity Small Finance Bank and Fincare Small Finance Bank are offering 8% interest along with tax exemption.
