SBI Senior Citizen FD vs SCSS: Both SBI Senior Citizen FD Scheme and Senior Citizen Saving Scheme are safe schemes run for senior citizens. Know in this article which is getting the highest interest.
Bank FD and Post Office Senior Citizen Saving Scheme (SCSS) are considered very good investment options for senior citizens. This is because there is no risk of losing money in both these schemes. Along with this, the facility of getting money on month to month basis is also available to senior citizens in both the schemes.
Today in this article we will compare SCSS and SBI Senior Citizen Bank FD to see where senior citizens get more benefits by investing.
Senior Citizen Saving Scheme (SCSS)
The Central Government has announced an interest rate of 8.2 percent on the Senior Citizen Saving Scheme for October-December. That means, at present, the government is giving 8.2 percent annual interest on senior citizen saving scheme. Investment can be made in this scheme for five years. And after completion of five years, it can be extended further for three years.
Once an investment is made, the interest rate remains fixed till maturity. Interest is paid quarter on quarter starting from the period of deposit. You can invest in this scheme from Rs 1000 and a maximum of Rs 30 lakh can be invested. Only citizens above 60 years of age can invest in this scheme. The biggest advantage of this scheme is that it provides exemption under Section 80C of Income Tax.
SBI Bank Senior Citizen FD
At present, SBI is giving 7.6 percent annual interest to senior citizens on Amrit Kashal FD of 400 days. The benefit of this scheme can be availed till 31st December. The biggest disadvantage of FD is that there is no income tax exemption on investing in it.
