Every person who is earning wants to invest a part of the savings after his expenses so that his investment is safe, and some income from the invested amount is also the first choice of most people. People also go to invest in FD because it is risk-free. At present, in addition to bank fixed deposits, post office time deposits are also a good option for investment. If you are thinking of investing in a fixed deposit scheme for savings, you have both Bank Fixed Deposit and Post Office Time Deposit options. We are giving you investment information about both of them in this news.
Bank Fixed Deposit
The FD period in the bank is starting from 7 days and is a maximum of 10 years. Bank FD can be opened in any bank. Most of the banks also have the option of an online FD account. Before opening the online FD, take information about the minimum and maximum amount, documents, etc. from the banker. However, the interest rate on the FD of different banks varies. The bank's FD rets can be reported from their website. However, all banks are continuously cutting their deposit rates (Fds) in the recent past. SBI is currently paying interest at the rate of 6% to ordinary citizens. If it comes to Axis Bank, it is paying interest at the rate of 6.50% on FD. Bank of Baroda is paying interest at the rate of 6.25%.
Post Office Time Deposit
The post office has an option of 1 year, 2 years, 3 years, and 5 years. Now you have to decide how many tenures you want to opt-out for it. From security point of view, the security of your deposit in the Post Office deposit is maximum as it guarantees the government. The time deposit account in the post office can be opened at least Rs. 1000. There is no limit to deposit the maximum amount. It has the facility of both single and joint accounts. If the age is more than 10 years old, the account is also opened in the name of minor, and the parent has to be looked after by his adult. The investment made for 5 years in the scheme is eligible for tax benefit, and exemption can be availed under section 80C of Income Tax Act 1961. It can open accounts in both cheques and cash. Also, the account opened in one post office has the facility to be transferred to another.
SEBI registered investment advisor, and certified financial planner Manikaran Singhal said, "Both are equal to returns and taxation, the difference is that the bank fixed deposit is safe for a time, as in the budget, the government has increased it from 1 lakh to 5 lakh. While the entire money in the post office is safe, yes, if you talk about interest, the interest rate in the post office is still higher than the bank. Financial advisor Jitendra Solanki says that in recent times, the Post Office time deposit bank is paying more interest than FD. Almost everything is the same in both the other investment options, so it would be right to invest in the post office in terms of investment.
How safe is your money
The bank guarantees security on deposits up to 5 lakh. Banks use your money in their business. Your 100 percent investment in the post office guarantees security.
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