If you want guaranteed returns, then invest in FD, you will get many more great benefits

Fixed Returns-No Risk

  • At the beginning of investing in FD, it is told that how much profit you will get on maturity.  
  • In no case does one get more money nor less.

tax benefit

  • Tax exemption can be claimed under Section 80C of Income Tax Act 1961 for holding FD for five years or more.
  • You can get tax exemption up to Rs.1.5 lakh in a year.
  • Tax has to be paid on FDs of less than 5 years.
  • If the interest received from all the banks in a year is more than 40 thousand rupees, then it will also be taxed.


  • Loan is easily available from the bank on getting FD.
  • Some banks also provide overdraft facility on the basis of FD.
  • FD is your guarantee in a way . In case the loan is not repaid, the loan amount will be covered by your FD.

insurance cover

  • Insurance coverage of Deposit Insurance and Credit Guarantee Corporation (DICGC) is available on making FD in the bank. 
  • If the bank defaults or becomes insolvent, 5 under this insurance cover Lakhs up to Rs. 
  • Includes principal and interest.

Life Insurance

  • If you have made FD in bank then you can also get free life insurance.
  • Many banks provide this facility. Banks offer life insurance equivalent to the FD amount to their customers. 

Read also:

These great smartphones are available with 8 GB RAM, the price is less than 20 thousand rupees


Leave a Reply

Your email address will not be published. Required fields are marked *