How much will you benefit from investing Rs 1 lakh in a tax-saving FD? Check returns from SBI, PNB, Canara Bank and Post Office
Here’s a look at the returns you can expect from a Rs 1,00,000 FD at SBI, PNB, Canara Bank and the Post Office.
A 5-year FD is known as a tax-saving FD, which offers the benefit of Section 80C of the Income Tax Act. Under Section 80C, you can claim a deduction of Rs 1.5 lakh from your total income. These FDs are available at various banks and post offices, with differing interest rates. Here’s a look at the returns you can expect from a Rs 1,00,000 FD at SBI (State Bank of India), PNB, Canara Bank and the Post Office.
Returns from SBI
SBI offers an interest rate of 6.75 per cent on a 5-year FD. Senior citizens receive a higher rate of 7.25 per cent. Investing Rs 1,00,000 in an SBI FD will yield Rs 1,39,749 upon maturity for a regular investor, while senior citizens will receive Rs 1,43,226.
Returns from Canara Bank
Canara Bank offers 6.80 per cent interest to general investors and 7.30 per cent to senior citizens on a 5-year FD. This means that a Rs 1,00,000 investment will yield Rs 1,40,094 for regular investors and Rs 1,43,578 for senior citizens upon maturity.
Returns from Post Office
Investing Rs 1,00,000 in a Post Office FD will fetch an interest rate of 7.5 per cent. After 5 years, the maturity amount will be Rs 1,44,995.
Returns from PNB
PNB provides an interest rate of 6.50 per cent on a 5-year FD. Senior citizens earn 7.00 per cent, and super senior citizens receive 7.30 per cent. With a Rs 1,00,000 investment, regular investors will get Rs 1,38,042, senior citizens will receive 1,41,478, and super senior citizens will obtain Rs 1,43,578 upon maturity.