1 Year FDs For Senior Citizens
|Banks||ROI in %|
2 Year FDs For Senior Citizens
|Banks||ROI in %|
|AU Small Finance Bank||7|
|Ujjivan Small Finance Bank||7|
How to apply for a senior citizen fixed deposit scheme?
- Depositors have to visit the post office and fill in the required FD form in order to open a senior citizen fixed deposit account in a post office. Either by cheque or demand draft, they will have to deposit the investment amount.
- In banks, depositors can also open an FD account. Many banks offer digital form applications where people can apply and submit their online FD account opening form. The minimum deposit amount is generally withdrawn from the chosen savings bank account of the investor.
- Elderly people can also prefer how the interest they want to be received or credited in their account i.e. on a monthly, quarterly, or annually basis.
Documents required to open a senior citizen fixed deposit account
To effectively open a fixed deposit account at any bank or non-banking financial companies (NBFC), the following list of documents will be required by senior citizens:
- Age proof: PAN Card, Aadhaar card
- Identity proof: Passport and Voter ID Card
- Residence proof: Passport, Aadhaar card, utility bills of last 3 months
- PAN Card or Form 60
- Form 15H
TDS applicable on senior citizen fixed deposit schemes
In the field of fixed deposits, banks and NBFCs subtract tax from the accumulated interest before being credited to the account of the investor. TDS is levied as the interest accrues, i.e. monthly, quarterly, half-yearly or annually, in the case of cumulative interest payout. Tax is withheld on the received interest for senior citizens @ 10 per cent when the interest surpasses Rs. 50,000 as compared to Rs. 40,000 for the general public.