Consider as one of the most popular instrument investment in India; Fixed Deposit attracts attention due to its guarantee returns and low risk. There are savings accounts which offer the interest at 3.5 to 4 % p.a. Whereas the interest in the fixed deposit is 9.20 % and up to more p.a. Well, it means that if you have the idle cash in your bank accounts, they can invest in their fixed episode which offers the higher returns. Well including that there are lots of other things which are important to know in 2019.
What are the things that you need to know about choosing the best scheme?
Contents
There are some essential aspects that the investor gets once they invest in FD. Well, it’s important to consider so you can get the maximum returns during the investments. Here are the points for you :
- FD rate: the rate of the tenure, which has the main importance for the depositors. There are several banks which offer a higher interest in FD rates that comes with different options in tenure. To get the best ones a highest, you have to set the goal that you have for the financial purpose.
- Tenure: The time when you deposit the money is one of the important aspects while choosing the better options in FD. The banks offer the tenure that ranges between 7 to 10 years. You must invest in FD that choose the tenure which depends on what goal you have in your mind.
- Credibility: There are banks which offer higher inters, but there might be some risk. It’s recommended getting the few checks before you do the despite. Also make sure that the banks are certified by CRISIL, ICRA, etc.
What is a fixed deposit calculator?
Well, the interest can be deposited on different factors, which include the invested amount, rate of interest, tenure, interest computation frequency, and taxation. Well, the calculation can be done with the help of the calculate the process is easy as well as hassle-free. You just need to enter the a term deposit, FD type as it can be monthly, quarterly, payment or reinvestment. Apart from that, you have to add the amount you invested and date when the account was opened along with the interest rate.
What are the fixed deposits and income tax?
There are a few things that you must know about the fixed deposit interest and income tax, such as :
Banks don’t deduct the TDS if the interest income is from the fixed deposited as well as lesser than Rs. 40,000 in a year
Also, you need to submit the Form 15G and Form 15H, and it should be done at the beginning of the financial year. Also, the bank will not be going to deduct TDS in the submission of the following form.
The income that is earned on FD, also known as income from another source and the amount is completely taxable.
Conclusion:
We do invest our savings and we all know one of the best and secure option to save our funds is by opening a fixed deposit. Most of the banks do offer attractive interest rates on Fixed deposits tenure. In this post, we have mentioned all the details and bank which provides attractive interest rates on fixed deposits also the things you need to consider while opening a fixed deposit.
Raj Kumar is a qualified business/finance writer expert in investment, debt, credit cards, Passive income, financial updates. He advises in his blog finance clap.
