It’s that time of your life for which you waited for so long! Yes, retirement is not called the ‘golden phase’ of one’s life for no reason. It’s the time when you can be yourself again, visit any place, friend or relative, have loads of time to give to yourself and family.
You can fulfil your wish of learning a new skill by joining a special class and do many things that you could not get time to do in your professional life.
Since the retirement time is time to make merry and enjoy, it should not be wasted by being concerned about money issues. Yes, if you are the one who is nearing retirement in some years, you need to build a good income corpus to help you supply money later.
Where should you consider investing?
When it comes to investment schemes for senior citizens, there are many plans that you can go such as mutual funds, stocks, fixed deposit and more. Though mutual funds and stocks or equities could give you higher returns, their ROI is not guaranteed as they are affected by market conditions.
Thus, a safe and sound option for people like you nearing retirement is none other than opting for a senior citizen fixed deposit.
A senior citizen fixed deposit is an investment which can give you a fixed 8.20% fixed FD interest rate based returns for a minimum amount of Rs.25,000 with a tenor ranging between 1 year to 5 years.
Let’s list out some other vital benefits of a senior citizen fixed deposit plan.
- You can begin with a low investment amount
If you have saved Rs.25,000, you are good to go to open a lucrative fixed deposit account with an online service provider. Yes, you don’t have to put in a huge amount, unlike some other plans. Start with a minimum Rs.25,000 and stand to gain a fixed 8.10% returns.
- Get higher FD interest rates
Senior citizens are awarded the highest returns on their investment in an FD. Yes, as compared to standard citizens, lenders offer senior citizens with an additional 0.35%. It means getting more returns on your investment after the completion of the tenor.
- You can avail a loan against your FD
Have some urgent need of cash? Don’t break your FD account, face penalty and do away with the ROI that you were to get. You can avail a loan against your FD amount at a lower rate of interest to cover your financial needs.
- Online account access
When you open an FD account with a leading online lender, you can also track your fixed deposit details while sitting in your living room anytime. Like this, you save yourself from the inconvenience of visiting your lender’s office as you get all details on the go.
The Bottom Line
Now that you are aware of the most beneficial investment plan for senior citizens FD who are nearing retirement, it would be prudent to open an FD account right away. Happy Retirement!