Fixed deposit is a safe investment, in which you can invest from a minimum of Rs 100. The rules may be different in rural and urban areas. In some banks, you can start from Rs 500 to 1000.
Mumbai: Investing in gold or the stock market is not affordable and there is not enough money, so in such a situation, many people are looking for a safe investment. Be it a housewife or a young man who has just got his first job, everyone wants a safe
investment. You get that same safe investment in fixed deposits. The rate of keeping fixed deposits is still high in both rural and urban areas. The amount you deposit does not sink, but you also get interest on it. Therefore, it is considered a safe investment.
In many places, when you go to the bank, you are told to make an FD of Rs 10,000. This causes problems for many people. It is not that you have that much money in your hand. So if you do not know some of the rules, then there is a possibility that you will also be misled. Now, the rules may be different in rural and urban areas. We should also keep in mind that sometimes these rules change according to each bank.
This is important for everyone, you can make a fixed deposit of a minimum amount of Rs 100 and its multiples. In some government banks, you can start with Rs 500 to Rs 1000. However, in some banks, there is a limit of Rs 5000. You can keep a maximum amount of Rs 1.5 lakh in fixed deposits. On the other hand, regular bank FDs are not subject to a lock-in period and are not eligible for deduction under Section 80C of the Income Tax Act, 1961.
Some fixed deposits are also tax-exempt, but for that you have an amount restriction. Customers can make an FD of Rs 5,000 or Rs 10,000. Amounts below that cannot be made FD. Private banks have the facility to make fixed deposits starting from Rs 2,000 for women and children. So you can keep this amount up to Rs 50,000.
You can invest Rs 500 to Rs 5,000 per month. However, you may be taxed on this. The bank can deduct 10 percent TDS on the amount received. In schemes like Sukanya Samriddhi Yojana, where there is a lock-in period, you can keep money from Rs 250.
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