This Bank Is Giving 0.75% Additional Rate For Senior Citizens On FD For 3 To 10 Years

Because of the risk factor, fixed deposits are preferred by senior citizens over equity and stock holdings. Fixed deposits are safe debt products having a tenure ranging from seven days to ten years, allowing elderly residents to invest for the short, medium, or long term. Why do elderly folks favour fixed deposit investments the most? Because they get an additional rate over and above the bank's regular rate, and their deposits are insured by the DICGC up to Rs 5 lakhs. Fixed deposits not only provide secure returns but also allow you to save tax up to Rs 1.5 lakh under section 80C. However, tax benefits are only available if the deposit is maintained for at least five years. Apart from all of these advantages, we have selected Yes Bank, which offers an additional 0.75 percent rate to senior citizens on deposits maturing in 3 to 10 years, allowing them to not only earn higher returns but also claim tax benefits.

Yes Respect Plus Fixed Deposits

Customers of Yes Bank, a private sector lender, can choose from a variety of fixed deposit options. Regular customers can choose between a standard fixed deposit and a tax-saving fixed deposit. Yes Bank, on the other hand, provides two distinct deposit options for older citizens: Yes Respect Fixed Deposits and Yes Respect Plus Fixed Deposits. On domestic deposits maturing in 7 days to less than 3 years, the bank offers an additional 0.50 percent premium on the regular interest rate for elderly citizens on Yes Respect Fixed Deposits. This additional offer for elderly persons is offered by all banks in general, but the advantage offered on Yes Respect Plus Fixed Deposits is astounding.

Senior citizens can make deposits of less than Rs 2 crore for a maturity period ranging from 3 to 10 years under the Yes Respect Plus Fixed Deposits scheme. Senior folks can earn an additional 0.75 percent on these deposits, and they can also get regular income with monthly/quarterly payout options. When we compared this scheme with leading banks like SBI, HDFC, ICICI, and Axis Bank, we discovered that the interest rate on 3 to 10-year deposits is substantially higher. SBI's "SBI Wecare" Deposit plan gives older citizens the highest interest rate of 6.30 percent on long-term deposits of 5 years and up to 10 years. ICICI Bank and HDFC Bank, on the other hand, give elderly folks a maximum interest rate of 6.35 percent on deposits maturing in 5 years 1 day to 10 years.

On the other hand, Axis Bank gives older folks a maximum interest rate of 6.50 percent on deposits maturing in 5 to 10 years. What we can see here is that Yes Bank is providing older folks a 7% return on its Yes Respect Plus Fixed Deposits, which is a fantastic return for addressing mid-to-long-term goals. Yes Bank provides an annualised rate of 7.19 percent on deposits maintained for 3 to 10 years. As a result, the deposits are covered by DICGC, and the return they will receive is outstanding, therefore elderly residents who wish to create a fixed deposit account should look up to this initiative.

Yes Bank Fixed Deposit Rates For Senior Citizens

With effect from January 4, 2022, the bank is providing elderly folks an interest rate of 3.75 percent to 7% on deposits of less than Rs 2 crore maturing in 7 days to 10 years.

Period	Interest Rates For Senior Citizens	Annualised Yield
7 to 14 days	3.75%	3.75%
15 to 45 days	4.00%	4.00%
46 to 90 days	4.50%	4.50%
3 months to	5.00%	5.00%
6 months to	5.25%	5.28%
9 months to	5.50%	5.58%
1 Year	6.25%	6.40%
18 Months to	6.50%	6.66%
3 Years to	7.00%	7.19%
Source: Bank Website