Many big banks including Bank of India (BOI), IDBI and Federal Bank have recently increased fixed deposit (FD) interest rates. If you are planning to get FD in these banks or any other bank these days, then you should know about Post Office Time Deposit Account. This scheme is offering maximum interest of up to 7.5%. Which is more than the interest available on FD in major banks of the country. We are telling you about the interest rates of fixed deposit (FD) and time deposit accounts of major banks of the country. So that you can earn more profit by investing in the right place as per your choice. National Savings Time Deposit Account is getting interest up to 7.5%. National Savings Time Deposit Account: Maximum interest is 7.5%. According to Rule 72, if you invest money in this scheme, it will take 9 years for the money to double. It will take a month. Fixed Deposit: Major banks of the country are offering maximum interest of 7% on FD. In such a situation, according to Rule 72, if you invest money in this scheme, it will take 10 years and 3 months for the money to double. You get the benefit of tax exemption on investing for 5 years. If you invest in time deposit scheme and FD for 5 years, you can avail the benefit of tax exemption under Section 80C of the Income Tax Act 1961. Under this, you can avail income tax exemption on investment up to Rs 1.50 lakh. Understand it in simple language, you can reduce up to Rs 1.5 lakh from your total taxable income through Section 80C. What is Rule of 72? This special rule of finance is Rule of 72. Experts consider this to be the most accurate rule by which it is decided in how much time your investment will double. You can understand this like if you have selected a special scheme of the bank, where you get 8% interest annually. In such a situation, you will have to divide 72 by 8 under the rule of 72. 72/8 = 9 years, i.e. under this scheme your money will double in 9 years.
