If you are looking for a safe investment and want your money to provide a fixed return without any risk, then Canara Bank's FD scheme could be ideal for you. At a time when most banks have reduced interest rates on fixed deposits, Canara Bank is offering attractive interest rates to its customers through a special FD scheme. The biggest advantage of this scheme is that not only is your money safe, but you also receive a fixed and reliable return upon maturity.
Who is it popular among, and how much interest is Canara Bank offering?
Canara Bank's FD scheme is especially popular among those who want to invest their money safely, away from the fluctuations of the stock market. An FD account can be opened at the bank for a minimum of 7 days to a maximum of 10 years. The interest rates are determined based on the investment tenure and the age of the investor. Currently, Canara Bank is offering interest rates ranging from 3 percent to 7.10 percent on FDs, which is considered quite impressive for a public sector bank.
Why is the 555-day special FD so special?
Canara Bank's 555-day special FD scheme is currently in the spotlight.
The bank is offering higher interest rates on this FD compared to regular FDs.
Regular citizens get 6.50 percent interest on this tenure FD.
For senior citizens, this rate goes up to 7.00%, and for super senior citizens above 80 years of age, it reaches 7.10%.
This makes it quite beneficial for those who want a safe income after retirement.
How much return will you get on an investment of ₹1 lakh?
If you are a regular investor under 60 years of age and deposit ₹1,00,000 in Canara Bank's 555-day FD, you can expect to receive a total of approximately ₹1,36,354 upon maturity. This means you will get a fixed interest of approximately ₹36,354 on this investment. However, if you are 60 years or older and fall under the senior citizen category, the same investment can fetch you approximately ₹1,39,750 at maturity. In fact, senior citizens get a guaranteed interest of approximately ₹39,750, which can be considered a safe and reliable return in today's times.
Canara Bank FD: Easy Return Calculation
🔹 Returns on 555-day FD
Investor Category Investment Amount Maturity Amount Total Interest
General Investor (Under 60 years) ₹1,00,000 ₹1,36,354 ₹36,354
Senior Citizen (60+ years) ₹1,00,000 ₹1,39,750 ₹39,750
High Interest Rates Also Available on 5-Year FDs
Canara Bank is not only offering attractive interest rates on its 555-day FD, but it is also providing excellent interest rates on its 5-year FD.
The bank offers a 6.25 percent interest rate to general citizens on its 5-year FD scheme.
The bank is offering a 6.75 percent interest rate to senior citizens.
This scheme is best for investors who want to make safe investments for the long term while also saving on taxes.
Interest Rate on 5-Year FD
Investor Category FD Tenure Interest Rate
General Citizen 5 years 6.25%
Senior Citizen 5 years 6.75%
What was the impact of the RBI's decisions on FDs?
Last year, the Reserve Bank of India cut the repo rate by approximately 1.25 percent. While this decision made home loans, car loans, and personal loans cheaper, the reduction in interest rates on FDs was also evident to everyone. Almost all banks reduced their FD interest rates. But even after this, Canara Bank continues to offer attractive interest rates on its FDs.
Who is this FD right for?
Simply put, if you want to avoid risk, are planning for a safe income after retirement, or want to invest your savings in a reliable government bank, then this Canara Bank FD scheme could be a good option for you. This scheme is especially considered a good option for senior citizens as it provides a fixed income.
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