Women are the backbone of their families and communities. Financial goals and freedom are required by women of all ages and from all walks of life. Innumerable investment options are available today – some are more market linked than others, which can be risky. However, in the area of risk-free and guaranteed returns, Fixed Deposits(FDs) remain the easiest and safest investment option.
Women investors should keep their future goals in mind and invest with a long-term perspective. Fixed Deposit is a fixed income instrument with guaranteed returns. It is a low risk and safe saving option, which yields a steady and assured return. They are offered by Banks and other Non-banking Financial Companies (NBFC). Moreover, Fixed Deposits with a maturity date of over 5 years qualify for a tax exemption under Section 80C of the Income Tax Act,1961. The interest earned on the deposit remains taxable. If you earn less than Rs 5 lakhs, you can easily claim Tax Deducted at Source (TDS) on interest earned by filling out Form 15G/H.
There is no difference in the senior citizen age for females as far as banks are concerned. It remains at 60 for women and men. Higher interest rate and income tax benefits on the interest will be available to senior citizen women only at the age of 60 and above.
Women are becoming increasingly independent. Regardless of whether they are a homemaker or a working professional, they are asserting themselves. Needless to say, Fixed Deposits are a secure and safe choice for women to venture into savings and investment, which has, hitherto, remained a male domain.
With increasing online banking facilities, it has become very convenient for women to convert savings into Fixed deposits and reap the rewards of assured interest income. Availing compound interest on FD will ensure the growth of corpus and women can enjoy greater benefits.