Bank of India pays interest rates to the tune of 5-6.95 per cent to customers on fixed deposits up to Rs 2 crore. These fixed deposits, also known as retail term deposits, are available in 12 maturity options ranging from seven days to 10 years at the state-run bank. For example, on one-year fixed deposits of a minimum Rs 5,000 and up to Rs 2 crore, Bank of India pays interest at the rate of 6.9 per cent to senior citizens and 6.4 per cent to other customers, according to its website - bankofindia.co.in. (Also Read: Compare Bank FD Rates Paid By Peers Here)
It pays a 50-basis-point (0.5 percentage point) higher return to senior citizens depositing a minimum Rs 5,000 in comparison to the general public, according to the Bank of India website.
Bank of India pays the following interest rates on fixed deposits up to Rs 2 crore:
Bank Of India Fixed Deposit Rates
| Maturity Period | Interest Rate (With Effect From October 10) |
|---|---|
| Seven to 14 days | 4.25% |
| 15 to 30 days | 4.25% |
| 31 to 45 days | 4.25% |
| 46 to 90 days | 5.5% |
| 91 to 179 days | 5.5% |
| 180 to 269 days | 9% |
| 270 days to less than one year | 6% |
| One year to less than two years | 6.4% |
| Two years to less than three years | 6.25% |
| Three years to less than five years | 6.25% |
| Five years to less than eight years | 6.25% |
| Eight years to 10 years | 6.25% |
| (Source: bankofindia.co.in) | |
(Bank Of India FD Interest Rate: On fixed deposits of two years, Bank of India pays a 6.25 per cent return to customers, and provides an additional return of 0.5 per cent to senior citizens on deposits of a minimum Rs 5,000, according to its website)
Investment in fixed deposits with a maturity period of five years offers income tax benefit up to Rs 1.5 lakh per financial year under Section 80C of the Income Tax Act. Interest income, however, is subject to income tax.
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