Here’s how senior citizens can enjoy monthly income after retirement
Retirement planning isn’t as simple as it was for our forefathers. Market volatilities and inflation rates can start depleting your savings at a rate faster that you’d expect. All through your earnings years, you may be addressing various responsibilities and turn a blind eye to retirement planning. But, before you fall prey to such situations and compromise on saving for retirement, consider taking control of your finances and working towards financially independence so that you can enjoy your post-retirement years.
To earn optimal returns and minimise risk, investing in a sound financial plan is important. Fixed income instruments like fixed deposits offer stability and assured returns.
Here are a few reasons why you should consider investing in a Bajaj Finance online Fixed Deposit:
Higher interest rates for senior citizens
Bajaj Finance Fixed Deposit offers some of the highest FD rates in India. For non-senior citizens, the applicable interest rate is 6.50%, and an extra 0.10% is offered to those who choose to invest online. Senior citizens can avail an additional rate benefit of 0.25%, irrespective of the mode of investment.
To understand how you can create your retirement corpus with Bajaj Finance FD, consider investing Rs. 50,00,000 as principal amount for 5 years. Given below is a tabular representation of returns at maturity for senior and non-senior citizens.
As the table suggests, you can earn up to Rs. 19,31,216 over a period of just five years. You can also use the FD interest calculator, available on the Bajaj Finserv website, for checking the interest payouts for different tenors and deposit amounts.
Additionally, you can also choose to invest in a non-cumulative FD to ensure that you meet your periodic expenses and liquidity requirements.
Consider investing Rs. 30,00,000 in a Bajaj Finance FD. Here is how much you can receive through a non-cumulative FD, with an investment tenor of 5 years.
This essentially works as a regular income source, which can be helpful post-retirement.
Loan against FD
You can easily avail of a loan against your own FD up to 75% of your FD amount to fund your liquidity requirements. This makes Bajaj Finance FD an attractive investment tool for investors, as they get an easy credit option in case of financial emergencies.
Easy investment process
With Bajaj Finance online FD, you can invest in just a few minutes using a hassle-free, paperless online process. There is no need to wait in long queues, with Bajaj Finance online FD you can invest from the comfort of your home.
Credible investment platform
Bajaj Finance online FD is a credible investment platform. Bajaj Finance is accredited with the highest safety ratings of FAAA/Stable by CRISIL and MAAA/Stable by ICRA. Higher safety ratings are an indication of timely payments and no defaults. With this, you can be rest assured that your principal amount and steady returns are in safe hands.
For best results, consider investing in fixed deposits offering a regular monthly payout option to meet your monthly expenses without any hassles. Additionally, you can also invest in FDs offering quarterly, half-yearly, and annual payout options to meet other expenses that occur less frequently. To fund one-time recurring expenses like your child’s wedding or taking a cruise around the world, you can invest in fixed deposits offering one-time interest payout along with principal on maturity. This will help you earn higher interest due to the power of compounding. Remember also that as a senior citizen your FD income is free from tax up to Rs.50,000 in a financial year. This makes an FD, both with a frequent payout and payout at maturity, a smart move for senior citizens looking to earn an income post retirement.
Disclaimer: This content is distributed by Bajaj Finserv. No HT Group journalist is involved in creation of this content.