Bank of India fixed deposits offer decent interest rates to its investors. They have a flexible tenure, lower minimum deposit, loan against FD, nomination facility, and auto-renewal facility. Bank of India FD rates is higher than their savings bank account rates. Also, one needs to have a Bank of India savings account to invest in their FD. Furthermore, to invest in Bank of India FD, one can visit their nearest branch. Alternatively, they can also invest online on Bank of India’s website.
The following table shows Bank of India FD rates for regular and senior citizens for different tenures.
|Tenure||Fixed Deposit Interest Rates||Senior Citizen Fixed Deposit Interest Rates|
|7 days to 14 days||3.25%||3.75%|
|15 days to 30 days||3.25%||3.75%|
|31 days to 45 days||3.25%||3.75%|
|46 days to 90 days||4.25%||4.75%|
|91 days to 120 days||4.25%||4.75%|
|121 days to 179 days||4.25%||4.75%|
|180 days to 364 days||4.75%||5.25%|
|1 year to 1 year 364 days||5.25%||5.75%|
|2 years to 2 years 364 days||5.30%||5.80%|
|3 years to 4 years 364 days||5.30%||5.80%|
|5 years to 10 years||5.30%||5.80%|
Note: Bank of India revises Fixed Deposits rate periodically
Bank of India FD rates is higher than their savings bank account rates. The interest on BOI Fixed Deposit is paid half-yearly, on 1st October and 1st April. In case these days fall on holidays, then the interest is paid on the next working day. Investment in Bank of India FD is not eligible for tax saving under Section 80C of the Income Tax Act. Also, only investment in tax saving FDs qualify for tax exemption. Investors can claim the same while filing their income tax returns.
The interest earned on FDs is taxable as per the investor’s income slab rates. Furthermore, TDS of 10% is cut if the interest income exceeds INR 40,000 per annum (INR 50,000 for senior citizens). If the investors don’t provide PAN details, then the TDS rate will be 20%.
BOI Fixed Deposit accounts are suitable for investors looking at higher returns than a bank saving account. Also, the Bank of India FD schemes offers guaranteed income at a fixed interest rate.
Following are the types of Bank of India fixed deposit schemes:
The tenure range for Bank of India FD is seven days to 10 years. Following is the tenure breakdown:
|7 days to 14 days|
|15 days to 30 days|
|31 days to 45 days|
|46 days to 90 days|
|91 days to 120 days|
|121 days to 179 days|
|180 days to 364 days|
|1 year to 1 year 364 days|
|2 years to 2 years 364 days|
|3 years to 4 years 364 days|
|5 years to 10 years|
Following is the eligibility criteria for opening a Bank of India FD
One can invest in BOI Fixed Deposit through offline and also online mode. Following are the documents required to open a fixed deposit account:
Following are the current Bank of India fixed deposits rates for regular citizens:
Following are the current Bank of India fixed deposits rates for senior citizens:
To calculate the wealth accumulated from an FD investment, one can use a fixed deposit calculator. Scripbox’s fixed deposit calculator is free to use. Also, it is available online. Alternatively one can also use Bank of India FD Calculator to calculate the same.
Yes, Bank of India offers recurring deposits to its depositors. Also, the recurring deposits have a minimum tenure of 180 days and a maximum tenure of 10 years. Depositors can open an RD account with Bank of India either by going to the bank branch or online using net banking. Following are the Bank of India RD interest rates for different tenures.
|Tenure||General Rates||Senior Citizen Rates|
|180 days to 269 days||6.25%||6.75%|
|270 days to 364 days||6.25%||6.75%|
|1 year to 1 year 364 days||6.65%||7.15%|
|2 years to 2 years 364 days||6.70%||7.20%|
|3 years to 4 years 364 days||6.50%||7.00%|
|5 years to 7 years 364 days||6.50%||7.00%|
|8 years to 10 years||6.35%||6.85%|
Note: Bank of India revises RD interest rates periodically
A PAN card isn’t mandatory to open a Bank of India FD account. But it is mandatory to have a Bank of India savings account. Even if PAN isn’t mandatory, there are a few implications for the same.
No, one cannot invest in Bank of India FD without having a bank account. To invest in Bank of India FD, the individual needs to submit the following documents:
Bank of India offers loans against fixed deposit up to 90% against the deposit amount. The interest rate on loan is 5%-7.7%. Also, Bank of India will give a bank loan against Bank of India FD only, and the tenure of the bank loan is limited to the tenure of the FD.
Loans such as loan against property (home loan), an education loan, business loan, etc., can be taken against an FD. Furthermore, one can always calculate their loan EMI using the loan EMI calculator. Also, the loan EMI calculator works as a personal loan EMI calculator, a home loan calculator and car loan calculator. The investor can also use this EMI calculator in multiple scenarios by changing the personal loan interest rate, home loan interest rate and car loan interest rate.
Investment in Bank of India tax-saving FDs qualifies for tax exemption under Section 80C of the Income Tax Act. Investors can claim the same while filing their income tax returns. Furthermore, investment in any Bank of India FDs doesn’t qualify for tax saving. Also, the interest on Bank of India FDs is taxable as per the individual’s income tax slab rates. Moreover, there is a TDS of 10% for interest income above INR 40,000 (INR 50,000 for senior citizens) per annum. In case the investor doesn’t provide the PAN card, then the TDS rate is 20%. To know whether the interest income one might earn is above or below the TDS threshold limit, one can use multiple bank FD calculators available online. One can use the Income Tax Calculator to estimate their tax liability. Scripbox’s Income Tax Calculator is free to use. Also, it is available online.
The highest FD rate for Bank of India is 5.30% for a regular investor for the tenure of 5-10 years. Also, for the same tenure, the senior citizen FD rate is 5.80%. Furthermore, returns from Bank of India FD schemes can be calculated using Bank of India FD calculators.
The minimum amount required to open an FD with Bank of India is INR 1,0000. However, there is no limit on the maximum investment amount.
No, it is not possible to deposit any additional amount in an existing Bank of India fixed deposit. However, one can always invest in another FD with an additional amount.
Once invested, one cannot change the tenure of the FD investment. However, one can opt for premature withdrawal or take a loan against the FD. However, one can close the existing Bank of India FD and start a new FD with the desired tenure.
Yes, the Bank of India charges a penalty for premature withdrawal. For all deposits of INR 5 lakh and below, if the investment is withdrawn before completion of 12 months, then the penalty is 0.5%. If the withdrawal happens after 12 years, then there is no penalty.
However, if the investment amount is above INR 5 lakhs, then the penalty is 0.5% before and after completion of 12 months.
Taxation on mutual funds is a complex topic. Taxes paid on your mutual fund investments vastly depend on factors such as what kind of funds you have invested in, the duration of your investment, which income tax slab you belong to and so on.