Latest National Savings Certificate (NSC) interest rate: The government revises interest rate on all the small savings schemes every quarter, which includes National Savings Certificate.
Senior Citizen Savings scheme interest rate: Note that if an account is formed in violation of the SCSS Rules, the account will be terminated immediately and the deposit will be returned to the depositor after deducting any interest received on the deposit.
Here are some of the ways senior citizens can lower their tax liability. (Do keep in mind that these tax benefits are available only for those who opt for the old tax regime.
Tax-saving investments: PPF offers tax exemptions at the time of investment, accrual, and withdrawal. It has a current interest rate of 7.1% per annum and a maximum deposit limit of Rs 1.5 lakh per financial year. PPF accounts can be extended indefinitely in blocks of 5 years. Additionally, it is advisable to diversify savings between PPF and equity investments for a balanced portfolio.
Small savings scheme interest rates are revised every quarter by the government and interest rates vary accordingly. Apart from the interest rate one should also note and calculate the compounding frequency of interest payout as the final amount may vary depending on this.