LIC FD Scheme : In today’s time, people prefer to invest their money in a place where they can get good returns and where their money remains completely safe. Among the most popular and trusted investment options, bank fixed deposits (FDs) hold a significant position. Similar to banks, the Life Insurance Corporation of India (LIC) also offers reliable fixed deposit schemes that allow investors to earn attractive returns safely.
Let’s understand how LIC’s FD schemes work and how much return you can get by investing ₹1,50,000 in the LIC FD Scheme.
LIC FD Scheme : ₹1,50,000 Investment Plan
LIC, or the Life Insurance Corporation of India, is the largest life insurance company in India and is owned by the Government of India. LIC’s primary objective is to provide life insurance services and ensure the financial security of individuals and families.
In addition to life insurance policies, LIC also offers pension plans, health insurance, and investment schemes. It is one of the largest institutional investors in India, playing a vital role in the country’s economic development.
LIC’s fixed deposit scheme is completely secure and offers an opportunity for individuals to earn a steady income. The interest earned from the investment is directly credited to the investor’s bank account every month.
Let’s take a look at how much return you can earn from an investment of ₹1,50,000 in the LIC FD Scheme.
Key Highlights of LIC FD Scheme
LIC’s fixed deposit plans are offered through LIC Housing Finance Limited (LIC HFL).
- The current interest rate on LIC FD schemes is up to 6.45% per annum.
- Senior citizens enjoy an additional 0.25% interest rate, taking the total interest up to or above 7% in special cases.
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The scheme provides monthly interest payouts, which makes it ideal for those looking for regular income.
Monthly Interest Payout Example
Under LIC’s fixed deposit scheme, the interest is paid monthly.
For example:
If you invest ₹15,00,000 at an annual interest rate of 7.8%, you will receive approximately ₹6,500 per month, which equals around ₹97,500 per year in total interest.
If you invest ₹1,50,000, you can expect a monthly interest income of around ₹530 to ₹950, depending on the applicable rate.
Minimum Investment Amount and Tenure
- The minimum investment amount in LIC’s FD scheme is ₹1,50,000.
- The tenure can range from 1 year to 5 years or more, depending on your preference.
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There is no upper limit for maximum investment.
Tax Benefits under LIC FD Scheme
If you invest in the 5-year fixed deposit scheme, you can claim a tax deduction under Section 80C of the Income Tax Act.
Additionally, if your annual interest income does not exceed ₹40,000, you can submit Form 15G or Form 15H to avoid TDS (Tax Deducted at Source).
Loan Facility on LIC FD Scheme
Investors can also avail of loan facilities against their LIC FD.
- Premature withdrawal is allowed after 6 months from the date of deposit.
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The loan can be availed against the fixed deposit at an attractive rate, making it a flexible option for investors who might need funds in the future.
Conclusion
The LIC FD Scheme is a safe and secure investment option for individuals who wish to earn regular returns without taking market risks. With attractive interest rates, tax benefits, and the backing of a government-owned institution, it provides both financial security and stability.
If you are looking for a reliable fixed deposit scheme, LIC FD can be an excellent choice for you to grow your savings and earn a steady monthly income.
