invest options for senior citizen

POSTED BY Srinivasan Jambunathan ON September 5, 2012 7:38 pm COMMENTS (3)

Dear Forum members,

I am seeking your advice for investing approx. 5 Lakhs of my father’s (aged 70) amount.

I would like to split this into say 2 Lakhs as Liquid and 3 Lakhs for slightly longer term (2) yrs.

He falls in the Zero – 10% (max) tax slab category.

Look forward to your advice.



3 replies on this article “invest options for senior citizen”

  1. Deepak R khemani says:

    in case of urgent need of money there will be a deduction of 1.5% if you break prematurely as the period is 5 years. Do not invest the full amount in the SENIOR CITIZENS SCHEME only.
    The Interest Rate of this scheme now is 9.3%
    HDFC Limited is giving 10% to Senior Citizens for a period of 33 months and 9.5% for 5 years
    It makes sense to break it up into multiple FD,s as suggested by Arshal for the advantage mentioned by him

  2. Dear Srinivasan, My take for a simple solution – go for 5 FDs of 1L Rs. for a period of 6-7-8-9-10 years in the bank where he already has a SB account. The reason of such split. In case of need of liquidity, he w’d need to break only one or 2 Fds of 6-7Y term. Rest ‘ll keep on earning interest for him.



  3. Why do you want to complicate it , Just put that in senior citizen saving scheme . He will get 9% interest .

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