Investing in fixed deposits (FDs) is a safe and reliable way to grow your savings while earning interest. Among the many banks offering FD schemes, Canara Bank’s 180-day Fixed Deposit (FD) scheme stands out for its high interest rates and quick returns. Whether you are a seasoned investor or someone looking for a short-term, risk-free investment, this FD plan provides an attractive option.
Canara Bank’s 180 Days FD Scheme
| Feature | Details |
|---|---|
| Bank | Canara Bank |
| FD Tenure | 180 Days (6 months) |
| Interest Rate (General Public) | 6.15% p.a. |
| Interest Rate (Senior Citizens) | 6.65% p.a. |
| Minimum Deposit Amount | ₹1,000 |
| Loan Against FD | Up to 90% of deposit amount |
| Premature Withdrawal | Allowed (with penalty) |
| Auto-Renewal | Available |
| Official Website | Canara Bank |
Canara Bank’s 180-day FD scheme is an excellent option for those looking to invest safely and profitably for a short period. With competitive interest rates, quick returns, and flexibility, it’s a great choice for both regular and senior citizens. If you want a risk-free investment with guaranteed returns, this FD plan is worth considering.
Why Choose Canara Bank’s 180-Day FD Scheme?
Fixed deposits are preferred by investors seeking stability, guaranteed returns, and low risk. Canara Bank’s 180-day FD offers higher-than-average short-term interest rates, making it a great option for individuals who need returns in a shorter period without locking their funds for years.
1. Competitive Interest Rates
For a 180-day tenure, Canara Bank offers:
- 6.15% interest per annum for general investors.
- 6.65% interest per annum for senior citizens.
Compared to traditional savings accounts that offer 2.7% – 4% interest, this FD scheme provides significantly higher returns.
2. Quick Maturity Period
Unlike long-term FDs that require 1 to 5 years for maturity, this scheme matures within just six months, making it a great choice for those looking for short-term gains.
3. Safe & Reliable Investment
Canara Bank is one of India’s leading public sector banks, ensuring safety and security of funds. Unlike stocks or mutual funds, FDs do not fluctuate with market conditions, making them an excellent option for risk-averse investors.
4. Flexibility & Liquidity
- Loan Facility: Need funds urgently? Canara Bank allows you to take a loan of up to 90% of the FD amount.
- Premature Withdrawal: If needed, you can withdraw your FD before maturity, though a small penalty may apply.
- Auto-Renewal: Hassle-free renewal without paperwork.
see also: SBI’s New Fixed Deposit Scheme
How Much Can You Earn? (Example Calculation)
Let’s say you invest ₹1,00,000 in Canara Bank’s 180-day FD. Here’s how much you’ll earn:
| Investment Amount | Interest Rate (General) | Interest Rate (Senior Citizen) | Maturity Amount (General) | Maturity Amount (Senior) |
|---|---|---|---|---|
| ₹1,00,000 | 6.15% p.a. | 6.65% p.a. | ₹1,03,075 | ₹1,03,325 |
With just six months of investment, you earn a return of over ₹3,000 – ₹3,300, which is much higher than a savings account.
How to Open a Canara Bank FD?
Opening an FD with Canara Bank is simple and can be done online or offline:
Step 1: Choose Your Mode of Application
- Online: Visit the official website or use Canara Bank’s mobile app.
- Offline: Visit the nearest Canara Bank branch with your documents.
Step 2: Gather Required Documents
- Identity Proof (Aadhaar Card, PAN Card, Passport, Voter ID, etc.)
- Address Proof (Aadhaar Card, Utility Bill, etc.)
- Bank Account Details
Step 3: Choose Deposit Amount & Tenure
Decide how much you want to invest and select 180 days as the tenure.
Step 4: Fund Your FD
Transfer the deposit amount via:
- Net Banking
- UPI
- Cheque or Cash (for offline applications)
Step 5: Get Confirmation & FD Receipt
Once your FD is successfully created, you will receive an FD receipt confirming your investment details.
see also: Important Information for FD Investors What Banks Won’t Tell You
Canara Bank’s 180 Days FD Scheme FAQs
1. Is there any tax on FD interest?
Yes, FD interest is taxable under Income Tax Act, 1961. If your interest earnings exceed ₹40,000 per year (₹50,000 for senior citizens), TDS (Tax Deducted at Source) will be deducted at 10% (if PAN is provided).
2. Can I withdraw my FD before 180 days?
Yes, but premature withdrawal comes with a penalty of 1% on the applicable interest rate.
3. Can NRIs invest in this FD scheme?
Yes, NRIs can invest in Canara Bank FDs under NRE/NRO fixed deposit schemes.
4. What happens if I don’t withdraw my FD after maturity?
If not withdrawn, the FD will be automatically renewed for the same tenure at prevailing interest rates.
5. Is it safe to invest in Canara Bank’s FD?
Yes, as a government-backed bank, Canara Bank ensures security of deposits under the DICGC insurance scheme, covering up to ₹5 lakh per depositor.
