Most people are of the opinion that once they stop working, they will not be able to make any more investments. They usually rely on the investments that they have already done and live-off that for the rest of their lives.

This, however, does not need to be the case. There are many great investment options for you if you are a retired individual that is looking for investment options. Besides, you also get many benefits for being a senior citizen. Although, it is best if you start planning for your retirement well in advance to avoid a situation where you have to depend on your children or relatives. It is never really too late for you to start investing.

Consider a fixed deposit account after retirement :

Stock investments are usually volatile and when you need assured returns on your money and do not want to take a chance on losing on your principal amount. Fixed deposit (FD) is a safe option, which gives you assured returns at a considerably higher rate of interest than a savings account. Bajaj Finance gives 7.85% interest rate on FDs. For senior citizens, the rate of interest is higher by 0.35% over and above the regular interest rate. Find out how much you can gain on your investment using the online Fixed Deposit Interest Calculator.

However, make a note, that special interest rates for senior citizens may not be available for a term less than a year.

Know your FD :

A fixed deposit can be started quickly with any financial institution that offers you the best returns. So check out the interest rates offered by various banks and non-banking financial companies.

All you have to do is fill the fixed deposit application either online or offline and then deposit the money by online transfer or cheque/cash. The only additional document that you would need to provide as a senior citizen would be your age proof.

You can choose a term between 7 days to 10 years for your fixed deposit.

The interest rate that senior citizens get is usually 25 to 50 points higher than the interest rate offered to ordinary citizens.

There is no limit on the amount that you can to invest in a fixed deposit. Your starting amount can be as low as Rs 100.

The interest of your fixed deposits can either be deposited periodically in your savings account, or it can be withdrawn as a lump sum on the maturity of your plan.

You can also take a loan against the fixed deposit in case you are in need of urgent funds. If you have a requirement for immediate cash, pre-approved offers by Bajaj Finserv can help you avail your money in just 3 clicks.

As a senior citizen, you are eligible for non-deduction of TDS on the interest — up to Rs 50,000 as according to the Union Budget for FY 2018-19 — earned by your FDs. All you have to do is submit Form 15H to the bank annually.

Taking into consideration all of these benefits and the simplicity of the procedure, a Fixed Deposit is the best investment plan after retirement.

Read Also :

• Want to Earn Higher Returns? Invest in NBFC’s Fixed Deposit
• Things to Know About Term Deposit Interest Rates in India