interest rate

Where Should You Invest for The Maximum Interest Rate After Retirement?

According to 2011’s Population Census, India is home to as many as 104 million individuals over 60 years of age. Adding to this, as per reports released by UNPF, by 2026 there will be as many as 173 million elderly persons in the country. Given this remarkable rise in the number of retirees, the need to provide them sufficient financial security has become one of the most important issues in India’s financial sector.

Usually, financial independence is associated with a regular source of income and high value investment that provides ample returns. Unfortunately, retirees often lack the risk appetite of high-return investment because of their advancing age. That’s why risk-free investment options like senior citizen fixed deposit scheme have gained significant popularity in recent years as an ideal tool for elders to remain financially independent. Fixed deposit schemes fetch the highest returns when compared to other low risk investments.

Now, let’s take a look at different investment schemes that retired individuals can invest in and maximise their earnings. These options, with their attractive features and benefits, also ensure that pensioners have all-rounded financial security for both short and long term.

Investment options for retired individuals with the highest returns:

Senior citizen fixed deposit schemes

Schemes like FD for senior citizen are considered as the most lucrative short term investment options among all term deposits. Fixed deposits top the list as they are entirely market independent. Retirees can thus invest in them with the surety of assured return.

See also  Cyber Warfare against Banks

A fixed deposit scheme for senior citizens also comes with a higher rate of interest as compared to regular FD schemes. It thus offers them better chances of asset appreciation as compared to other investment options. For example, Bajaj Finance FD rates for senior citizens is one of the most sought after product in the market, offering as much as 0.35% higher returns as against other FDs in general.

Additionally, these schemes also come with other attractive features that maximise your returns on fixed deposits. They include the following.

  • You can start your FD with a small investment of Rs. 25,000 only.
  • The flexible tenor for these schemes can range between 12 and 60 months, thus offering varied liquidity.
  • You can opt for periodic payouts on FD interest.
  • These FD schemes come with high stability and credibility through market ratings like MAAA from ICRA and FAAA/Stable from CRISIL.

Plus, you can also track your investments easily and manage your investment account online through apps provided by your financial institution. Before investing in a senior citizen fixed deposit scheme, you should also learn to use fixed deposit calculators available online to estimate your returns as per the invested amount and tenor. Accordingly, proceed to invest your funds with the best financial institutions and enjoy exceeding benefits that fixed deposit brings to the table.

Saving schemes for senior citizens

Another investment option that senior citizens can go for is the senior citizen savings schemes. Although fetching lower returns than the likes of Bajaj Finance FD rates for senior citizens, these investment options bring fairly high returns.

See also  Knowing about the key economic indicators in trading

Under these schemes, you can invest any amount between Rs. 500 and Rs. 15 Lakh. It comes with a tenor extending to a maximum of 5 years and has a minimum lock-in period of 3 years. With a one-time renewal facility, the scheme can fetch returns higher than many other savings and investment options.

Post office schemes for monthly income

Post office schemes for monthly income are specially designed to suit the periodic monetary requirements of retired individuals. It offers a reliable monthly earning with a deposit amount of Rs. 4.5 Lakh or Rs. 9 Lakh for single or joint ownerships respectively.

These three options top the list of numerous other investment schemes that offer maximum returns to pensioners. However, schemes like FD for senior citizen come as a balanced mix of flexibility and liquidity while assuring high interest earning, making it one of the most preferred investment options for pensioners across India.


Presently, India has 141 million individuals who fall under the age bracket of 60 years and above (as per the data provided by Population Census 2011). As the number of senior citizens in the country is rising, so is the need to provide them with financial security and monetary independence.

Simultaneously, the financial market offers investment schemes particularly shaped to help retired individuals meet their funding requirements in both short and long term.

If you seek investment options that can help you earn the maximum interest, senior citizen fixed deposit schemes top this list. It is because FDs for retired individuals are low risk investments that offer returns at a higher rate than other investments as well as other types of term deposits.

See also  The basics of marketing a new product: Tried and tested strategies that work

Features like low-value investment amount, tenor flexibility of 1 to 5 years, periodic interest payouts, etc. make them even more lucrative. Besides, FDs offered by the likes of Bajaj Finance also come with high stability and credibility through the best market ratings.

Apart from fixed deposits, savings scheme for senior citizens is another investment option that offers high interest rates, albeit a little lower than FDs. Retired individuals can also go for post office schemes that allow for monthly return and come with a maturity period of 5 years. You can compare various schemes and choose the one that comes as a balanced mix of flexibility and liquidity while ensuring high returns.


Leave a Reply