LIC FD Scheme – If you’re a senior citizen or planning for someone in your family who is, there’s some good news from LIC. The Life Insurance Corporation of India has come up with a special Fixed Deposit scheme that offers monthly interest payouts exclusively for people aged 60 and above. This scheme is designed to provide steady monthly income and guaranteed returns, making it ideal for those who want safety along with regular earnings in their retirement years.
Let’s break down what this LIC FD scheme is all about and how it can help senior citizens manage their savings better.
What Is This LIC FD Scheme
LIC’s FD scheme for senior citizens is a fixed-income investment plan that pays out a fixed interest every month. This means, once you put in your money, you can sit back and receive regular interest payments without worrying about market ups and downs. The scheme is available only to individuals who are 60 years or older and is backed by LIC, which is a name trusted by millions across the country.
Key Features and Benefits
Here are the major reasons why this LIC FD scheme is becoming popular among retirees:
- You receive monthly interest payouts directly into your bank account
- Interest rates are slightly higher than the normal FD rates offered by LIC
- You can choose your FD tenure between 1 to 5 years, depending on your financial goals
- The scheme is considered very safe since it is run by LIC and indirectly supported by the government
- In case of financial emergencies, you can also take a loan against your FD
- There is a nomination facility available to make sure benefits pass easily to your family
Interest Rates and Expected Returns
The returns depend on how much you invest and for how long. But here are a few examples to give you an idea of what to expect:
- For a one lakh rupee deposit for one year at seven point two percent, you get about six hundred rupees monthly and around one lakh seven thousand in total at the end
- A three lakh rupee deposit for two years at seven point four percent will fetch around one thousand eight hundred fifty rupees every month
- Investing five lakh rupees for three years can give you over three thousand per month at seven point six percent
- The highest tier is a ten lakh rupee deposit for five years at seven point eight percent, which will earn you around six and a half thousand monthly
Do keep in mind that rates might change slightly based on when you invest, but LIC’s rates are generally stable and attractive.
Who Can Apply
The eligibility is pretty simple:
- You should be an Indian citizen aged 60 years or more
- You can also invest jointly with your spouse if either one of you is above 60
- You will need basic documents like PAN card, Aadhaar card, and proof of age
- Some LIC branches might also require an LIC policy, but it is optional in most cases
How to Apply
Applying is hassle-free and can be done in person. Here’s how:
- Go to your nearest LIC branch or talk to a LIC-authorized agent
- Carry all necessary documents including your identity, address, and age proof
- Fill out the application form and choose how much you want to deposit and for how long
- Submit your documents and make the payment via cheque or bank transfer
- You’ll receive a fixed deposit certificate confirming your investment details
LIC FD Compared to Other Options
There are many FD schemes for senior citizens out there. Here is how LIC stands when compared to some other options:
- LIC offers rates between seven point two and seven point eight percent for up to five years
- SBI’s Senior Citizen FD offers about seven point three percent, but for a longer tenure of ten years
- HDFC gives up to seven point seven five percent but has a moderate safety rating
- The Post Office’s SCSS offers a higher rate at over eight percent, but the interest is paid quarterly, not monthly
LIC’s plan stands out for those who prefer monthly payouts and a trusted brand name.
Documents You Need
Make sure you have these ready:
- Aadhaar and PAN cards
- Age proof like birth certificate or voter ID
- Recent passport-sized photos
- Bank account details for interest credit
- LIC policy number, if applicable
Why LIC FD Scheme Makes Sense
- LIC is one of the most reliable financial institutions in India
- The scheme is low-risk, which is ideal when you’re living on retirement funds
- Monthly payouts help you manage daily expenses easily
- Your investment is safe from market-related ups and downs
- The plan is simple to understand, easy to apply for, and doesn’t require any technical knowledge
If you are a senior citizen looking for a safe place to park your retirement savings while earning fixed monthly income, LIC’s new FD scheme is a solid option. It offers peace of mind, steady returns, and the kind of financial stability that retirees truly need.
So if regular monthly income with zero market risk sounds like your ideal plan, visit your nearest LIC branch today and apply for this scheme. It’s a good way to ensure your hard-earned money keeps working for you even after retirement.
