Product Details
Bank Name
City Union Bank
Eligibility
Resident individual-single and joint accounts and also HUF
Interest Rate
7.00%
Tenure
5 years (lock in)
Fixed Deposit Type
Tax Saving Fixed Deposit
CUB Income Tax Saver Deposit
Tax Benefits
Yes, CUB Income Tax Saver Deposit is designed to offer tax benefits under Section 80C of the Income Tax Act of India. Here's how:
Tax Deduction: Investments made in CUB Income Tax Saver Deposits qualify for a deduction from your taxable income up to a maximum of Rs. 1.5 lakh per financial year. This can potentially lower your tax liability.
Credit Ratings
[ICRA]A1+
Interest Payment Frequency
In case of Tax Saver Silver Deposit simple interest is paid monthly / quarterly
In case of Tax Saver Gold Deposit cumulative interest is paid on maturity
Cummulative/Non-Cummulative
Cumulative
Features
Resident individual-single and joint accounts and also HUF Save Tax under Sec 80C of the Income Tax Act Tax Saver Silver - Accept deposits from Rs. 100/- ; Tax Saver Gold - Accept deposits from Rs. 1000/- Maximum not exceeding Rs. 1,50,000/- for a financial year in both the schemes Tenor - 5 years (lock in) Loan facility is not available
Minimum Investment Amount
Tax Saver Silver - Accept deposits from Rs. 100/- ; Tax Saver Gold - Accept deposits from Rs. 1000/-
Maximum not exceeding Rs. 1,50,000/- for a financial year in both the schemes
Fees and Charges
Pros
Tax Deduction Benefit
Guaranteed Returns
Cons
Lock-in Period
Pros & Cons
Account Opening and Procedure
How to Open?
Mobile Banking App:
Eligibility: Existing CUB customer with a registered mobile banking app that supports applying for Tax Saver Deposits.
Process: Similar to applying for a regular FD through the app. Look for the ‘Tax Saver Deposit’ option and enter details like deposit amount (maximum Rs. 1.5 lakh per financial year) and interest payout preference (usually not allowed).
2. Internet Banking:
Eligibility: Existing CUB customer with internet banking access.
Process: Similar to applying for a regular FD online. Navigate to the ‘Deposits’ section, choose ‘Tax Saver Deposit’, and fill out the application form with details like deposit amount and interest payout preference (usually not allowed).
3. Branch Visit:
Eligibility: Anyone can apply (existing or new CUB customer).
Process:Visit your nearest CUB branch.
Inform the representative about your intent to open a CUB Income Tax Saver Deposit.
Discuss your desired deposit amount (up to Rs. 1.5 lakh per financial year).
Fill out the Tax Saver Deposit application form and submit it with KYC documents (if a new customer) and your initial deposit amount.
Application Procedure
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