The Life Insurance Corporation of India introduces fixed deposit schemes through its company LIC Housing Finance Ltd. It gives its depositors best interest rates.


CRISIL has given FAAA/Stable rating to its fixed deposits, marking it as the safest kind of investment.  As a depositor, you can enjoy very good return. Being a subsidiary of a stable organization like LIC, it gives assured income through its fixed deposit schemes. Apart from the the LIC itself is counted as one of the top trusted brands in India.

LIC of India latest FD for short and long term

Have a look to the criteria and the FD interest rates of LIC for this 2014 year in detail below:

Highlights of the Fixed Deposit Schemes

  • The minimum deposit for the fixed deposits is Rs 10,000. It can be multiples of Rs 1000 thereafter.
  •  The minimum deposit term for this is 1 year and then it can be increased to 18 months, 24 months, 36 months and 60 months. Therefore the nature of the deposits is cumulative and non-cumulative.
  • Whenever your income from the interest exceeds Rs 5000, automatically tax for the same is deducted at source.
  • You get no deduction of tax up to the accumulation of interest till Rs 5000. Therefore, it is a tax benefit.
  • You get the chance to nominate a person as your legal heir of the money from fixed deposits irrespective of the fact that the deposit is placed under your name or jointly with somebody.

Rate of interest from Fixed Deposit schemes

The LIC of India revised the fixed deposit rate and now the minimum amount of investment is Rs 10,000 with minimum 1 year of fixed deposit on which will get 9% interest rates. The maximum investment time frame for fixed deposit on LIC is of 5 years.  Have a look to the term deposit rates of LIC applicable for 2013 year below:

The current interest rates on Fixed deposit of LIC of India