Now FDs with 8% interest for senior citizens: Should you invest?

Exhaust the post office scheme limit before investing in this

Senior citizens looking for a regular monthly income will soon have an additional option to choose from. The new fixed deposit (FD) scheme announced by Prime Minister Narendra Modi in his speech on December 31 will offer 8 per cent interest for a period of 10 years. The maximum amount that can be invested is Rs 7.5 lakh and interest will be paid monthly.

Other details like options for premature withdrawal, taxability — whether at the time of investment or withdrawal — etc are not known yet. But going by the interest rate and lock-in period the new FD is