New Year bonanza: Over 55 (year-olds) get 2% more on finance company deposits
View(s):The Central Bank (CB) on Thursday offered a New Year bonanza for elder citizens saying over 55-year olds could be provided 2 per cent more on their deposits in registered finance companies from the maximum interest prescribed by the CB.
By doing so, the Bank has created a new category of ‘elder’ citizens.
Earlier the elderly was categorised as those who are 60 years and over.
The CB said the additional 2 per cent interest would be effective from January 1 and applicable to any “savings deposit accepted or maintained and time deposit accepted from or renewed by a person who is over 55 years of age”.
Thus the CB said the maximum deposit interest rates that could be offered to this age category are as follows:
a. Savings deposits accepted or maintained shall be 9.58 per cent per annum.
b. Time deposits accepted or renewed shall be as follows,
(i) For maturity period of one year or less – 13.01 per cent per annum.
(ii) For maturity period of over one year and up to three years – 14.01 per cent per annum.
(iii) For maturity period of over three years – 15.51 per cent per annum