Tax Saving FD vs NSC: Key Differences in Interest Rates, Benefits & Eligibility

• Both Tax-Saving FDs and NSCs are safe, stable investment options offering tax benefits under Section 80C up to Rs 1.5 lakh.
• Tax-saving FDs are offered by banks with variable interest rates (5.5%-7.75%) and a 5-year lock-in period.
• NSC is offered by India Post with a fixed 7.7% annual interest rate and a 5-year tenure.
• Loans cannot be taken against tax-saving FDs, while NSC certificates can be used as collateral in some cases.
• Eligibility for FDs includes resident individuals, HUFs, NRIs; NSC is primarily for Indian residents.