SCSS vs FD: Which Investment is Better for Senior Citizens? Compare Rates & Benefits

• SCSS generally offers higher, government-determined interest rates paid quarterly, providing stable income for retirees.
• FD interest rates vary by bank and are often lower than SCSS, though senior citizens receive slightly higher rates.
• SCSS has a fixed 5-year tenure, extendable by 3 years, while FDs offer flexible tenures from 7 days to 10 years.
• SCSS provides Section 80C tax benefits, unlike regular FDs; interest earned is taxable in both schemes.
• SCSS is a government-backed scheme offering complete security, whereas FDs, while safe, carry a minimal bank-specific risk.

Why It Matters: SCSS offers higher interest, government security, and regular income, while FDs provide more tenure flexibility.