Business
Looking For Tax-Free Guaranteed Returns Better Than An FD? GRP Has You Covered
Last Updated:
Guaranteed return plans offer up to 6.9% tax-free returns from day one, remaining unaffected by future interest rate changes or market fluctuations
FDs, which were considered safe investments, no longer offer the same returns as before. (Representative/Shutterstock)
The financial environment is continually evolving, with interest rates fluctuating and the stock market remaining unpredictable. This uncertainty has prompted many in India to reconsider their financial planning strategies.
Previously, investments were made in fixed deposits (FDs), recurring deposits, or market-based schemes with little consideration. Nowadays, people are seeking options that are stable, low-risk, and capable of securing their financial future for years to come.
In this context, guaranteed return plans (GRP) have emerged as a new source of relief and trust for many investors.
The primary advantage of guaranteed return plans is that they offer up to 6.9 percent tax-free guaranteed returns from the outset. These plans remain unaffected by future interest rates or market downturns, which makes them appealing as safe and stable investment options. These schemes attract a wide range of investors, from daily savers to those contemplating long-term investments.
Pavitt Laul, Head of Investments at Policybazaar.com, highlighted that the assured and stable returns are the main reason for the increasing popularity of GRP.
Previously, FDs, which were considered safe investments, no longer offer the same returns as before. With a guaranteed return plan, returns are locked in from the moment of purchase. For instance, FD interest rates were around 9 percent in 2011 but had dropped to 6.05 percent by 2025. This decline makes it increasingly difficult to outpace inflation with such returns. Conversely, GRP guarantees fixed returns for the entire period, regardless of market fluctuations.
Why Guaranteed Return Plans Are So Popular
- Tax savings on investments under Section 80C.
- Tax-free maturity benefits on annual premiums up to Rs 5 lakh under Section 10(10D).
- Fixed interest rates throughout the policy period.
- Tax-free maturity amount.
- Compound growth at a fixed rate.
The entire maturity amount of a Guaranteed Return Plan (GRP) is tax-free, making it more attractive than fixed deposits, where the interest income is fully taxable. This tax advantage, combined with the ability to plan for long-term goals of 10, 15, 20, or even 47 years, makes GRPs appealing to many investors.
Another advantage is the flexibility in payment options:
- Investors can opt for a lump sum at maturity.
- They can choose monthly or annual payouts for 5 to 30 years.
- Immediate income plans are available for those who want returns right after investing.
- Some plans provide a steady income later in life, functioning like a pension.
This flexibility allows every investor to select an option suited to their life goals and budget.
GRPs are not just investment tools—they also include life insurance cover, providing financial security for the family and ensuring that long-term goals remain achievable even in the absence of the breadwinner. This combination of tax benefits, flexibility, and security is why GRPs are increasingly popular, especially among young parents, middle-class families, and new investors.\
Disclaimer:Disclaimer: The views and investment tips by experts in this News18.com report are their own and not those of the website or its management. Users are advised to check with certified experts before taking any investment decisions.
November 25, 2025, 19:30 IST
Read More
The government on Thursday kept petrol and high-speed diesel (HSD) prices unchanged at Rs253.17 per litre and Rs257.08 per litre respectively, for the coming fortnight, starting from January 16.
This decision was notified in a press release issued by the Petroleum Division.
Earlier, it was expected that the prices of all petroleum products would go down by up to Rs4.50 per litre (over 1pc each) today in view of variation in the international market.
Petrol is primarily used in private transport, small vehicles, rickshaws, and two-wheelers, and directly impacts the budgets of the middle and lower-middle classes.
Meanwhile, most of the transport sector runs on HSD. Its price is considered inflationary, as it is mostly used in heavy transport vehicles, trains, and agricultural engines such as trucks, buses, tractors, tube wells, and threshers, and particularly adds to the prices of vegetables and other eatables.
The government is currently charging about Rs100 per litre on petrol and about Rs97 per litre on diesel.
Business
Gold price today: How much 22K, 24K gold cost in Delhi, Patna & other cities – Check rates – The Times of India
Gold prices climbed to a fresh lifetime high in the domestic market on Thursday amid sustained buying by jewellers and stockists, according to the All India Sarafa Association.Gold advanced by Rs 800 to hit a new peak of Rs 1,47,300 per 10 grams (inclusive of all taxes), extending gains for the fifth consecutive session. The yellow metal had closed at Rs 1,46,500 per 10 grams in the previous session.Since the start of 2026, gold prices have surged Rs 9,600, or around 7 per cent, supported by persistent demand in the physical market. In overseas trade, spot gold slipped USD 12.22, or 0.26 per cent, to USD 4,614.45 per ounce, after having touched a record high of USD 4,643.06 per ounce in the previous session.Here is how much gold costs in major Indian cities today:
Gold price in Delhi today
The price of 22K gold in Delhi is Rs 13,140 per gram, down Rs 75, while 24K gold is priced at Rs 14,333 per gram, lower by Rs 82.
Gold price in Chennai today
In Chennai, 22K gold costs Rs 13,290 per gram, up Rs 10, while 24K gold is priced at Rs 14,498 per gram, higher by Rs 10.
Gold price in Mumbai today
Mumbai markets see 22K gold priced at Rs 13,125 per gram, down Rs 75, while 24K gold stands at Rs 14,318 per gram, lower by Rs 82.
Gold price in Ahmedabad today
In Ahmedabad, 22K gold is priced at Rs 13,130 per gram, down Rs 75, while 24K gold costs Rs 14,323 per gram, lower by Rs 82.
Gold price in Kolkata today
Kolkata markets price 22K gold at Rs 13,125 per gram, down Rs 75, while 24K gold stands at Rs 14,318 per gram, lower by Rs 82.
Gold price in Jaipur today
In Jaipur, 22K gold costs Rs 13,140 per gram, down Rs 75, while 24K gold is priced at Rs 14,333 per gram, lower by Rs 82.
Gold price in Hyderabad today
Hyderabad sees 22K gold at Rs 13,125 per gram, down Rs 75, while 24K gold is priced at Rs 14,318 per gram, lower by Rs 82.
Gold price in Bhubaneswar today
Bhubaneswar markets see 22K gold priced at Rs 13,125 per gram, down Rs 75, while 24K gold costs Rs 14,318 per gram, lower by Rs 82.
Gold price in Patna today
In Patna, 22K gold costs Rs 13,130 per gram, down Rs 75, while 24K gold is priced at Rs 14,323 per gram, lower by Rs 82.
Gold price in Lucknow today
Lucknow markets see 22K gold priced at Rs 13,140 per gram, down Rs 75, while 24K gold costs Rs 14,333 per gram, lower by Rs 82.
One of Britain’s most prolific rail fare dodgers could face jail after admitting dozens of travel offences.
Charles Brohiri, 29, pleaded guilty to travelling without buying a ticket a total of 112 times over a two-year period, Westminster Magistrates’ Court heard.
He could be ordered to pay more than £18,000 in unpaid fares and legal costs, the court was told.
He will be sentenced next month.
District Judge Nina Tempia warned Brohiri “could face a custodial sentence because of the number of offences he has committed”.
He pleaded guilty to 76 offences on Thursday.
It came after he was convicted in his absence of 36 charges at a previous hearing.
During Thursday’s hearing, Judge Tempia dismissed a bid by Brohiri’s lawyers to have the 36 convictions overturned.
They had argued the prosecutions were unlawful because they had not been brought by a qualified legal professional.
But Judge Tempia rejected the argument, saying there had been “no abuse of this court’s process”.
U.S. names sporting events athletes exempt from visa ban
Trump to attend College Football Playoff championship game in Miami with Rubio
Meta’s Layoffs Leave Supernatural Fitness Users in Mourning
-
Politics1 week agoUK says provided assistance in US-led tanker seizure
-
Entertainment1 week agoDoes new US food pyramid put too much steak on your plate?
-
Entertainment1 week agoWhy did Nick Reiner’s lawyer Alan Jackson withdraw from case?
-
Business1 week agoTrump moves to ban home purchases by institutional investors
-
Sports1 week agoPGA of America CEO steps down after one year to take care of mother and mother-in-law
-
Sports5 days agoClock is ticking for Frank at Spurs, with dwindling evidence he deserves extra time
-
Business1 week agoBulls dominate as KSE-100 breaks past 186,000 mark – SUCH TV
-
Sports6 days ago
Commanders go young, promote David Blough to be offensive coordinator