Prudently, I don’t agree with the investment proposal..

Firstly Akki.. The FDs are covered under Section 80C and not 80CC as mentioned here by mistake by you..

Coming to point… FDs are yielding interest rates of 5% or even lesser.. Nowadays Inflation rate is hovering at 4-4.5%, thus what we gain actually is mere 0.5%.. Thus, this can be only termed as good method to keep your money safe, but definitely not investment..
And when we take loan against FD, bank charges a higher rate of interest than it was paying to you.. Thus terming FDs as liquid will not be correct..

For Tax Gains, one can go for PPF, which yields TAX FREE interest of 8.5%. But, here the money gets plugged for 15 years. Further, one can opt for NSC, which also gives good return and lock-in period is much lesser.

As per me, best is ELSS as the returns are much higher (Bull Run in Indian Stock Market expected to go Japanese way …UP… UP.. and more UP…) Further, we can quit the scheme only after 3 years. Thus lock-in period is far less as compared to above tax saving ideas..

Want more enriched views from dearest Akki…