As per my understanding, you have Rs. 20 lakhs, out of which you want to invest Rs. 70K in fixed deposit. In such situation, you may be concerned whether you will be taxed or not.
Let me assure you that you may not come under the bridge of TDS as the earned interest will not be high.
TDS is deducted from the interest of an FD, if the earned interest exceeds the limit of Rs. 10K in one year. But, your principal amount is Rs. 70K, which you may invest at an interest rate of 7.80%. This will turn out to be Rs. 75K at the end of one year. So, an earning of Rs. 5K will not be taxed.
Even if, you get a higher rate of interest on fixed deposit
, fortunately, you will still remain under the TDS bracket. So, you can easily proceed with your investment plan.