Axis Fixed Deposit

One of the most common financial instruments among the general population in India is a Fixed Deposit (FD) as it is a secure and stable investment that provides a higher interest rate than a normal savings account. It is called a method of saving that is low-risk. In contrast to investing in the stock market, for example, the returns are still proportionately low, but are free from uncertainty and fluctuation.

Money for a duration that normally ranges from 7 days to 10 years may be deposited in an FD account. Banks are free to set their own FD interest rate, which, among other factors, can typically range from 3.5 percent in India-8 percent depending on tenure and level. If you have some extra money that you wish to invest, opening an FD is an easy and safe option, with minimal documentation needed.

NBFCs and companies, aside from banks, offer fixed deposits.

AXIS BANK DEPOSIT RATES

The interest rate charged on a fixed deposit varies depending on the amount deposited, the time limit and the issuing bank. Usually, Axis Bank interest rates range from 4 percent-9 percent annually.

The defining condition for a fixed deposit is that, unless an interest is due, the money cannot be withdrawn until maturity. The bank credits the original amount plus the interest received to the bank account stated when the FD is opened until the deposit matures. Throughout the entire FD duration (except for some forms of floating rate deposits), the money deposited receives the same fixed rate of interest.

TYPES OF AXIS BANK FIXED DEPOSIT SCHEMES

  1. AXIS BANK REGULAR FIXED DEPOSIT:
  • Depositors can spend the minimum amount of deposit and gain favorable interest rates, flexibility, and stability.
  • Hassle-free opening process for accounts.
  • The bank provides the nomination service.
  • Considerable returns on shorter tenures as well.
  • Automatic installation of rollover on principal and interest both.

Eligibility: Indian citizens, the Hindu Undivided Family, and sole proprietorship firms.

  1. AXIS BANK TAX SAVER FIXED DEPOSIT
  • As the name implies, the depositor can benefit from tax advantages on deposit under Section 80C of the Income Tax Act, 1961.
  • The bank offers the versatility of choosing between deposits of the single holder type and deposits of the joint holder type. The interest rate depends on the group in which the applicant fall.
  • The bank provides the nomination service.
  • With a fixed deposit receipt given by the bank, tax benefits may be claimed.

Eligibility: Resident Indians and HUFs

3.      FIXED DEPOSIT PLUS BY AXIS BANK

  • Compared to standard term deposits, clients can receive a higher interest rate under this system.
  • The bank provides the nomination service.
  • The minimum deposit amount is Rs. 5, 00, 00,000
  • Interest gained is subject to TDS (Tax Deducted at Source).
  • The system of interest measurement, wiz, and simple interest and compound interest options can be selected by depositors.

Eligibility: Resident Indians, sole proprietorship firms of the Hindu Undivided Family, proprietorship firms, partnership firms, limited companies, and faith.

  1. ENCASH 24 FLEXI DEPOSIT
  • Dual benefits are provided under this scheme, i.e. the liquidity of a savings account and high fixed deposit earnings.
  • The auto-renewal facility on the deposit is available.
  • Enjoy tax benefits on deposit under the 1961 Income Tax Act, Section 80C.
  • Maximum liquidity on investment
  • Great returns with a shorter tenure
  • The FD account is linked to an existing savings account
  • Maximum tenure is 5 years and the minimum is 6 months

Eligibility: Savings account holders with valid PAN card

AXIS BANK FIXED DEPOSIT TERM WISE INTEREST RATES

Axis Bank FDs are further classified as short-term, medium-term, and long-term deposits depending on the tenure.

  • Short-term Deposits: For an Axis Bank FD with tenure ranging from 7 days to 12 months, the interest rate offered is from 3.50% p.a. to 6.40% p.a. As their tenure is less than 1 year, these deposits are known as short term deposits.
  • Medium-term Deposits: Medium-term fixed deposits have a tenure of between 1 year and 5 years. The interest on these deposits offered by the bank is about 6.40 percent-6.50 percent p.a.
  • Long-term Deposits: These deposits have a period of between 5 years and 10 years and pay a 6.50 percent interest rate.

AXIS BANK FD PREMATURE WITHDRAWAL PENALTY

It is possible to break a fixed deposit before the maturity date which can come in handy if you are in desperate need of funds, such as in the event of a medical emergency.

In such situations, the bank will allow partial or full withdrawal of the deposit prior to the expiration of the deposit term. This is subject to the conditions agreed upon at the time of the deposit being placed. The bank normally charges a minor penalty that is reported to you at the time of application of the FD Deposit for such premature withdrawals.