Axis Bank Fixed Deposit Account

Axis Bank Fixed Deposit (FD) helps you to invest a fixed amount for a fixed tenure and earn handsome returns on the same. The applicable rate of interest is between 2.50% and 6.00% depending on the deposit amount, type of account holder, tenure, and the FD scheme. The Axis Bank FD interest rate may change from time to time as per the bank’s discretion. The FD account is available for both new and existing customers. You can choose between short-term or long-term investments. There are several facilities such as nominee, automatic roll-out, premature withdrawal, tax-saving, tenure between 7 days and 10 years, and a lot more.

In this post, we will discuss about Axis Bank Fixed Deposit features, eligibility criteria, interest rates, documents required, types of FD schemes in depth, and frequently asked questions.

Features of Axis Bank Fixed Deposit Account

Here are the features of Axis Bank FD schemes:

• For a regular FD, the minimum deposit amount is Rs. 5,000 if booked online or Rs. 10,000 if booked at the branch.
• The tenure for the deposit is between 7 days and 10 years.
• You can open the FD account offline at bank branch or through mobile banking/internet banking.
• The Express Deposit Scheme gives you a return in as less as 6 months with maximum investment amount of Rs. 90,000.
• You can avail FD schemes to save tax (up to Rs. 1,50,000 on the accrued interest) with tenure of at least 5 years.
• There is Auto Fixed deposit with sweep-in and sweep-out facility to savings account.
• The Fixed Deposit Plus scheme for retail and corporate customers helps you earn higher interest than that on regular deposits.

Eligibility Criteria for Axis Bank Fixed Deposit

The FD account by the bank is available for specific individuals and entities as follows:

Axis Bank Fixed Deposit Interest Rate

Here is a list of Axis Bank Fixed Deposit Interest Rates in India:

• For domestic deposits less than Rs. 5 crores, the Axis Bank FD interest rates are between 2.50% and 5.50% (for senior citizens up to 6.00%). The tenure of such deposits is between 7 days and 10 years. For deposits of Rs. 5 crores and above, the rate of interest is between 2.50% and 4.25%.
• For Axis Bank Fixed Deposit Plus (Rs. 5 crores and above), the interest rates are between 2.50% and 4.40%. Tenure of such deposit is between 7 days and 10 years.
• Axis Bank FD rates for Non-residential external (NRE)/NRI deposits (less than Rs. 5 crores) are between 3.00% and 5.50% for 1 year to 10 years tenure. For deposit Rs. 5 crores and above the rate is between 3.00% and 4.25%.
• For NRO deposits less than Rs. 5 crores the rate is between 2.50% and 5.50%.
• For RFC term deposit in USD, GBP, EURO, CAD, AUD, the rates are between 0.15% and 0.60%, 0.15% and 0.30%, 0.01%, 0.35% and 0.55%, and 0.30% and 0.60%, respectively.
• For FCNR (B) deposits or Foreign Currency (Non-resident) Deposit (Banks), the rates for USD, EURO, GBP, JPY, CAD, AUD, are between 0.50% and 0.60%, 0.01%, 0.30%, 0.01%, 0.55%, 0.40% and 0.60%, respectively.
• Axis Bank interest rate for NRI deposits/NRE deposits of Rs. 5 crores and above are 4.15% to 4.40%. The tenure varies between 1 year and 10 years.

Documents Required to Open an Axis Bank Fixed Deposit Account

To open an Axis Bank FD account, you have to submit a list of documents as per your eligibility:

• Documents for individuals/HUFs/sole proprietorships: A recent photograph, a valid Driving Licence or Passport, an introduction by an Axis Bank account holder with 6 months history recently, or an introduction from any other bank.
• Documents for Associations/Clubs: Photographs of the members, a copy of Resolution by the board that gives authority to members for the account, and Bye-laws of the Association.
• Documents for Trusts: Photographs of the applicants, a copy of Registration Certificate, Trust Deed, and Resolution of Trustees authorising the members for the account.
• Documents for Partnership Firms: Photographs of the members, a letter from partners approving the members for the account, and Partnership Deed.

Types of Axis Bank Fixed Deposit Schemes

Axis Bank has several FD schemes for its members (existing and new customers). These FD accounts include – Express Fixed Deposit, Tax Saver Fixed Deposit, Auto Fixed Deposit, and Fixed Deposit Plus. In the following, we will discuss these fixed deposit schemes in detail.

1) Axis Bank Express Fixed Deposit

You can open an FD online without a savings account at the Axis Bank. The Express Fixed Deposit is a digital FD account that you can book online by submitting basic details (Aadhaar and PAN) and in as less as 3 minutes.This scheme is for single account holders, joint account is not possible. You can make an instant deposit and receive your FD number. All you have to do is visit the Axis Bank Express FD page and provide PAN, Aadhaar, other details, agree to terms and conditions, and proceed ahead.

NOTE: This FD scheme is not available for customers with Axis ASAP savings account.

• Minimum deposit amount is Rs. 5,000 and the maximum is Rs. 90,000.
• You can book the account for a maximum period of 12 months and minimum period of 6 months.
• Zero issuance fee and attractive interest rates.
• Good returns in just a period of a year.
• Penalty-less premature withdrawal up to 25% of the amount.

Features of Axis Bank Express Fixed Deposit

Here are a few more features of Axis Bank Express FD Account:

• You can only open one Express FD account as per RBI rules. This is because the account is an OTP based KYC one.
• You need to complete your KYC at the bank branch, otherwise your FD account will be valid only for a year.
• To complete your full KYC, go to the Axis Bank branch and submit PAN Card details with valid Passport/Driving Licence/Voter’s ID Card/Aadhaar Card/Job card issued by NREGA/ National Population Register letter confirming name, address so that all restrictions are lifted from the account.
• If you wish to close this account, you can do so from the Axis Mobile Application. Either you may go for a full closure or premature closure.

Here are the eligibility criteria for this Fixed Deposit scheme:

• You are a resident India of 18+ years of age.
• You are not an existing customer of the Axis Bank.
• You have a valid Aadhaar Card and PAN Card.
• Your Aadhaar is linked it mobile number.

2) Axis Bank Tax Saver Fixed Deposit

You can now save on your taxes with a 5-year fixed deposit by Axis Bank. You will receive lucrative interest rate on lump-sum investment and save taxes with Tax Saver FD. This facility has 3 options such as Reinvestment Deposit, Tax Saving Monthly Interest Payout, and Tax Saving Quarterly Interest Payout, depending on the chosen interest pay-out by you. You can choose this FD if you are an Indian resident or HUF (Hindu Undivided Family).

NOTE: Any new Reinvestment Term Deposit with the bank on and after 1 August, 2013 as well as the existing FD holders of same scheme, renewed on and after this date, the reinvested interest would be net of Tax Deducted at Source. Thus, the maturity value would also differ to that extent.

Documents Required Applying for Tax Saver FD:

Here are the required documents for Axis Bank FD scheme:

• Your recent passport-sized photograph.
• A valid driving licence/voter ID card/passport, etc.
• An introduction by an account holder (with at least 6 months history) of Axis Bank savings account or an introduction by any other bank.

Tax Benefits on Axis Bank Tax Saver Fixed Deposit

You can earn tax benefit on the interest earned on this deposit account. The benefits are as per the provision of Section 80C of the Income Tax Act, 1961:

• You can get a tax deduction of up to Rs. 1,50,000 on a tax-saver FD with at least 5 years tenure.
• Only HUF and individuals can avail this benefit for the said interest earning in a financial year.
• You will have to forfeit the tax exemption on premature closing/withdrawal.

NOTE : If the total projected interest in a FY goes over Rs. 40,000 threshold limits (for senior citizens Rs. 50,000), then the TDS is proportionally deducted from the existing FD during the application of interest. The same is in agreement with IT Act’s Section 194 A 3 (i) (a). The tax on the interest is then deducted in agreement with rules of Section 194A or Section 195 of the Act.

How to Claim Tax Benefit on Axis Bank Tax Saver FD?

You can claim tax benefit through the FD receipt issued by the bank:

• If you are an individual account holder or in capacity of Karta of HUF, then you can use the single holder type deposit receipt to claim the tax deduction.
• Joint holder type deposit receipt on the other hand is released jointly to an adult and a minor or two adults. The amount of FD is payable to the account holders or to the survivor.
• The tax exemption as per the Section 80C however is available to the primary holder of the deposit. And this account holder must have a valid PAN.

3) Axis Bank Fixed Deposit Plus

This FD scheme gives a higher return than the regular Axis Bank Fixed Deposit interest rate on other FD accounts. Both domestic customers and NRIs can enjoy this opportunity. There is no auto-renewal facility. The interest accrued is on simple or compounding basis with minimum investment amount of Rs. 5,00,00,000. There is no upper cap to the amount you wish to put in the FD. You can also benefit with multiple deposit types, tax deducted at source, and high rate of interest.

Features of Axis Bank Fixed Deposit plus Account

Here are the features of this Axis Bank FD plan:

• The eligible customers are Indian residents, Sole Proprietorship Firms, HUFs, Trusts, Limited Companies, and Partnership Firms.
• The scheme is for retail and corporate customers.
• You can pick from reinvestment deposit, short term deposit, and monthly or quarterly pay-out deposit.
• Tenure of the FD is between 7 days and 10 years.
• You can either be a single account holder or joint holder (two adults or jointly as an adult and minor).

4) Axis Bank Auto Fixed Deposit

With this Axis Bank Fixed Deposit scheme, you can get the best of both worlds – high earning of an FD and liquidity of a savings account. You can open an FD with 5 years maximum under this scheme and get returns in tenure as short as 6 months. The Axis Bank Auto FD links your existing savings account to the Fixed Deposit Account. Thus, you can initiate an automatic transfer of funds in multiples of Rs. 5,000 from savings account to FD account, when the balance in former crosses Rs. 25,000. You can enjoy short minimum tenure, automatic deposits, auto renewal of the account, and easy fund liquidation.

Reverse Sweep Facility

A reverse sweep-in facility is available. So, if your savings bank account falls below balance Rs. 25,000, then money in multiples of Rs. 5,000 especially from recently formed FD will be swept to the savings account.

• You will earn interest rate as per the applicable rate for the timeframe till the money was held in the deposit. This is applicable for any amount broken from the FD.
• The rest of the amount in the Fixed Deposit will earn the contracted interest rate.

Features of Axis Bank Auto Fixed Deposit

Here are the features of this Axis Bank Fixed Deposit scheme:

• You should have an existing savings account in Axis Bank to open an Auto FD.
• There is no premature withdrawal penalty on NRE term deposits.
• You can access the funds through cheques or ATM withdrawals.
• You can auto-renew the deposits booked under Encash 24 for minimum 6 months and maximum 5 years.

Frequently Asked Questions about Axis Bank Fixed Deposits

Here are FAQs on Axis Bank FD schemes:

1. Where can you find the application forms for Axis Bank Fixed Deposit plans?
To open an FD account with the bank, you have to duly fill and submit relevant FD application form. You can download the application forms as from the below given source:
• FD account opening application form for existing customers of Axis Bank
• FD account opening application form for new customers of Axis Bank
• Here is the joint declaration form to permit premature repayment of term deposits.
2. How to open Axis Bank Fixed Deposit Account through mobile banking?
Here is how to use mobile banking to book FD account at the bank:
• Login to the mobile banking app and select the option for deposit.
• Select ‘Open FD’.
• Provide the account details and that of the nominee.
• After confirmation, submit the amount that you wish to have debited from your savings account and deposited in the FD.
• The Fixed Deposit account will be created and you will receive a web receipt immediately.
• The interest rate and value of opening of the deposit will be according to the date on which the savings account is debited.
• You will receive the FD advice on your registered email address. This is in case if you are registered for e-statement.
• In case you have not registered to receive e-statement, then you will receive the physical advice on your communication address.
• On the mobile banking platform, you can also see the FD advice after one working day of booking the deposit.
3. How to open Axis Bank FD account through internet banking?
Here is how to use internet banking to book FD account at the bank:
• Go to the internet banking portal of Axis Bank, and login.
• Select the deposit option and click ‘Create Fixed Deposit’.
• Provide the required account details and that of the nominee.
• After confirmation, submit the amount that you wish to have debited from your savings account and deposited in the FD.
• The Fixed Deposit account will be created and you will receive a web receipt immediately.
• The interest rate and value of opening of the deposit will be according to the date on which the savings account is debited.
• You will receive the FD advice on your registered email address. This is in case if you are registered for e-statement.
• In case you have not registered to receive e-statement, then you will receive the physical advice on your communication address.
• You can also download the FD advice from the deposit section of the internet banking, after one working day of booking the deposit.
4. What is the highest and the lowest Axis Bank interest rate for FDs?
The interest rate on fixed deposit depends on the deposit amount, tenure, terms and conditions of the scheme and the bank. The lowest and higher FD rate by the bank is 2.50% and 6.00%.
5. How to avoid premature encashment penalties?
There are no penalties on premature withdrawals for NRE Term Deposits. But a penalty may otherwise apply on early withdrawal in other cases, and here we tell you how to escape the same:
• Rupee Term Deposits (including Flexi Deposit) of contacted amount lower than Rs. 5 crores renewed/opened on or later to 1 May, 2014: The interest rate is 1% lower than the card date that existed on the deposit date, and as applicable for the period till the FD was maintained with the bank. Or, it could be the rate is 1% lower than the contracted rate, actually, whichever is lower. But the rate will be as per the period of deposit or that of contracted rate, whichever is lower for Rupee Term Deposits closing in 14 days from the deposit’s booking date.
• Rupee Term Deposit (including Flexi Deposit) of contracted amount lower than Rs.5 crores renewed/opened on or later to 15 December, 2017: There is no premature closing penalty for the initial partial withdrawal with value <= 25% of the original principal value of the deposit. For any partial withdrawals thereafter, the premature closure penalty rate will apply on the complete amount withdrawn. Also, this penalty rate will apply on partial withdrawal with > 25% value of original principal value for the entire amount withdrawn. But the rate will be as per the period of deposit or that of contracted rate, whichever is lower for Rupee Term Deposits closing in 14 days from the deposit’s booking date.
• Rupee Term Deposit of contracted amount Rs. 5 crores and greater: Here, the rate of interest is 1% below the card rate as per the prevailing rate on the deposit date, and as applicable for the time the deposit was maintained with the bank. Or, it could be 1% lower than the contracted rate, whichever is lower. The same is also applicable for deposits closing in 14 days from the booking date of the deposit.