Features of Fixed Deposit
- Avail attractive interest on Fixed Deposits
- Enjoy tax savings up to INR 1,50,000 per year
- Get assured returns on your investments by staying invested for a longer period of up to 10 years
- Senior citizens can earn at an additional interest of upto 0.75% p.a. over and above the interest rates applicable on regular AU Fixed Deposit investment
- Get a loan in the form of an overdraft facility on your FD
- Appoint a nominee who can claim for your interest and earnings of the FD scheme
Benefits of Fixed Deposit
Whether you open a regular or tax-saving Fixed Deposit with AU Small Finance Bank, you can avail a host of benefits on the term deposit:
- A risk-free & long-term financial investment as FDs are not market-driven
- Earn a high rate of interest on the term deposits
- Flexibility to select tenure ranging from 7 days to 10 years. (Tax-saving FD: Maximum Tenure – 5 years)
- Get assured returns as it is not a market-linked product
- Choose monthly, quarterly, or annual interest payouts
- Ability to make a partial or premature withdrawal from the FD account; however, this attracts additional Interest or withdrawal charges
- Book an FD online or offline without any hassles beginning with a minimum investment of INR 1,000
- As a scheduled commercial bank, all FD schemes at AU Small Finance Bank are insured by the Deposit Insurance and Credit Guarantee Corporation (DICGC).
Eligibility to apply for Fixed Deposit
Before you apply for an AU Fixed Deposit, you are required to meet the below-mentioned eligibility conditions:
- Resident Indians, persons of Indian origin, overseas citizens & non-resident Indians are allowed to book an FD
- Any individual who is 18 years and above
- Minors, NRIs & HUF members can also apply for a Fixed Deposit
- Partnership firms, sole proprietorship firms, limited companies, Hindu Undivided Families (HUFs), families, and trust accounts are also eligible to apply for FD
Documents required to apply for Fixed Deposit
To open an AU Fixed Deposit, you are required to submit the following documents along with the duly filled application form
- Identity Proof: PAN card, Aadhar Card, driving license, voter ID, etc.
- Address Proof: Aadhar Card, utility bills, bank statement, etc.
- Passport-sized photo
How to apply for a fixed deposit online / offline?
AU Small Finance Bank provides various options to apply for a Fixed Deposit online & offline. You can easily book an FD using AU 0101 App & AU 0101 NetBanking or website.
Via an AU 0101 App & Netbanking:
Non-AU Small Finance Bank Customers with no Current or Savings Account relationship can open a Fixed Deposit on AU 0101 App with the help of the following steps.
- Select FD option on the AU 0101 App.
- Enter PAN & Aadhaar details to verify & proceed for E-KYC.
- Confirm your personal and income details & submit FATCA declaration.
- Choose your Fixed Deposit Type, Enter Amount, Tenure, Bank Account Details & Branch.
- Confirm and proceed to fund your account.
- Select either ‘Complete your KYC over Video Call now’ or ‘Schedule a Video Call’ for a later date.
- Confirm your details with our Video Banking Officer, display your PAN Card on the camera, sign on a blank piece of paper & display your signature on the camera.
- Tap on FD/RD, and select Open FD/RD.
AU Small Finance Bank Customers can open a Fixed Deposit on AU 0101 App with the help of the following steps.
Login to AU 0101 App
- Select Product, enter Deposit Amount, select Interest Pay-out Frequency, Deposit Period and Debit Account.
- Click on Next.
- Set Maturity Instructions and you may choose to select a Nominee.
- Proceed to book your FD/RD.
Apply for FD using Video KYC at AU Small Finance Bank
You can also apply for an FD via the AU Video Banking facility, where you can video call our representative and initiate the account opening process. To get on a Video Banking call, here are some of the pre-requisites you need to follow:
- You need to be 18 years and above
- You need to have a smartphone, tablet, or laptop with an active internet connection
- You should ensure that the room is well-lit
- You should keep your original PAN card, a blank paper and a blue/black pen handy
How is the FD interest rate calculated?
- Manual Calculation: The Fixed Deposit interest calculation formula is as follows:
A = P (1+r/n) ^ (n * t)
- Online FD Interest Calculator: You can also use an online FD interest calculator to get accurate results. It is best to use the algorithm-based tool as it can be used multiple times rather than calculating manually.
Standard Fixed Deposit interest rates in India
Interest Rates (Annualized)
12 Months 1 Day - 15 Months
15 Months 1 Day - 18 Months
18 Months 1 Day - 24 Months
24 Months 1 Day - 36 Months
Q1. How is monthly interest payout calculated for Fixed Deposit?
You can calculate the interest payments for the Fixed Deposit, either manually or using an online calculator. Use the formula A= P(1+r/n)^n*t for manual estimation, or you can use an online FD interest calculator that requires you to input the rate of interest, principal amount, & tenure.
Q2. Is FD a good investment?
FD is a safe investment option. The financial instrument is a good investment as the returns are assured, and you can earn at the rate of 8% per annum.
Q3. What are the minimum and maximum amounts for investing in a tax-saving Fixed Deposit?
You can start investing in a tax–saving Fixed Deposit with a minimum investment of INR 1,000. The maximum amount is INR 1.50 lakh.
Q4. How much amount of FD interest is tax-free?
The bank is mandated to deduct Tax Deducted at Source (TDS) if the interest payments exceed INR 40,000 from all FD accounts in a financial year. In case you are a senior citizen (60 years and above), the limit is INR 50,000. Read More - Dealing with TDS on Fixed Deposits in India
Q5. Does FD come under 80C?
Yes, you can claim a tax exemption on a Tax saver FD under Section 80C of the Income Tax (IT) Act.