A fixed deposit is a great investment tool which provides an investor high returns when compared to most of the investment options available in India. ICICI Bank offers interest rates as high as 7.5% p.a. for Senior Citizens (above the age of 60 years) and up to 6.9% p.a. for citizens be/low the age of years. The bank provides a wide range of fixed deposits for every customer and they can choose to invest as per their financial requirements. Let’s understand this in detail in this article.
|Tenure||For General Citizens (p.a.)||For Senior Citizens (p.a)|
|7 days to 14 days||3%||3.5%|
|15 days to 29 days||3%||3.5%|
|30 days to 45 days||3.5%||4%|
|46 days to 60 days||4.25%||4.75%|
|61 days to 90 days||4.5%||5%|
|91 days to 120 days||4.75%||5.25%|
|121 days to 150 days||4.75%||5.25%|
|151 days to 184 days||4.75%||5.25%|
|185 days to 210 days||5.75%||6.25%|
|211 days to 270 days||5.75%||6.25%|
|Note: All interest rates are updated as of 18th May 2023|
1. Regular Fixed Deposits
ICICI Bank provides a simple investment option which offers safety, liquidity, flexibility and assured returns. Any customer can open a fixed deposit with a minimum amount of ₹10,000 for a flexible tenure ranging from seven (7) days to ten (10) years. One can start a fixed deposit instantly through both iMobile app and internet banking. ICICI Bank also provides an overdraft (OD) facility against regular fixed deposits upto 90% on the principal plus accrued interest. And if a customer is in need of urgent funds, they have an option of premature/partial withdrawal.
2. Golden Years Fixed Deposit
ICICI Bank has launched a golden year fixed deposit exclusively for Indian resident senior citizens where the bank is providing an additional interest rate of 0.10% on fixed deposits for a limited time over and above the existing additional rate of 0.50%. The applicable duration is from 20th May 2020 to 7th April 2023. These additional rates will be available on fresh deposits opened as well as deposits renewed during the scheme period. The eligible fixed deposit amount should be less than 2 crores.
In case a deposit opened in the above scheme is prematurely withdrawn/closed after, on or after 5 years 1 day, the applicable penal rate will be 1.10%. In case the deposit opened in this scheme is prematurely withdrawn/closed before 5 years 1 day, the prevailing premature withdrawal policy will be applicable. All other features of term deposit as well as terms and conditions shall remain unchanged and are applicable for this scheme also.
3. Money Multiplier Fixed Deposit (For Saving Account)
The Money Multiplier feature of ICICI Bank gives their bank the liquidity of a savings account coupled with high earnings of a fixed deposit. This is achieved by creating a fixed deposit linked to a savings account which provides the unique facilities.
The minimum balance in the savings/current account should be ₹15,000 to generate a linked fixed deposit request. The linked fixed deposit will be under the same customer id and will be for a minimum tenure of 1 year for savings account customers. All FDs linked to the account will be enabled for the automatic reverse sweep when the balance in the Savings Accounts falls below ₹10,000 for individual customers. The Fixed Deposit will be opened in auto-renewal mode. The deposit will be renewed for the same tenure as the original tenure. The interest rate on such Fixed Deposit will be the rate applicable for the respective period, prevailing as on the date of such auto-renewal.
4. Flexi Fixed Deposit (For Current Account)
The Flexi Fixed Deposit feature of ICICI Bank gives their customer the liquidity of a current account coupled with high earnings of a fixed deposit. This is achieved by creating a fixed deposit (FD) linked to the current account which provides unique facilities. The minimum balance in the current account should be ₹1,05,000 to generate a linked fixed deposit request.
The linked FDs will be under the same Customer ID for Current Account customers. The Fixed Deposit will be opened in auto-renewal mode. The deposit will be renewed for the same tenure as the original tenure. The interest rate on such Fixed Deposit will be the rate applicable for the respective period, prevailing as on the date of such auto-renewal.
5. Tax Saver Fixed Deposit
A customer can open a tax saver fixed deposit with a minimum investment of ₹10,000 and a maximum of ₹150,000 for a duration of 5 years. Interests earned on these fixed deposits are taxable and come with a no premature withdrawal and auto-renewal facility. FD allows only a one-time lump sum deposit. Customers get the benefit of tax deductions under 80C of the I-T Act.
ICICI Bank customers experience a variety of beneficial features on fixed deposits, such as:
Following individuals and entities are eligible to apply for a regular Fixed Deposit online:
Any one of the following documents would serve as proof of identity and address of the customer:
If the above address proof does not contain your communication address, then the following documents can be considered as proof of address. In such cases, the customer has to update the official valid documents (OVD) with a communication address and submit it to the bank within 3 months of account opening.
An ICICI Bank FD account can be opened via different modes such as Mobile App, Internet Banking, and offline.
1) Internet Banking
Follow the steps listed below to open an ICICI Bank FD account via internet banking-
Step 1: Log in to ICICI Bank Internet Banking
Step 2: Go to ‘Account and Deposits’
Step 3: Select ‘Deposits’
Step 4: Select ‘FD/RD’
Step 5: Select your FD type
Step 6: Select your FD tenure. ICICI Bank Fixed Deposit interest rates tenure wise
Step 7:Type your amount. You can open an FD for any amount greater than ₹ 10,000
Step 8: Click on ‘Submit’. You have successfully opened an FD in ICICI Bank.
2) Mobile App - ICICI Bank App
Follow the below-mentioned steps to open an FD account via ICICI Bank Mobile App-
Step 1: Download the ICICI Bank App and sign in.
Step 2: Choose the ‘Open Fixed Deposit’ option.
Step 3: Fill out all the required personal details and nominee information.
Step 4: Submit and the FD account will get opened immediately.
3) Offline ICICI Bank FD Opening
For opening an ICICI Bank FD account offline, one has to visit the nearest ICICI Bank branch. An ICICI Bank FD application form will be required to be filled. Along with this, submit all the essential documents with the deposit amount. On successful processing of the application, an FD receipt will be provided by the ICICI bank.
ICICI Bank Tax Saving Fixed Deposits are entitled for tax saving up to ₹ 1,50,000 p.a. under section 80C of the I-T Act.
Also, the interest income from ICICI Fixed Deposit is taxable according to the slab rates of income tax. Any customer can claim a deduction upto ₹ 40,000 per annum of the interest income earned on the fixed deposit as per section 80TTB of the I-T Act. For the senior citizens, the deduction limit is ₹ 50,000 per annum.
According to the section 194A of the I-T Act, the bank is liable to deduct TDS at 10% on interest income earned by their customers on fixed deposits. Also, if the investor fails to provide PAN Card details to the bank, the TDS rate will be 20%.
DICGC insures all kinds of deposit accounts of a bank, such as savings, current, recurring, and fixed deposits up to a limit of INR 5 lakh per account holder per bank. In case an individual's deposit exceeds INR 5 lakh in a single bank, only Rs.5 lakh, including the principal and interest, will be paid by DICGC if the bank becomes bankrupt.
Yes, ICICI Bank gives a loan facility up to 90% of principal and accrued interest of fixed deposit.
Yes, a customer can opt for a credit card against their FD invested with the Bank to the extent of 85% of the investment amount.
The main difference between these two is the investment period. It means if you invest in tax saver FD then the minimum period will be 5 years while in regular FDs investment tenure starts from as low as 7 days.
Disclaimer: The calculator and the results of the same are based on information inputted by you and extracted from third party sources. The information on this page is for illustrative purposes only and does not amount to any investment advice or recommendation. Wint Wealth has no commercial interest or gain in or from the actions resulting from the information displayed on this page. The information displayed on this page does not constitute an invitation to invest in any product nor is it a promise of performance. Interest rates are not updated in real time and you are advised to make your own enquiries, consult a professional advisor and verify the information prior to taking any investment decisions.