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IDFC First Bank Fixed Deposit

Updated 06 Dec 2023

Fixed deposit is a traditional investment option where banks and other financial institutions provide a fixed rate of return until the maturity date. Some deposit-taking NBFCs (Non-Banking Financial Companies) provide fixed deposits facility to their customers.

 

IDFC Bank was promoted by IDFC Ltd, a premier DFI renowned for the infrastructure development of India, and Capital First, a technology-led NBFC, and then they both merged to form IDFC First Bank in 2015.

 

FDs provide higher interest yield in comparison to Normal savings accounts. IDFC bank is one of the renowned private sector banks where one can invest in their schemes for higher returns. This article will give you detailed information regarding the IDFC Fixed deposit schemes.

Types of IDFC Fixed Deposit

  1. Standard FDs
  2. Tax-Saving FDs
  3. Cumulative FDs
  4. Non-Cumulative FD
  5. Senior Citizens FD
  6. Flexi FDs

Benefits of investing in IDFC Bank

  • It helps inculcate the habit of investing for a longer period.
  • Interest can be credited as per an investor's choice, like quarterly, half-yearly or annually.
  • One can save tax by investing in tax-saving fixed deposits.
  • IDFC provides a nomination facility so a Fixed Deposit account holder can assign a nominee for the amount deposited.
  • As per the investor's requirement, he/she can liquidate the fund and use it in an emergency.
  • The amount invested with Bank is covered by DICGC insurance for the total sum of Rs 5 lakhs.
  • Investors can avail of the loan facility against 90% of the Fixed deposit amount.

Features of Fixed Deposits in IDFC First Bank

Standard FDs

  • An investor must invest his/her money for a fixed period at a predetermined interest rate. 
  • Standard FD tenure varies from 7 days to 10 years.
  • It also facilitates loans and overdrafts against the FD money, and premature withdrawal is allowed but with a penalty.
  • The interest rate ranges from 3.50% to 7.00% for the general public and 4.00% to 7.50%

Tax-Saving FDs

  • Unlike Standard FD, the amount cannot be booked for less than 5 years.
  • It does not provide the facility of loan and overdraft against the FD amount; you cannot avail of the facility of premature withdrawal, but a deduction under 80C is allowed up to ₹1.5 lakhs of the Income Tax Act.
  • The interest rate ranges are 7.00% for the general public and 7.50% for senior citizens.

Cumulative FDs

  • The interest is compounded as per the investor's choice, and the interest is added to the investment amount and will be paid at the time of maturity.
  • The interest rate ranges from 3.50% to 7.00% for the general public and 4.00% to 7.50% for senior citizens.

Non-Cumulative FDs

  • This FD scheme is for senior citizens (age above 60 years), here, investors get better returns than standard FD.
  • The interest rate ranges from 4.00% to 7.50% for senior citizens.

Flexi FDs

  • These FD schemes offer the benefit of fixed deposit and savings bank accounts, giving investors a higher interest rate and liquidity.
  • The interest rate ranges from 3.50% to 7.00% for the general public and 4.00% to 7.50% for senior citizens.

IDFC Bank Eligibility Criteria

  • Resident Indians
  • Senior citizens
  • Members of HUF
  • NRIs are eligible to open their fixed deposit accounts with IDFC Bank.

Documents required for IDFC Bank FD account

Identity Proof

  • Aadhar Card
  • Passport
  • Voter ID card (Election card)

Address Proof

  • Aadhar Card
  • Utility Bills
  • Electricity Bills

How to open an FD account with IDFC Bank account

Anyone can open an FD account in IDFC bank with the IDFC bank app who has a saving or current account in IDFC bank

Follow the below-given steps to open the FD account through the app;

  1. Login to IDFC FIRST Bank App and Click on Open FD
  2. Select the account from where the investment amount will be debited.
  3. Enter the investment amount
  4. Select the scheme where you want to invest
  5. Lastly, click on Create FD to complete the process.

If an investor does not want to open online, then one can apply offline also by visiting the nearest IDFC Bank branch.

Breaking an FD in IDFC Bank

Online Banking

  • Access your IDFC Bank online banking account.
  • Navigate to the section titled 'Fixed Deposits'.
  • Search for an option like Premature Withdrawal'.
  • Pick the FD you're considering terminating early
  • Review all details and proceed as guided to finish the withdrawal.

Via the Mobile App

  • Launch the IDFC Bank mobile application.
  • Head to the section dedicated to FDs.
  • Opt to end or pre-close the FD.
  • Identify and select the FD you want to break.
  • Adhere to the guidelines shown to wrap up the procedure.

Directly at the Bank

  • Drop by your local IDFC Bank outlet
  • Discuss your intention to pre-close the FD with a bank representative.
  • They'll hand over a form for you to complete and return.
  • Be prepared to show the FD document or any other related identification.
  • The amount will be routed to your primary bank account linked with the FD upon processing.

Through Phone Assistance

  • Some banks, including IDFC, might allow for FD-related queries over a call. Dial the customer service of IDFC Bank to check if they provide assistance with FD pre-closure via this method.

FAQs

1. What is the minimum amount required to open an FD account in IDFC Bank?

The minimum amount required to open an FD in offline is ₹10,000, and if an investor opens through the Mobile app the minimum amount is ₹1,000.

2. Is the Rs. 5 lakh DICGC insurance cover applicable separately for every bank?

Yes, for such extreme situations, each depositor is insured up to a maximum of ₹5 lakhs (for both principal and interest). In case you have multiple fixed deposits with several banks, the insurance coverage cap is separately applied to the amount in every bank.

3. In the case of a Joint deposit account, who can claim tax exemption under section 80C?

In the joint holder deposit case, the First holder will get a tax deduction under 80C.

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IDFC First Bank

Calculate IDFC First Bank FD Returns

₹1,00,000
6%
365
days
daysmonthsyears
Maturity Amount₹1,06,000

Understanding Fixed Deposit

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