IDFC Bank FD Interest Rate

1. Standard FDs: An investor needs to invest his/her money for a fixed period of time at a predetermined rate of interest. Standard FD tenure varies from 7 days to 10 years. It also facilitates loans and overdrafts against the FD money and premature withdrawal is also allowed but with a penalty.
2. Tax-Saving FDs: Here unlike Standard FD the amount cannot be booked for less than 5 years and 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 upto ₹1.5 lakh of the Income Tax Act.
3. Cumulative FDs: The interest is compounded as per the choice of the investor and the interest is added to the investment amount and will be paid at the time of maturity.
4. Non-Cumulative FDs: In this FD scheme investors will have the option to receive interest as a periodic payment like quarterly or half-yearly.
5. Senior Citizens FD: This FD scheme is for senior citizens (age above 60 years), here investors get better returns in comparison to standard FD.
6. Flexi FDs: In these FD schemes it offers the benefit of fixed deposit as well as savings bank account so that investors get a higher interest rate and liquidity.

Pros:

• It helps inculcate the habit of investing for a longer period of time.
• Interest can be credited as per the choice of an investor like quarterly, half-yearly or annually.
• One can save tax by investing into 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 requirement of the investor, he/she can liquidate the fund and can use it in an emergency.
• Amount invested with Bank is covered by DICGC insurance for the total sum of Rs 5 lakhs. 
• Investor can avail of the loan facility against 90% of the amount of the Fixed deposit.

Cons:

• Interest earned on fixed deposits is not tax-free and subject to  tax as per your applicable slab rate. .
• Also in some cases, banks deduct TDS at the time of paying the fixed deposit interest. So if the individual has income below the basic exemption limit as defined under the Income-tax Act, he/she will still have to file the Income Tax return to claim the refund of TDS deducted by the bank
• Historically Fixed Deposits have given lower returns as compared to Mutual Fund and equity instruments

Resident Indians, senior citizens, members of HUF, and NRIs are eligible to open their fixed deposit accounts with IDFC Bank.

1. Aadhar Card
2. Passport
3. Voter ID card (Election card)

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.

1. The interest earned on all types of FDs is included in the total income and is taxable as per the prevailing slab rate.

2. As per section 80C of the Income-tax Act 1961, the investor gets an exemption of ₹1,50,000 in tax saver FD investment.

3. In the case of a senior citizen (Age above 60 years), a deduction of up to ₹50,000 is available and for non-senior citizens up to ₹40,000.

4. If the PAN is not provided then, in that case, 20% TDS is levied.

5. In case your total income is below the taxable limit i.e. ₹ 2.5 lakhs, you can avoid TDS by submitting Form 15G to the bank.

6. In the case of senior citizens if your total income is below the taxable limit then you can avoid TDS by submitting Form 15H to the bank.