IndusInd Bank FD Interest Rate

1. IndusInd Regular FD

IndusInd Bank offers an attractive interest rate for regular citizens and senior citizens. If you are an existing IndusInd Bank customer, you can book a fixed deposit from a minimum of ₹ 10,000 to maximum ₹ 10 Lakhs. 

The new customers can book fixed deposits for amounts ranging from 10,000 to ₹ 90,000 only. The minimum tenure for booking a fixed deposit is 6 months and the maximum tenure is 10 years. The interest accrued on the online fixed deposit will be directly credited to the linked IndusInd Savings Account of existing customers. However, if you don’t have a savings account with IndusInd Bank, the amount accrued, post maturity will be transferred to you via a Demand Draft in your name.

2. Senior Citizen Fixed Deposit (For Saving Account)

Indusind Bank’s senior citizen scheme offers higher interest rates on those above 60 years. It is specially launched for senior citizens. In the case of joint deposits, the first name should be that of a senior citizen. 

Any customer can open a fixed deposit with a minimum amount of ₹15,000 for a flexible tenure ranging from 7 days to 120 months. The scheme comes with a nomination facility and a depositor can prematurely close the account. The FD rates are between 3.50% p.a. to 8.25% p.a.

3. IndusInd Bank Sweep In/Out scheme

This scheme allows the transfer of funds from an FD account to a linked Savings/Current Account and vice versa. If the balance on the Savings/ Current account is inadequate, funds are credited to the account from the Term Deposit account. The tenure period is from 30 days to 2 years. The scheme has facilities of nomination and automatic renewal. One can choose to prematurely close the account before the due date as well.

4. Tax Saver Fixed Deposit

The IndusInd Tax Saving Fixed Deposit Scheme offers deposits the opportunity to earn an attractive rate of interest on lump-sum amounts up to ₹ 1.5 lakh while also availing tax deductions of up to Rs.1.5 lakh (including other exemptions in this category as per the Income-tax Act, 1961). The bank offers an interest rate of 7.25% to general citizens. Whereas senior citizens can avail 0.50% additional interest on their fixed deposit as they get an interest rate of 7.75%. There is a 5-year lock-in period for this due to the tax benefits.

Pros:

• IndusInd Bank rate of interest on fixed deposit is highest when compared with other top private banks in India
• IndusInd Bank provides hassle free instant FD booking experience
• IndusInd Bank also offers many other banking products online (Savings Account, Credit Card, Personal Loan) to give you a seamless banking experience
• Now any customer can open an FD in IndusInd Bank online. They need to share Aadhar and PAN, complete video KYC instantly, and book FD of any amount
• Choose from monthly, quarterly, half-yearly, yearly, or at maturity interest payment option
• Deposits of IndusInd Bank that are payable in India are protected by the Deposit Insurance and Credit Guarantee Corporation (DICGC) up to a maximum of ₹ 5,00,000 for each depositor.

Cons:

• At times the inflation rate may be even higher than the interest rate of the FD.
• FDs have the same interest for their complete tenure. Hence the gains are fixed and would not increase.
• Interest income is fully taxable and included under the head “Income From Other Sources”.

A customer can open an online fixed deposit with IndusInd Bank, they need to meet the following criteria:

• Should be a citizen of India
• Should be more than 18 years
• Should have a valid KYC document such as PAN and Aadhar

• Individuals
• HUFs
• Sole proprietorships
• Partnership firms
• Limited companies
• Guardians on behalf of minors
• Societies
• Clubs
• Trusts
• Associations

The following documents have to be furnished for opening an IndusInd Bank FD–

1. Identity proof - (any one of the below)

• Aadhar Card, 
• Passport, 
• PAN card, 
• Driving license, 
• Government ID, senior citizen ID

2. Address proof - (any one of the below)

• Passport, 
• Telephone bill, 
• Bank statement with cheque, 
• Aadhar card, 
• Electricity bill

An IndusInd Bank FD account can be opened via different modes such as Mobile App, Internet Banking, and offline.

1) Web Application

Applicable for Non-IndusInd customers as well

• Verify your PAN & Aadhar

• Fill in Personal and FD Details

• Complete Video-KYC

• Fund your FD

2) Indus Mobile

Follow the below-mentioned steps to open an FD account via IndusInd Bank Mobile App-

Step  1: Login through your internet banking ID and choose the deposit option.

Step  2: Click on ‘Create Fixed Deposit’, fill out the form precisely.

Step 3: On successful submission, the amount is transferred from your savings account.

3) Indus Net

Step 1: Select the deposit option on your mobile banking account.

Step 2: Click on ‘Open FD’ and fill your details.

Select the amount you wish to add to your FD from your savings account.

An investment in IndusInd Bank Tax Saving FD provides tax saving benefits up to ₹ 1,50,000 p.a under section 80C of the Income-tax Act, 1961. If the amount of interest on an FD exceeds ₹ 40,000, (50,000 in case of resident senior citizens) the amount will be eligible for a 10% tax deduction. An investor must submit form 15G to the bank, stating that he has no taxable income, in order to avoid paying tax on his FD returns. 

To avoid TDS on FD returns, senior citizens must submit form 15H to the bank. An investor can also distribute the FD amount to keep the interest rate under ₹ 40,000. Another option for tax saving is to choose a tenure that does not exceed ₹ 40,000 in interest.