IndusInd Bank Fixed Deposit

IndusInd Bank owes its incorporation to a group of Non-Resident Indians (NRIs) who started it with an initial capital of 1,000 million in 1994. Subsequently, it raised additional money through a preferential issue of shares and an IPO. A series of acquisitions and amalgamations followed to strengthen its base in the banking industry. The bank has won various awards on its journey towards excellence. IndusInd Bank is renowned for its innovations such as Banking on WhatsApp, Banking on Alexa, Fingerprint Banking, and various other customer-friendly initiatives. The Bank is the first entity in India to introduce the interactive Credit Card. The credit for introducing a Debit-cum-Credit card goes to IndusInd Bank. Another innovative facility is the convenience of choosing your account number.

Why IndusInd Fixed Deposits?

IndusInd Bank is committed to providing excellent customer service. It has a range of loan products. Besides, the bank offers exciting deposit products to suit the requirements of its vast clientele. IndusInd provides facilities to open Fixed Deposits (FDs) online. It has exciting deposit products such as Young Saver and Value-Added Recurring Deposit to cater to the growing demands of its customers. The bank offers the best rates of interest on its Fixed Deposits. The flexibility of its interest payouts is one of the principal reasons for choosing IndusInd Bank as your preferred one for opening FDs.

IndusInd Fixed Deposits - Features and Benefits

  • An extensive range of Fixed Deposits to suit the demands of individuals
  • Attractive deposit products on offer
  • Flexibility of interest payouts
  • Monthly interest and quarterly interest payments to ensure a regular source of income
  • Half-yearly and annual payouts available
  • Reinvestment deposits for the benefit of customers
  • Competitive rates of interest
  • Partial withdrawals permitted
  • Senior citizens get the advantage of a higher rate of interest
  • Tax-saving deposit schemes
  • Online booking of FD possible

IndusInd Fixed Deposits - Rate of Interest

Domestic/NRO/NRE/Interest rates on Fixed Deposits below 2 Crores - with effect from 06.07.2019 - Rates are in % per annum

Maturity Period Domestic/NRO Deposits NRE Deposits

7 to 14 days

3.75

**

15 to 30 days

4.25

**

31 to 45 days

5.75

**

46 to 60 days

6.00

**

61 to 90 days

6.25

**

91 to 120 days

6.50

**

121 to 180 days

6.75

**

181 to 210 days

7.00

**

211 to 269 days

7.00

**

270 days to < one year

7.25

**

1 year to 1 year 2 months

7.60

7.60

More than 1 year 2 months to 1 year 4 months

7.60

7.60

Above 1 year 4 months to < 2 years

7.75

7.75

2 years to < 2 years 6 months

7.75

7.75

2 years 6 months to less than 2 years 9 months

7.75

7.75

2 years 9 months < less than 3 years

7.75

7.75

3 years to < 61 months

7.35

7.35

61 months and more

7.25

7.25

Indus Tax Saver Scheme - 4 years

7.50

NA

Rates with effect from 06.07.2019 Premature Withdrawals allowed Premature withdrawals not allowed (Non-Individual accounts)

Fixed Deposit Amount

2 Cr to < 5 Cr

1 Cr to < 5 Cr

Maturity Period

Rate (% per annum)

Rate (% per annum)

7 to 14 days

4.50

4.50

15 to 30 days

4.75

4.75

31 to 45 days

6

6.10

46 to 60 days

6.10

6.20

61 to 90 days

6.30

6.40

91 to 120 days

6.60

6.70

121 to 180 days

6.70

6.80

181 to 210 days

7.00

7.10

211 to 269 days

7.10

7.20

270 days to < one year

7.25

7.35

1 year to 1 year 2 months

7.50

7.60

More than 1 year 2 months to 1 year 4 months

7.50

7.60

Above 1 year 4 months to < 2 years

7.50

7.60

2 years to < 2 years 6 months

7.50

7.60

2 years 6 months to less than 2 years 9 months

7.50

7.60

2 years 9 months < less than 3 years

7.50

7.60

3 years to < 61 months

7.45

7.50

61 months and more

7.25

7.25

Indus Tax Saver Scheme - 5 years

NA

NA

Rate of Interest on FCNR/RFC Deposits - with effect from 01.08.2019

Period USD GBP EUR JPY CAD AUD

1 year < 2 years

3.35

1.85

0.01

0.01

2.15

0.99

2 years < 3 years

3.45

2.15

0.01

0.01

1.87

0.91

3 years < 4 years

2.90

1.70

0.01

2.90

1.83

0.92

4 years < 5 years

2.80

1.65

0.01

0.01

1.82

1.04

5 years

2.75

1.65

0.01

2.90

1.82

1.10

Rate of Interest on Recurring Deposits - Rate in % per annum

Deposit Tenure Regular Deposit Senior Citizen

9 months

7.25

7.75

12 months

7.60

8.10

15 months

7.60

8.10

18 months

7.75

8.25

21 months

7.75

8.25

24 months

7.75

8.25

27 months

7.75

8.25

30 months

7.75

8.25

33 months

7.75

8.25

3 years to < 5 years

7.35

7.85

5 years to 10 years

7.25

7.75

IndusInd Fixed Deposits - Types of Deposits

Resident Indian Deposits

Fixed Deposits

Product

A bouquet of deposit products that lets your money grow

Eligibility

  • Individuals and HUF
  • Non-individual entities
  • Guardians on behalf of minors
  • Societies, Clubs, Trusts, and Associations

Deposit tenure

7 days to 10 years

Interest payout options

  • Monthly - Simple interest at discounted value
  • Quarterly - Simple interest
  • Half-yearly and annual payment facility available
  • On Maturity - Interest compounded quarterly and reinvested

Maximum investment

No upper ceiling

Benefits

  • Auto-renewal options
  • Additional interest benefit to senior citizens for deposits up to 2 Crores.
  • The minimum deposit for senior citizen benefit is 10,000
  • Overdraft/Loans available against deposit
  • Early withdrawal allowed
  • TDS as applicable

Tax-saver variant

  • Deposit amount is eligible for concession/rebate under Sec 80C of IT Act.
  • The maximum investment is 1.50 Lakhs in a financial year
  • Fixed tenure of 5 years
  • No premature or partial withdrawal
  • No loan or overdraft against this deposit
  • Special rate of interest
Sweep In/Out Deposit

Product

Ensures safety and liquidity to meet urgent needs without incurring an additional cost.

Target

Individuals and corporate entities who get a continuous float in their SB/Current accounts.

Minimum investment

Depends on whether you link your savings or current account

Facility

  • Balances over the respective minimum balance amount attract higher interest at FD rates.
  • Facility to sweep in when the balance in the SB/CA goes below the minimum level.
  • The amounts not swept in continue to earn higher interest

Interest rate

As applicable to Fixed Deposits

TDS

As applicable

Deposit tenure

30 days to 24 months

Other features

  • Nomination eligible
  • Premature withdrawal permitted
Recurring Deposit

Product

Enable customers to save regularly by investing a fixed amount every month.

Minimum investment

  • 500
  • In multiples of 100 after that

Deposit tenure

12 months to 120 months

TDS

As applicable

Premature closure

Allowed

Nomination

Permitted

Senior citizen

Benefit available

Mode of payment of an instalment

  • Standing instruction to debit savings account
  • Direct remittance
  • ECS Mandate
Young Saver Deposit

Product

The purpose is to encourage the savings habit in children

Eligibility

Minor account opened and operated by the guardian

Features

The balance in the savings account on the last day of the month gets transferred to a Flexi RD account leaving behind 100.

Minimum opening balance

11

Interest rate

As applicable to Recurring Deposits

Deposit tenure

6 months to 120 months

Other benefits

  • Nomination available
  • Premature Closure allowed

TDS

As applicable

Deposit Plus

Product

Enjoy higher returns through investment in market-linked instruments

Benefit

  • Protection of capital as the principal amount is invested in a Fixed Deposit
  • Interest earned on it gets invested in a Mutual Fund through SIP
  • Returns from SIP is tax-free if redeemed after one year
  • Get the advantage of Rupee Cost Averaging

Other features

  • Nomination allowed
  • A range of SIPs to choose
  • Overdraft facility approved against FD
  • Premature encashment permitted

Eligibility

  • Residents and non-resident Indians
  • Minimum monthly interest should not be less than 1,000
Value Added Recurring Deposit

Product

Unique product introduced in collaboration with Thomas Cook to enable customers to save for the dream holiday.

Type of account

Recurring Deposit

Features

  • Facility to choose your holiday package with Thomas Cook
  • Save for the same by depositing in 12 monthly instalments
  • Enjoy your holiday at the end of 12 months

Non-Resident Indian Deposits

  NRE Deposits NRO Deposits

Eligibility

Non-resident Indians (NRI) and Persons of Indian Origin (PIO)

Currency

Indian Rupees

Deposit tenure

1 year to 3 years

15 days to 10 years

Interest payout

As per customer request

Joint accounts

Permitted with other NRI/PIO

Allowed with resident and non-resident Indians

Loans

Available

Repatriable

Principal and interest repatriable without any restriction.

Remittance of up to USD 1m per financial year is permissible subject to fulfilment of specified conditions.

Taxation

Interest income is tax-free

Interest on NRO deposits is taxable as per rules

  FCNR (B) Deposits RFC Deposits Rupee Multiplier

Eligibility

NRI/PIO

NRIs returning to India on a permanent settlement basis.

NRI/PIO

Currency

USD, GBP, EUR, AUD, CAD, and JPY

USD, GBP, and EUR

USD, GBP, EUR, AUD, CAD, and JPY

Minimum deposit

USD 2,500 or its equivalent

No minimum

Similar to FCNR A/c

Source of funds

Inward remittance and transfer from NRE/FCNR account

  • Inward remittance from abroad and transfer from FCNR A/c only
  • Subsequent transfer from NRE A/c is permissible.

Inward remittance and transfer from NRE/FCNR account

Deposit tenure

1 year to 5 years

1 year to 3 years

1 year to 5 years

Interest payout

On maturity or half-yearly intervals

Taxation

Interest is tax-free

An exemption is available as long as the depositor retains the RNOR status

Interest is tax-free

Repatriable

Interest and principal are repatriable

Repatriable if the depositor regains NRI status

Maturity proceeds are repatriable

Exchange Risk

Nil

Nil

Protection from exchange rate fluctuations

Other benefits

  • Nomination available
  • Rupee loans available
  • Automatic renewal
 

End Rupee value of this deposit is known upfront as customers can book a forward contract

Documents Required for Opening IndusInd Fixed Deposits

The following documents are necessary for opening IndusInd Fixed Deposits:

  • ID Proof - self-attested
  • Address Proof - self-attested
  • Recent passport-sized photo
  • Declaration Form

The following documents qualify as KYC documents as per RBI guidelines. The submission of any one of these documents should suffice for satisfying KYC norms.

Identity Proof Address proof

Passport

Passport

Driving Licence

Voter ID

Voter ID Card

Driving Licence

PAN Card

Aadhaar Card

Aadhaar Card

Government Department-issued letter

Government Department issued Photo ID

Letter from the gazetted officer - for salaries individuals alone

Salaried individuals can submit a letter (with photo) from a gazetted officer

 

Non-individual entities should provide proof of the constitution and address. They should also provide details of persons authorised to operate the account by submitting a resolution.

Procedure to Open IndusInd Fixed Deposits

IndusInd Bank allows the opening of FD through online and offline methods.

Online Opening Channels

  • Internet Banking
  • Mobile Banking

Offline Opening Channels

  • Visit a branch of IndusInd Bank to open a savings and FD account
  • The application forms are available online
  • The customer can also submit the application forms online for the bank representative to contact and collect the KYC documents

How do you open IndusInd Fixed Deposit Online?

Internet Banking

  • Log in to your IndusInd internet banking platform and select the deposit option
  • Click on 'Create FD'
  • Fill the form and submit details of your nominee, as well
  • On confirmation, the amount gets transferred from your savings account to your FD
  • You get an advice instantly on your registered email ID

Mobile Banking

  • Access your mobile banking module
  • Click on 'Open FD'
  • Complete the requirements
  • The deposit creation is instant
  • Receive the web receipt

Maturity Value Calculator

IndusInd Bank does not have a maturity value calculator on its webpage. However, other options are available on the internet to calculate the maturity value of your Fixed Deposits.

Premature Withdrawal - IndusInd Fixed Deposits

FCNR (B), NRE and RFC Deposits

  • Deposits withdrawn within one year - No interest is payable
  • Deposits in force for more than a year - The applicable rate is equal to the interest rate for the corresponding tenure less penalty of 1%.
  • Premature withdrawal of FCNR deposits will also entail recovery of SWAP cost

Domestic Deposits

  • Early withdrawal is not permissible on Non-Callable FDs
  • Applicable interest on the prematurely withdrawn deposit will be the corresponding rate for the period of retention less penalty of 1%.

Tax Deduction at Source on Fixed Deposit Interest

  • TDS @ 10% is applicable on all domestic FDs where the interest income exceeds 40,000 (senior citizens - 50,000) in a financial year
  • No TDS on NRE/FCNR interest income
  • TDS rate is 30.90% for interest earned on NRO FDs
  • Customers can submit Form 15G (senior citizens - Form 15H) and request the bank not to deduct tax. Your PAN details should accompany this application.
  • In the absence of PAN information, the bank can deduct TDS @ 20%.

IndusInd Fixed Deposits - Frequently Asked Questions

How does the Holiday Saving Plan work?

IndusInd Bank offers a unique product in collaboration with Thomas Cook. This product enables its customers to save money for their dream vacation.

The process is as follows:

  • Choose your dream holiday package in advance from the range of products on offer by Thomas Cook
  • Schedule the holiday in the future (12 months)
  • Divide the holiday package cost into 12
  • Open an RD account with IndusInd Bank
  • Deposit the determined instalment for 12 months
  • On maturity, the amount is paid to Thomas Cook to fund your package.

What is the benefit of Sweep In/Out facility?

This facility is a combination of savings and Fixed Deposits. Any amount over the minimum balance in your savings or current accounts gets transferred to a Fixed Deposit account. It enables you to earn a better rate of interest. In times of need, there is an automatic sweep-in from your FD account to your savings account to meet your demands. The amounts that remain undrawn continue to earn interest at a higher rate.

What is the unique feature of the Young Saver Account?

The purpose of the formulation of this product is to encourage the younger generation to save money. Minors can open this account through their guardians. The balance in the savings accounts on the last day of every month is transferred to a recurring deposit account, leaving a residual amount of 100. It encourages the saving habit among children, as they enjoy watching their amount grow.

How does the principle of Rupee Cost Averaging work?

Investment in the IndusInd Deposit Plus scheme allows customers to enjoy double benefits. The interest earned on these FDs is further reinvested in mutual funds through SIPs. The returns in such a deposit product are therefore higher than the regular FD. Investment in market-driven securities helps to enhance your profits.

What benefit is available to senior citizens?

Resident Indian senior citizens get the benefit of an additional 0.50% in the interest rate for deposits less than 2 Crores. The minimum amount of deposit necessary to qualify for this concession is 10,000 in the Senior Citizen Saver Deposit Product. Non-resident Indian senior citizens do not get this benefit. Senior citizens also get a bonus of 10,000 in TDS. The TDS threshold limit for senior citizens is 50,000 (interest income on FDs in a financial year).

What are the benefits of the Tax Saver Fixed Deposits?

Investing in Tax Saver Fixed Deposits allows customers to avail rebate under Section 80C of the IT Act. The maximum investment in this product is 1.50 Lakhs in a financial year.

Is interest earned on Tax Saver Fixed Deposits taxable?

Yes, the interest earned on Tax Saver Fixed Deposits is taxable. There is no connection between the tax rebates and TDS.

Will it amount to premature encashment if I break a deposit to invest in another product in IndusInd Bank?

No, it will not amount to a premature payment provided you invest the money for a minimum tenure equal to the current maturity period.

Can I pledge these FDs as collateral for loan facilities availed from IndusInd Bank?

Yes, you can pledge these FDs as collateral. However, the Tax-Saver Fixed Deposits do not qualify as eligible collateral.

Can I close my Fixed Deposits online?

FDs that are opened online can be closed online, as well.  

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