Axis Bank FD Interest Rates Increased: Up to 7.85% on Fixed Deposits, Explore New Rates Here

Axis Bank has revised the interest rates on its fixed deposits (FDs). Now, regular citizens can earn interest ranging from 3% to 7.20% on their FDs with Axis Bank, while senior citizens can avail interest rates between 3.50% and 7.85%. 

This adjustment applies to FDs starting from amounts as low as 3 crore rupees. Axis Bank aims to attract depositors by offering competitive interest rates that cater to both general and senior citizen investors’ financial goals.

HDFC Bank Increases Interest Rates on Fixed Deposits

HDFC Bank has also made changes to its interest rates recently. Previously, HDFC Bank had raised the interest rates on fixed deposits (FDs), and now, regular citizens can earn interest ranging from 3% to 7.25% on their FDs with HDFC Bank

Senior citizens, on the other hand, can avail interest rates between 3.50% and 7.75%. This adjustment applies to FDs starting from amounts as low as 2 crore rupees, making HDFC Bank a competitive choice for depositors looking to maximize their savings through fixed deposits.

Key Considerations When Investing in FDs

When opting for a Fixed Deposit (FD), it’s crucial to consider certain aspects:

Importance of Choosing the Right Tenure

Before locking in your funds into an FD, it’s essential to carefully consider its tenure. This is because premature withdrawals may incur penalties. If an FD matures before it becomes fully matured, a penalty of up to 1% may be charged. This can decrease the total interest on your deposit.

Avoid Putting All Your Money in One FD

If you’re contemplating investing 10 lakh rupees in any one bank’s FD, consider diversifying instead. Distribute your investment across multiple FDs, such as 8 FDs of 1 lakh rupees each and 4 FDs of 50 thousand rupees each, across different banks. This way, you can manage your liquidity needs by breaking FDs according to your requirements, while the rest of your FD remains secure.

Tax Benefits on 5-Year FDs

A 5-year FD qualifies as a Tax Savings FD. By investing in one, you can claim a deduction of up to Rs. 1.5 lakh under Section 80C of the Income Tax Act. Put simply, you can reduce your total taxable income by up to Rs. 1.5 lakh through Section 80C.

Akash Shrivastav

My name is Akash Shrivastav, and I am a Blogger. I have 8 years of experience in blogging for Finance, Business, Investment, Stock Market, Cryptocurreny and more. Through my writing, I aim to provide readers with insightful and informative content.