Bajaj Finance is a subsidiary of Bajaj Finserv and is a part of Bajaj Holdings and Investments Ltd. S&P Global ratings labelled the non-banking financial company with ‘BBB’ rating in terms of stable outlook, and ‘A-3’ under short-term issuer of credits.
Bajaj Finance Ltd. reportedly has approximately 300 consumer branches in metropolitan cities and 500 in rural areas of India. As of 2017, annual income was reported to be around Rs. 10,000 cores.
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Bajaj Finance Fixed Deposit Interest Rates
|Tenure (months)||Standard FD rates (%)||Senior citizen FD rates (%)|
The minimum amount which has to be deposited to open a Bajaj Finance fixed deposit account is Rs. 25,000. NRIs applying for an NRO FD account is eligible to receive is similar interest rates on total investments.
Types of Fixed Deposit Bajaj Finserv
- Standard FD account – Such accounts can be opened by resident individuals above the age of 18. Minors can also benefit from such scheme provided an adult is co-applicant in a Bajaj Finance FD.
- Senior Citizen FD – Individuals above the age of 60 years can open an FD account with this NBFC, to earn higher returns by 0.15%.
- NRO FD – NRIs operating a non-resident ordinary account to park their domestic account can do so by investing in an NRO FD scheme.
- SDP – Systematic Deposit Plans facilitate monthly investments of up to Rs. 5,000 at prevailing interest rates.
- Tax Saver FD – Fixed deposits having a lock-in period of five years are eligible for a tax rebate up to Rs. 1.5 Lakh, as per Section 80C.
Benefits of Bajaj Finserv FD
- High interest rates – Bajaj Finance fixed deposit comes with attractive interest rates, ranging from 7.60 – 8.10%, ensuring substantial gains from such returns.
- Flexible investment tenure – You can choose investment tenure of your choice ranging from 1 year to 5 years, depending upon your liquidity requirements and investment goals.
- Security of corpus – Bajaj Finance Ltd. has also been awarded FAAA rating and MAAA rating from ICRA, along with excellent reviews from S&P.
- Ease of application – You can apply for Bajaj Finance FD online, and pay the deposit amount using debit cards easily. If you wish to opt for the offline application process, you can visit the nearest branch to get assistance in this process.
- Multi-deposit – Investments in multiple Bajaj Finance fixed deposit schemes can be made through a single cheque payment.
- Auto-renewal – Reinvestment of the total amount upon maturity of a scheme is facilitated directly in a similar investment plan with the same tenure through such fixed deposit plans.
Any resident individuals, as well as NRIs, can avail a standard or non-resident ordinary fixed deposit scheme through Bajaj Finserv FD. HUFs, partnership firms, public and private limited companies, registered societies, statutory society, etc. are eligible to operate a fixed deposit account with Bajaj Finance.
Documents Required for Bajaj Finserv Fixed Deposit
For individuals –
- KYC documents for identification and address verification.
- PAN details.
- Passport-sized photographs.
For HUFs –
- KYC documents.
- Single PAN for a stipulated Hindu Undivided Family.
- Deed of declaration.
- Bank account statement.
For partnership firms –
- Certificate of registration.
- ID proof of partners.
For joint-stock companies –
- Certificate of incorporation.
- Memorandum of association.
- Article of association.
- Board authorisation.
Registered societies and statutory boards can submit their PAN information and cumulative agreement for such fixed deposit investment to open a Bajaj Finance FD account.
Premature Withdrawal Policy
Bajaj Finserv fixed deposit comes with a mandatory lock-in period of three months, during which no premature withdrawals can be made. Upon completion of the lock-in period, investors can withdraw the invested amount before the completion of the entire tenure at no additional charges. Interest is only payable during the term of investment in such cases.
Special Forms Required
If your annual income through interest pay-outs is below Rs. 40,000, you are eligible for waivers on tax deducted at source, which can be claimed by declaring the same through form 15G. The limit rises to Rs. 50,000 in case of senior citizens, who can avoid TDS deductions by submitting form 15H.
Loan against Bajaj Finance FD
Individuals can avail a loan against Bajaj Finserv FD valued up to 60% (non-cumulative FD) and 75% of the total deposit amount (for cumulative FD) to meet any emergency expenses.
- Is Bajaj Finserv FD safe?
Yes, Bajaj Finance Ltd. has been tagged as a credible financial institution by multiple global credit rating agencies.
- How much interest is offered by Bajaj Finance on its FD schemes?
Fixed deposit schemes can accrue interest as high as 8.20% on total investments, depending on the amount and tenure.
- What is the penalty charges levied on premature withdrawal?
No penalty charges are levied on premature withdrawal of fixed deposit Bajaj Finserv, post completion of 3 months since account activation.
- Do stock market fluctuations affect FD interest rates?
No, the stock market has no connection to a fixed deposit, and hence, interest earned on FD schemes is assured.
- What is Form 15G/H?
It is a declaration form stating that an applicant does not fall under the taxable income bracket, and hence, does not qualify for TDS applicability on fixed deposits.
- What is the TDS applicable on FD interest earnings?
TDS at 10% is deducted on interest earned on fixed deposit. If an individual fails to provide his/her PAN information, TDS at 20% is levied on total earnings.
- Is PAN mandatory for opening an FD account?
Yes, PAN details have to be provided to open a fixed deposit account in India as per government regulations.
- Can you apply for fixed deposit online?
Yes, you can open a fixed deposit account online by visiting the website portal of Bajaj Finserv, or downloading their official app.
- How to calculate interest amount on fixed deposit?
You can determine total interest earned through a fixed deposit plan by using a fixed deposit calculator.
- Am I eligible for tax waivers under FD schemes?
If you opt for a tax saver FD having a mandatory holding period five years, tax rebate on total income spent on investment can be claimed for deposits of up to Rs. 1.5 lakh.