Understanding AU Small Finance Bank FD Interest Rates
AU Small Finance Bank offers a range of FD schemes with attractive interest rates, catering to diverse investor needs. These rates are subject to change based on the deposit tenure and prevailing market conditions.
AU Small Finance Bank FD Interest Rates 2024:
The interest rates offered by AU Small Finance Bank vary across different deposit tenures. Typically, longer tenures tend to fetch higher interest rates. However, it’s essential to analyze the rates across various durations to align with your investment goals and risk appetite.
- AU Small Finance Bank FD Interest Rates For Domestic & NRE/NRO Retail Fixed Deposits (for amounts less than INR 2 Crore), the applicable interest rates on Fixed Deposits as of April 17, 2024, are as follows:
| Tenure Bucket | Interest Rates | Interest Rates (Annualized) |
|---|---|---|
| 7 Days to 1 Month 15 Days | 3.75% | – |
| 1 Month 16 Days to 3 Months | 4.25% | – |
| 3 Months 1 Day to 6 Months | 4.75% | 4.84% |
| 6 Months 1 Day to 12 Months | 6.50% | 6.66% |
| 12 Months 1 Day to 15 Months | 7.75% | 7.98% |
| 15 Months 1 Day to < 18 Months | 7.50% | 7.71% |
| 18 Months | 8.00% | 8.24% |
| 18 Months 1 Day to 24 Months | 7.75% | 7.98% |
| 24 Months 1 Day to 36 Months | 7.50% | 7.71% |
| 36 Months 1 Day to 45 Months | 7.50% | 7.71% |
| 45 Months 1 Day to < 60 Months | 7.25% | 7.45% |
| 60 Months to 120 Months | 7.25% | 7.45% |
(Note: NRE/NRO refers to Non-Resident External/Ordinary accounts.)
- AU Small Finance Bank FD Interest Rates For Non-callable rates for Retail Fixed Deposits of INR >=1 Crore to < 2 Crore, the applicable interest rates on Fixed Deposits as of January 24, 2024, are as follows:
| Tenure Bucket | ROI | Annualised Rate |
|---|---|---|
| 12 Months 1 Day – 15 Months | 7.85% | 8.08% |
| 15 Months 1 Day – < 18 Months | 7.60% | 7.82% |
| 18 Months | 8.10% | 8.35% |
| 18 Months 1 Day – 24 Months | 7.85% | 8.08% |
| 24 Months 1 Day – 36 Months | 7.60% | 7.82% |
(Note: These rates are not applicable to Non-Resident Indians (NRI))
- AU small finance bank fd interest rates for senior citizens (for amounts less than INR 2 Crore), the applicable interest rates on Fixed Deposits as of April 17, 2024, are as follows:
| Tenure Bucket | Interest Rates | Interest Rates (Annualised) |
|---|---|---|
| 7 Days to 1 Month 15 Days | 4.25% | – |
| 1 Month 16 Days to 3 Months | 4.75% | – |
| 3 Months 1 Day to 6 Months | 5.25% | 5.35% |
| 6 Months 1 Day to 12 Months | 7.00% | 7.19% |
| 12 Months 1 Day to 15 Months | 8.25% | 8.51% |
| 15 Months 1 Day to < 18 Months | 8.00% | 8.24% |
| 18 Months | 8.50% | 8.77% |
| 18 Months 1 Day to 24 Months | 8.25% | 8.51% |
| 24 Months 1 Day to 36 Months | 8.00% | 8.24% |
| 36 Months 1 Day to 45 Months | 8.00% | 8.24% |
| 45 Months 1 Day to < 60 Months | 7.75% | 7.98% |
| 60 Months to 120 Months | 7.75% | 7.98% |
(Note:Only resident Indian Senior Citizen customers, having a banking relationship with AU Small Finance Bank are eligible for the above.)
- For Domestic & NRE/NRO Retail Monthly Payout Fixed Deposits (for amounts less than INR 2 Crore), the applicable interest rates on Fixed Deposits as of April 17, 2024, are as follows:
| Tenure Bucket | Resident / NRE / NRO Interest Rates | Senior Citizen Interest for Monthly Payout (p.a.) |
|---|---|---|
| 7 Days to 1 Month 15 Days | – | – |
| 1 Month 16 Days to 3 Months | – | – |
| 3 Months 1 Day to 6 Months | 4.73% | 5.23% |
| 6 Months 1 Day to 12 Months | 6.47% | 6.96% |
| 12 Months 1 Day to 15 Months | 7.70% | 8.19% |
| 15 Months 1 Day to < 18 Months | 7.45% | 7.95% |
| 18 Months | 7.95% | 8.44% |
| 18 Months 1 Day to 24 Months | 7.70% | 8.19% |
| 24 Months 1 Day to 36 Months | 7.45% | 7.95% |
| 36 Months 1 Day to 45 Months | 7.45% | 7.95% |
| 45 Months 1 Day to < 60 Months | 7.21% | 7.70% |
| 60 Months to 120 Months | 7.21% | 7.70% |
Factors Influencing AU Small Finance Bank FD Interest Rates:
Several factors influence FD interest rates, including market dynamics, economic conditions, and RBI policies. By staying informed about these factors, investors can anticipate potential rate changes and capitalize on favourable investment opportunities.
Types Of AU Small Finance Bank FD Schemes :
Here are the different types of FD schemes offered by AU Small Finance Bank, explained in a simple way:
1. Regular Fixed Deposits:
– Minimum deposit amount: Rs 1,000
– Tenure: 7days to 10years
– Additional 0.50% p.a. interest rate for senior citizens
– Monthly or quarterly payout options available
– Option for interest payout at maturity
– Partial/premature withdrawal allowed
– Nomination and overdraft facility available
– Accounts can be opened through Video Banking, AU 0101 App / NetBanking, or by visiting the nearest branch
2. AU Green Fixed Deposit – Planet First :
– Funds are invested in green initiatives like Solar Projects, Waste Management, etc.
– Tenure: 2 years to 5 years
– Options for receiving interest payments monthly or quarterly
– Option for cumulative interest payout at maturity for compounding
– Overdraft facility available against Green FD
3. AU 5-Year Tax Saving Fixed Deposit:
– Eligible for tax deduction up to Rs 1.5 lakhs under Section 80C
– Interest earned is taxable
– Deposit amount: Min- Rs 1,000; Max- Rs 1.5 lakhs per financial year
– Lock-in period: 5 years
– Additional 0.50% p.a. interest rate for senior citizens
– Premature withdrawal not allowed
– Accounts can be opened through Video Banking, AU 0101 App / NetBanking, or by visiting the nearest branch
Sure, here’s a simplified explanation of two important features related to Fixed Deposits:
4. Fixed Deposit Sweep-In Facility:
– Allows savings and current account holders to earn higher interest rates while keeping their funds liquid.
– Links savings/current accounts to multiple FDs.
– When there’s insufficient balance in the account for a transaction, the deficit amount is covered from the linked FD(s), without breaking them completely.
– The deficit amount is then credited to the account.
5. Premature Withdrawal of Fixed Deposits:
– In case of premature withdrawal of your FD:
– Interest is paid after deducting a penal rate from the applicable rate.
– The applicable rate is either the base rate at the time of opening the FD or the contracted rate, whichever is lower.
– Penal rate for premature closure is usually 1%.
– No interest is paid if the FD is withdrawn within 7 days of opening.
– For NRE deposits, no interest is credited if the withdrawal is made before completing 1 year from the date of opening the account.
Factors Affecting AU Small Finance Bank FD Rates:
- Tenure: Longer tenures typically attract higher interest rates. This is because banks can lock in funds for a longer period, which reduces their own funding costs.
- Deposit Amount: Larger deposit amounts usually come with higher FD rates. This is because banks can offer better interest rates to attract larger deposits and manage their liquidity better.
- Current Economic Conditions: Factors like inflation, interest rates set by the Reserve Bank of India, and market conditions can influence FD rates offered by banks.
- Individual Profile: Your age, occupation, and other factors may play a role in the interest rates offered to you. This is especially relevant for senior citizens or individuals with specific financial needs.
Types of AU Small Finance Bank Fixed Deposits:
- Regular Fixed Deposits: These are the most common type of fixed deposit, offering a fixed interest rate for the entire maturity period.
- Senior Citizen Fixed Deposits: AU Bank offers special FD schemes with higher interest rates for senior citizens. This caters to the needs of individuals above 60 years of age.
- Recurring Deposits: This option allows you to make regular deposits, offering a fixed interest rate at maturity.
Benefits of Investing in AU Small Finance Bank FDs:
- Security: AU Bank is a regulated entity, making your deposit secure and insured under the Deposit Insurance and Credit Guarantee Corporation (DICGC).
- Stability: Fixed deposits offer predictable returns and are a relatively safe investment option compared to market-linked investments.
- Flexibility: Choose from various maturity options to suit your financial goals and time horizon.
- Tax Benefits: Interest earned on FDs is taxable as per your income tax slab, but you can benefit from certain tax deductions under Section 80C of the Income Tax Act.
How to Open an AU Small Finance Bank FD:
- Online: Open an FD account conveniently online through the AU Bank website or mobile app.
- Offline: Visit the nearest AU Bank branch and submit the required documentation to open an FD account.
- Required Documents: Outline the key documents needed for opening an FD, such as KYC documents, address proof, and PAN card.
Conclusion:
AU Small Finance Bank FDs present an attractive investment opportunity for risk-averse investors seeking stable returns. By understanding the nuances of FD interest rates and leveraging market insights, investors can make informed decisions to optimize their investment portfolios.
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