Axis Bank has revised its Fixed Deposit (FD) interest rates as of April 23, 2025, offering up to 7.65% per annum for senior citizens on select tenures. These changes present an opportunity for investors to maximize returns on their savings. Whether you’re a first-time saver or a seasoned investor, understanding these updates can help you make informed financial decisions.
Axis Bank Changes FD Interest Rates
| Feature | Details |
|---|---|
| Effective Date | April 23, 2025 |
| Highest Interest Rate | 7.65% p.a. for senior citizens on 5 to 10-year deposits |
| General Public Rates | Up to 7.05% p.a. depending on tenure and deposit amount |
| Senior Citizen Benefit | Additional 0.50% interest over regular rates |
| Minimum Deposit | ₹5,000 online; ₹10,000 at branch |
| Tenure Options | 7 days to 10 years |
| Premature Withdrawal | Allowed with applicable penalties; not permitted for Fixed Deposit Plus schemes |
| NRE FD Rates | Up to 7.05% p.a. for tenures between 15 months and less than 2 years |
| Official FD Rates Page | Axis Bank FD Interest Rates |
Axis Bank’s latest update on FD interest rates provides an excellent opportunity for both regular investors and senior citizens to lock in attractive returns. With rates as high as 7.65% and tenures as flexible as 7 days to 10 years, these deposits can suit a wide range of financial goals. If you’re looking to grow your savings securely, this could be the right time to act.
Understanding the Revised FD Interest Rates
For Deposits Less Than ₹3 Crore
| Tenure | General Public | Senior Citizens |
|---|---|---|
| 1 year to 1 year 10 days | 6.70% | 7.20% |
| 15 months to less than 2 years | 7.05% | 7.55% |
| 5 years to 10 years | 6.90% | 7.65% |
For Deposits Between ₹3 Crore and Less Than ₹5 Crore
| Tenure | General Public | Senior Citizens |
|---|---|---|
| 1 year to 1 year 10 days | 7.05% | 7.55% |
| 15 months to less than 2 years | 7.05% | 7.55% |
| 5 years to 10 years | 6.80% | 7.55% |
NRE Fixed Deposits
| Tenure | Interest Rate |
|---|---|
| 1 year to 1 year 10 days | 6.70% |
| 15 months to less than 2 years | 7.05% |
Why Consider Axis Bank Fixed Deposits?
1. Competitive Interest Rates
Axis Bank’s revised rates are among the most attractive in the market, especially for senior citizens seeking stable returns.
2. Flexible Tenure Options
With tenures ranging from 7 days to 10 years, investors can choose a period that aligns with their financial goals.
3. Safety and Security
Fixed Deposits are considered low-risk investments, providing assured returns without market volatility.
4. Senior Citizen Benefits
An additional 0.50% interest rate is offered to senior citizens, enhancing their income during retirement.
see also: Invest in This Scheme of Post Office, You Will Get Fixed Interest of ₹5550 Every Month
How to Open an Axis Bank Fixed Deposit
Opening a Fixed Deposit with Axis Bank is straightforward:
1. Online Booking: Visit the Axis Bank FD page and select ‘Open Digital FD’.
2. Branch Visit: Visit the nearest Axis Bank branch with necessary documents.
3. Mobile App: Use the Axis Mobile App for quick and convenient FD booking.
Note: Minimum deposit is ₹5,000 for online bookings and ₹10,000 at branches.
Tax Implications
Interest earned on Fixed Deposits is taxable under the ‘Income from Other Sources’ category.
- TDS Deduction: If the interest exceeds ₹40,000 in a financial year (₹50,000 for senior citizens), Tax Deducted at Source (TDS) is applicable.
- Form 15G/15H: To avoid TDS, eligible individuals can submit Form 15G or 15H, declaring that their income is below the taxable limit.
see also: This 12-Month FD of a Private Bank Is Giving Up to 8.25% Interest
Axis Bank Changes FD Interest Rates FAQs
Q1: What is the highest interest rate offered by Axis Bank on FDs?
A: The highest interest rate is 7.65% per annum for senior citizens on deposits with a tenure of 5 to 10 years and amounts less than ₹3 crore.
Q2: Are there any penalties for premature withdrawal?
A: Yes, premature withdrawal is allowed with applicable penalties. However, it’s not permitted for Fixed Deposit Plus schemes.
Q3: Can Non-Resident Indians (NRIs) invest in Axis Bank FDs?
A: Yes, NRIs can invest in NRE Fixed Deposits with Axis Bank and avail interest rates up to 7.05%.
Q4: Are Axis Bank FD interest rates better than SBI or HDFC?
A: While interest rates fluctuate and vary by tenure and amount, Axis Bank’s revised rates are highly competitive, especially for senior citizens. Always compare the latest rates across banks before investing.
Q5: How often is the interest paid out?
A: You can choose between monthly, quarterly, or cumulative interest payout options when booking an FD.
