Founded on 23rd April 1931, Federal Bank is currently in its 92nd year of serving excellence to its customers. This bank was started by the late Kulangara Paulo Hormis, a visionary banker who brought social banking into national focus. At present, the bank has 1372 branches and 1885 ATMs in total. It is headquartered in Kochi, Kerala.
Over the years, this bank has accomplished a number of notable milestones like introducing a lifetime free credit card offer for its customers, providing add-ons on cards, etc. It is involved in various CSR activities as well. Federal Bank offers a wide range of fixed deposit schemes designed for different customer requirements. Here is a detailed guide on the features of these schemes as well as the latest Federal Bank FD rates.
| Minimum Deposit | ₹1000 |
| Maximum Deposit | No limit specified |
| Minimum Tenure | 7 days |
| Maximum Tenure | 10 years |
| Interest Rates | 3.00% to 7.75% p.a. (including rates applicable for senior citizens) |
| Lock-in Period | 5-year lock-in period for Federal Bank Tax Saving Scheme |
| Senior Citizens | 3.50% to 8.07% p.a. (for deposits below ₹2 crores)(No special rates for deposits above ₹2 crores) |
| General Citizens | 3.00% to 7.30% p.a. (for deposits below ₹2 crores) 4.90% to 7.55% p.a. (for deposits of ₹2 crores and above) 6.75% to 7.65% p.a. (for non-callable deposits of ₹2 crores and above) |
Federal Bank FD Interest Rates – February 2024
| Tenure | General Citizen | Senior Citizen |
|---|
Features and Benefits of Federal Bank Fixed Deposits
Federal Bank offers a large number of fixed deposit schemes for people with different types of financial requirements. Here are the features and benefits of the Federal Bank FDs:
- The loan against FD facility is available through which a loan of up to 90% of the amount deposited can be availed.
- Senior citizens receive an additional 0.5% per annum FD rate from Federal Bank on the principal amount on a single deposit of less than ₹2 crores.
- These fixed deposits come with an automatic renewal facility.
- A nomination facility is available.
- If you opt for the service on the day of maturity, the principal amount, along with interest, will be credited to your Federal Bank savings account automatically.
- You can withdraw the interest that you earn on a specific frequency, like monthly, quarterly or annually, according to your convenience.
How to Book Federal Bank FD?
Federal Bank offers the option of opening FD accounts online and offline. Therefore, if you are not comfortable with digital banking, you can visit your nearest branch of Federal Bank to open an FD. Let us take a look at the different methods of investing in Federal Bank fixed deposits:
Online
You can open a Federal Bank FD account online in two different ways. These are:
1. FEDNet – Internet Banking Account
Following is a step-by-step guide to open a fixed deposit with your Federal Bank Internet Banking account:
- Step 1: First, go to the official Federal Bank website.
- Step 2: Click on ‘Net banking’.
- Step 3: On the next page, you need to provide your user ID, verification code and password.
- Step 4: Once you have provided all these details, click on the option to sign in.
- Step 5: Another page will open; here, you must choose to open an FD account under the Deposit section. Furthermore, you have to specify the tenure as well as the principal amount for opening an FD.
2. FedMobile Banking Application
Check out the steps below to follow to open an FD account using the FedMobile Banking App:
- Step 1: Download the FedMobile app on your phone and register with your mobile number and mPIN.
- Step 2: Click on the ‘Investments’ option on the bottom part of the app’s home page.
- Step 3: Navigate to ‘Bank Deposits’. Then, choose ‘Fixed Deposit’ and click on ‘Proceed’.
- Step 4: Select the ‘Interest Rates’ option to check the prevailing interest rate for Federal Bank FDs applicable for different maturity periods.
- Step 5: Mention the amount to invest, the maturity period, and the scheme you are interested in.
- Step 6: Select the account and enter your mPIN in order to complete the entire process of booking a fixed deposit.
Offline
If you are not comfortable with the online method, you can opt to open an FD account offline to benefit from the current Federal Bank fixed deposit rates. Following are the steps as to how you can open a Federal Bank FD via the offline mode:
- Step 1: Visit the nearest branch of Federal Bank.
- Step 2: Ask for the application form for opening an FD from any bank official.
- Step 3: Fill up the form by providing all the necessary details.
- Step 3: After you complete the form, submit it to the designated counter along with all the requisite documents as well as the deposit amount. You can deposit cash or attach a cheque for the required amount.
- Step 4: Once your application is processed successfully, you will receive an FD receipt from the bank. This is proof that your FD account has been opened successfully.
You can use the Federal Bank branch locator in case you are facing issues finding the nearest Federal Bank branch.
Documents Required to Book a Federal Bank FD
Following is a list of all the documents that you will need in order to open an FD account with Federal Bank:
- Federal Bank FD account opening form
- PAN Card
- Proof of Age – PAN card, birth certificate, matriculation certificate, discharge certificate, as well as any other documents valid as per the KYC norms
- Proof of Identity – Aadhaar card, PAN card, driving licence, passport or any other documents which are valid as per the KYC norms
- Proof of Address – Aadhaar card, electricity bill, telephone bill and other documents required by the bank
- Photograph of the depositor
- Bank account details – account number, IFSC code, and branch name.
Eligibility to Open a Federal Bank FD
Here is a list of entities eligible to open a fixed deposit account with Federal Bank:
- Applicant type: Individuals (Indian residents as well as Non-resident Indians), Individuals along with joint account holders, Hindu Undivided Family (HUF), Partnership firms, Associations/clubs, Sole proprietary concerns, and Joint stock companies.
- Age (in case of individual applicants): Has to be 18 years or more.
Types of Federal Bank FD Schemes
Federal Bank offers its customers a wide range of fixed deposit schemes. There are schemes catering to both Indian as well as Non-resident Indians. Here is a list of Federal Bank FD interest rates in 2024 for different types of schemes:
1. Federal Bank Resident Term Deposit
This is the most basic fixed deposit scheme offered by the Federal Bank for the general public and senior citizens. By opting for this scheme, you can withdraw interest either monthly, quarterly or annually. In addition, you will get facilities like auto-renewal, auto credit of principal and interest and many others.
- Minimum Deposit: ₹1000
- Maximum Deposit: No maximum amount
- Tenure: 7 days to 10 years
- Interest Rate: 3.00% to 7.30% p.a. for regular investors and 3.50% to 8.07% p.a. for senior citizens (for deposits below ₹2 crores)
- Eligibility: Indian residents
2. Federal Bank Cash Certificate
This is a growth-oriented scheme that offers high returns. For this fixed deposit, you will receive interest every quarter and cannot withdraw interest before maturity. A nomination facility is available under this scheme.
- Minimum Deposit: ₹1000
- Maximum Deposit: No maximum amount specified
- Tenure: 6 months to 10 years
- Interest Rate: 3.05% to 6.00% p.a.
- Eligibility: Indian residents
3. Federal Bank Tax Saving Deposit
If you have been looking for a scheme to save taxes, the Federal Bank Tax Saving Deposit is for you. Not only just individuals, but this deposit is available for joint owners as well. However, the tax benefits, according to Section 80C, will only apply to the first owner for joint accounts. A PAN card is a must if you wish to enrol on this scheme.
- Minimum Deposit: ₹100 (and any additional amount in multiples of 100)
- Maximum Deposit: ₹1,50,000 per financial year
- Tenure: 5 years
- Interest Rate: 6.60% p.a.
- Eligibility: Indian residents
4. Federal Bank Deposit Plus (Non-callable Deposit)
This fixed deposit scheme offers higher interest rates than normal deposits. For this scheme, additional interest rates are available for senior citizens. Pre-closure of this scheme is, however, not permitted.
- Minimum Deposit: ₹15,00,001
- Maximum Deposit: No maximum amount
- Tenure: Minimum tenure of 12 months
- Interest Rate: 6.85% to 7.55% p.a. for regular depositors, 7.35% to 8.07% p.a. for senior citizens (for deposits below ₹2 crores)
- Eligibility: Indian residents
5. Federal Bank NRE Fixed Deposit
A Non-Resident External (NRE) account from Federal Bank is a great way to park all that you have earned abroad in Indian currency. The conversion rates available are also quite competitive. Interest that you earn on your deposit is not taxable as per the Indian Income Tax Act as long as you are a resident of any other country.
- Minimum Deposit: ₹500
- Maximum Deposit: No maximum specified amount
- Tenure: 1 year to 10 years
- Interest Rate: 6.60% to 7.30% p.a.
- Eligibility: Non-Resident Indians
6. Federal Bank NRE Deposit Plus
The Federal Bank NRE deposit plus scheme offers higher interest in comparison to normal NRE fixed deposits. Even a cash certificate option is available under this scheme. However, as this is a non-callable fixed deposit, premature withdrawal is not permitted.
- Minimum Deposit: ₹15,00,001
- Maximum Deposit: No maximum amount
- Tenure: 1 year to 5 years
- Interest Rate: 6.85% to 7.55% p.a. for deposits of below ₹2 crores
- Eligibility: Non-Resident Indians
7. Federal Bank NRO Fixed Deposit
The Federal Bank Non-Resident Ordinary fixed deposit is one of the best options if you have income sources in India while residing in any other country. This income source can be anything from rent, interest, pension or anything else. The best part of this scheme? You can repatriate your income at any time to any country where you currently reside.
- Minimum Deposit: ₹1000
- Maximum Deposit: No maximum amount specified
- Tenure: 7 days to 10 years
- Interest Rate: 3.00% to 7.30% p.a. for the general public and 3.50% to 8.07% p.a. for senior citizens (for deposits below ₹2 crores)
- Eligibility: Non-Resident Indians
8. Federal Bank FCNR (B) Deposits
You will look for the Foreign Currency Non-Resident Account deposit scheme if you wish to hold on to what you have earned abroad in a foreign currency. This type of account offers financial protection from fluctuations in exchange rates. While another added, advantage is that your fund will be 100% tax-free in India.
- Minimum Deposit: No specified amount
- Maximum deposit: No maximum amount specified
- Tenure: 1 year to 5 years
- Interest Rate: 3.40% to 5.90% p.a. (for USD)
- Eligibility: Non-Resident Indians
9. Federal Bank RFC Deposits
The Federal Bank Resident Foreign Currency account is the best option for NRIs wishing to return to India. This account helps them bring their foreign earnings to our country as well as maintain them in the same. You can also opt for the nomination facility under this scheme.
- Minimum Deposit: 1000 units for respective currency (100,000 for JPY)
- Maximum Deposit: No maximum amount specified
- Tenure: 6 months to 3 years
- Interest Rate: 4.00% to 5.50 p.a. (for USD)
- Eligibility: Non-Resident Indians
Final Word
Before investing your hard-earned money in any type of scheme, it is best to learn about its features in detail. The same thing applies when it comes to fixed deposits. You should compare the Federal Bank FD rates with other banks before making an investment choice. Read through all the terms and conditions before depositing your money to avoid any unwelcome surprises.
You must remember the penalty before making an early withdrawal or closing your fixed deposit scheme. Go through all the features and benefits of a particular scheme and then decide whether it will fulfil your requirements.
