With assured investment returns and good interest rates, opening an Axis Bank Fixed Deposit account offers the account holders better benefits as compared to regular savings accounts. With an Axis Bank Fixed Deposit account,the customers also have the option to avail a loan based on their fixed deposit account.
- Loan Type – Overdraft
- Loan/ overdraft amount –
- Minimum amount: Rs. 25,000
- Maximum amount: No ceiling
- Rate of Interest –
- 2% for loans up to 1 crore
- Minimum 3 month period of deposit
- Premature withdrawal is allowed
- Nomination facility is available
- The loan can be used in times of financial need, without having to liquidate the fixed deposit
- The amount loaned can be up to 85% of the total value of your FD
- Interest is charged on the amount utilized for the tenure only; EMI’s or postdated cheques are not required
- Funds are made available at competitive interest rates
- The loan facility is available for the remaining tenure of the FD, with an option to renew
- There are no pre-payment charges involved
- Axis Bank allows premature withdrawal of any fixed deposits, provided that the account holder doesnot have overdrafts against the deposit.
There are no extra charges other than the interest rate that are applicable, and the interest is charged at the rate of 2% -
- If the amount for the loan is up to Rs. 1 crore, an interest rate of 2% is charged over the term deposit rate.
- If the amount for the loan exceeds Rs. 1 crore, an interest rate of 3% is charged over the term deposit rate.
- In case of third party customers, irrespective of the loan amount, an interest rate of 4% is levied.
The ODFD (Overdraft on Fixed Deposit) facility by Axis Bank can be availed by customers who:
- are citizens of India
- have a valid Axis Bank Fixed Deposit account
- Proof of having an Axis Bank fixed deposit account (fixed deposit receipts)
- The Axis Bank loan application form, duly filled and attested
- Agreement for availing a loan against the Axis Bank fixed deposit account, duly signed
Any fixed/ term deposit receipts that are duly discharged are to be made in favor of the Bank