IDFC Ltd. is currently one of the leading integrated financial services companies in India. It offers a wide range of customer-centric financing solutions through its subsidiaries and conducts complementary businesses as well. IDFC Bank has established itself as a public limited company in the banking sector of the country. The bank started operations on 1st October 2015 after it received the final banking license from RBI. Currently IDFC operates through three business verticals viz. commercial and wholesale banking, rural banking, and personal and business banking. The majority of the branches are in rural areas and the quality of customer service and digital banking is the primary focus for the bank.
Fixed deposits provide an investor a higher rate of Interest than a regular savings account. It allows the individual to deposit a fixed amount for a fixed period of time, like 1 month, 6 months, 1 year, 5 years, etc. IDFC Bank provides the facility of fixed deposit at competitive rates without any penalty on premature withdrawal. The interest is offered by the bank up to 6 months or on simple interest basis. Depositors get the benefit of quarterly compounded interest on deposited for the tenure above 6 months. The bank offers additional 0.50% on the above rate to senior citizens.
Types of Fixed Deposit
- Short Term Fixed Deposits- The Fixed Deposit tenure is up to 7 days to 180 days. The interest rates earned on this ranges between 4.00% – 6.75%.
- Reinvestment Fixed Deposit Schemes- The Fixed Deposit tenure is above 180 days. The interest rates earned on this ranges between 7.00% -7.50%.
- Quarterly Payout Fixed Deposit Schemes- The Fixed Deposit tenure is above 180 days. The interest rates earned on this ranges between 7.00% – 7.50%.
- Monthly Payout Fixed Deposit Schemes- The Fixed Deposit tenure is above 180 days. The interest rates earned on this ranges between 7.00% – 7.50%.
Advantages of Fixed Deposits
- Fixed deposits are useful during emergencies. About 90% of the deposit can be availed as loan.
- IDFC Bank has flexible fixed deposit tenures.
- IDFC bank depositors do not have to bear any penalty in case of early closure of Fixed Deposit account.
- Complimentary Savings account is offered on opening a Fixed Deposit account.
- Depositors get high returns on the amount deposited.
IDFC Bank Other Products and Services
- Accounts-IDFC Bank offers 9 types of accounts for the welfare of citizens of India. These are zero balance savings account, corporate salary account, minor savings account, senior citizen’s savings account, pratham savings account, shakti savings account, param savings account, and vishesh savings account.
- Recurring Deposit-IDFC Bank’s recurring deposit can start from Rs. 2,000 per month. This account offers decent interest rates as well. Moreover, the bank does not charge any penalty if you miss a single monthly payment. The minimum tenure when opening an RD account is 6 months.
- Personal Loans-The IDFC Bank offers personal loans at reasonable interest rates. The bank also offers the facility to repay your personal loan on your own terms. You can choose tenure between 3 months to 60 months. You can also choose your EMI and alter it if needed.
- Home Loans –IDFC Bank offers 4 types of home loans. These are Simple Home Loan, Sweet Home Loan, Booster Home Loan, and Max Saver Home Loan. Each of these loan schemes is designed to fulfil the needs of different customer categories.
- Loan against Property – IDFC Bank offers you the facility of leveraging loans against property. The processing time and requirements for this type of loan is simple and it is disbursed quickly as well. However, it is essential that you meet the eligibility criteria and get up-front commitment on documentation. You can utilize the loan amount for any major financial need including buying your dream car or your children’s education. A planned loan against property can help you fulfill most ambitions. IDFC Bank offers loans against property with numerous benefits such as faster turnaround time, opportunity to save on interest, minimum documentation with hassle-free and simple application process.
- Investments-The bank offers a variety of investment options as well. These investment options are offered in the categories of mutual funds, gold bonds, and investment linked insurance.
- Insurance-There are 7 types of insurance policies offered by IDFC Bank – term insurance, health insurance, motor insurance, home insurance, investment linked insurance, travel insurance and Pradhan Mantri insurance plans.