Today, saving money can be a challenge. With expenses constantly on the rise, putting aside funds for investments like Fixed Deposits can often take a backseat. But what if there was a convenient way to automate your savings and enjoy the benefits of a Fixed Deposit without the hassle of manual transactions? Enter Axis Bank Auto Fixed Deposit.
Axis Bank Auto Fixed Deposit
Axis Bank understands that saving money to invest in a Fixed Deposit might not always be easy. To make this process seamless, they offer the innovative Auto Fixed Deposit. This unique offering links your existing Savings Account to a Fixed Deposit, enabling automatic transfers of multiples of Rs. 5,000 to a Fixed Deposit when your Savings Account balance crosses Rs. 25,000.
Features of Axis Bank Auto Fixed Deposit
- Automatic Deposits: The Auto Fixed Deposit feature ensures that you don’t have to manually transfer funds to your Fixed Deposit account. Whenever your Savings Account balance exceeds Rs. 25,000, the excess amount is automatically transferred in multiples of Rs. 5,000 to your Fixed Deposit.
- Short Minimum Tenure: Axis Bank offers the flexibility of choosing a short-term benefit with a minimum Fixed Deposit tenure of just 6 months. This means you can start enjoying the benefits of your investment in a relatively short period.
- Easy Fund Liquidation: Need access to your Fixed Deposit funds in a hurry? With Axis Bank’s Auto Fixed Deposit, you can easily liquidate your Fixed Deposit through methods like cheque or ATM withdrawals whenever required.
- Auto Renewal of Deposits: You won’t have to worry about renewing your Fixed Deposit manually. Axis Bank Auto Fixed Deposit offers the convenience of automatic renewal for a maximum tenure of 5 years, starting from a minimum of 6 months.
Benefits of Axis Bank Auto Fixed Deposit
- Enhanced Earnings: By linking your Savings Account to a Fixed Deposit, you can make your money work harder for you. Automatic transfers of surplus funds into the Fixed Deposit ensure that you maximize your earnings.
- Short Minimum Tenure: The option of a 6-month tenure allows you to access your funds sooner if needed. This flexibility is ideal for individuals who may require liquidity in the near future.
- Avoid Premature Encashment Penalties: Axis Bank offers a significant benefit by waiving premature encashment penalties for Rupee Term Deposits of a contracted amount less than Rs 5 Crores. This ensures you don’t incur hefty charges if you need to withdraw your funds early.
- Maximum Liquidity: Accessing your Fixed Deposit funds is incredibly easy. Whether you need to withdraw via cheque or ATM, Axis Bank provides maximum liquidity, making your money readily available.
- Auto Renewal Convenience: With Auto Renewal, your Fixed Deposit will continue to grow seamlessly, providing you with a steady stream of income without any manual intervention.
- Tax Deducted at Source (TDS): Axis Bank ensures compliance with income tax regulations. TDS is deducted on the basis of the total interest projected on the aggregate of fixed deposits of the customer for the financial year. Senior citizens enjoy a higher threshold of INR 50,000 for TDS deductions.
- Reinvestment Term Deposits: For Reinvestment Term Deposits, interest reinvested is net of TDS, ensuring transparency and compliance with tax regulations.
Eligibility & Documentation for Axis Bank Auto Fixed Deposit
To enjoy the benefits of Axis Bank Auto FD, you need to meet certain eligibility criteria. You must be an existing Savings Account holder with a valid PAN card. Submitting your PAN details during the application process is mandatory to avail of this facility.
Additionally, you will need to fill out the Auto Fixed Deposit Declaration Form, which can be conveniently downloaded from the Axis Bank website or by clicking on below buton. Once you have all the required documents, simply submit them at your nearest Axis Bank branch to start benefiting from this hassle-free investment option.
Axis Bank Auto Fixed Deposit Form
FAQ
No, to avail of the Auto Fixed Deposit facility, you must be an existing Savings Account holder with Axis Bank.
Axis Bank waives premature encashment penalties for Rupee Term Deposits of a contracted amount less than Rs 5 Crores, providing flexibility to withdraw your funds when needed.
TDS on Fixed Deposit interest is calculated based on the total interest projected on the aggregate of fixed deposits for the financial year, with different thresholds for regular and senior citizens.
Yes, you can reinvest the interest earned on a Reinvestment Term Deposit. The interest reinvested will be net of TDS.
To apply for an Auto Fixed Deposit, you need to have a valid PAN card and submit the completed Auto Fixed Deposit Declaration Form, which can be downloaded from the Axis Bank website. These documents must be submitted at your nearest Axis Bank branch.
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