Opening a Fixed Deposit (FD) Account is a great way to lock in your savings while earning steady interest. Whether you prefer visiting a bank or using online banking services, the process is straightforward and convenient. Understanding how to open an FD Account is simple, once you are familiar with the basic steps.
Steps to open an FD Account
1. Research and compare
Before choosing a Fixed Deposit, compare interest rates offered by various banks or financial institutions. Select the one that best suits your financial goals and tenure preferences.
2. Choose the type of Fixed Deposit
Banks offer different FD types, including cumulative, non-cumulative and tax-saving options. Select one that aligns with your needs.
3. Visit the bank or financial institution
If you prefer a traditional approach, visit your nearest bank branch with the required documents, like ID and address proof.
4. Fill out the application form
The bank will provide an FD application form. Fill in details such as your deposit amount, tenure and nominee (if applicable).
5. Deposit the amount
Once the form is filled, deposit the desired amount via cheque, cash or transfer from your Savings Account.
6. Choose the tenure
FD tenures can range from as short as 7 days to as long as 10 years. Choose the duration that fits your investment plan.
7. Terms and conditions
Review the terms, including details on interest payout options and penalties for premature withdrawal.
8. Receive the Fixed Deposit certificate
After completing the process, you will receive an FD certificate with details like amount, interest rate and maturity date.
9. Track and manage your Fixed Deposit
Track your FD using your bank’s mobile app or online banking service to stay updated on its status.
How to open a Fixed Deposit Account by visiting a bank
- Visit the branch with the required documents, such as ID proof and passport-sized photographs.
- Request an FD opening form from the bank.
- Fill it out and deposit the funds via cash, cheque or bank transfer.
- Submit the form and collect your FD certificate.
How to open a Fixed Deposit Account online through net banking
- Log in to your bank's net banking portal.
- Select the 'Fixed Deposits' option.
- Enter details like deposit amount, tenure and interest payout preference.
- Confirm the transaction and the funds will be debited from your Savings Account.
How to open a Fixed Deposit Account through an app
- Log in to the app.
- Select "Open a Fixed Deposit."
- Choose your deposit amount, tenure and payout options.
- Confirm the details and funds will be deducted from your Account.
Conclusion
A Fixed Deposit is a secure way to grow your savings, with the option to do so by visiting a bank, using net banking or through a mobile app. For a better experience, choose a bank offering flexible tenures and competitive interest rates.
Axis Bank offers Fixed Deposits starting at ₹5,000, with tenures ranging from 7 days to 10 years. Their seamless online process, flexible options and automatic roll-over make it easy to manage your investment efficiently.
Disclaimer: This article is for information purpose only. The views expressed in this article are personal and do not necessarily constitute the views of Axis Bank Ltd. and its employees. Axis Bank Ltd. and/or the author shall not be responsible for any direct / indirect loss or liability incurred by the reader for taking any financial decisions based on the contents and information. Please consult your financial advisor before making any financial decision.
