Bajaj Finance Fixed Deposit Rates – What You Need to Know
Fixed deposits (FDs) are a widely used savings tool in India. They are offered by banks and NBFCs (Non-Banking Financial Companies) and allow individuals to invest a lump sum of money for a fixed period (tenure) to earn interest. Among NBFCs, Bajaj Finance is known for providing attractive interest rates on FDs. Understand the key details about Bajaj Finance fixed deposit rates and how they work as a savings tool.
What is a Fixed Deposit
An FD is a type of savings instrument that allows you to invest a certain amount of money for a fixed tenure at a specified interest rate. During this period, your investment earns interest, which is credited either at regular intervals or at the end of the investment period. One of the key benefits of an FD is that it provides predictable returns, as the interest rate is fixed at the time of investment and does not fluctuate with market conditions. While FDs are considered low-risk investments, it is important to understand the details before making a commitment.
Bajaj Finance Fixed Deposit Rates
Bajaj Finance offers competitive interest rates on its fixed deposit schemes, making it an attractive option for those looking to grow their savings over time. The interest rates on Bajaj Finance FDs depend on several factors, including the investment amount, the chosen tenure, and the age of the investor.
Below are the regular interest rates offered by Bajaj Finance for both regular and senior citizens:
| Tenure (Months) |
Regular Citizen (% p.a.) |
Senior Citizen (% p.a.) |
| 12 to 14 Months | 7.40% | 7.65% |
| 15 to 23 Months | 7.50% | 7.75% |
| 24 to 35 Months | 7.80% | 8.20% |
| 36 to 60 Months | 8.10% | 8.35% |
Here are the special interest rates offered by Bajaj Finance for both regular and senior citizens:
| Tenure (Months) |
Regular Citizen (% p.a.) |
Senior Citizen (% p.a.) |
| 18 Months | 7.80% | 8.05% |
| 22 Months | 7.90% | 8.15% |
| 33 Months | 8.10% | 8.35% |
| 44 Months | 8.25% | 8.50% |
For senior citizens, the interest rates are slightly higher—typically by 0.40% p.a. This additional rate is an incentive for older investors who may rely more on fixed-income investments.
Key Factors to Consider
Before you invest in a Bajaj Finance FD, here are some important factors to keep in mind:
Tenure Flexibility
The tenure for Bajaj Finance FDs ranges from 12 months to 60 months. The interest rate generally increases with the length of the tenure. Therefore, a longer investment could result in a higher return, provided you don’t need immediate liquidity.
Senior Citizen Benefits
Senior citizens can benefit from an extra 0.40% p.a. on the prevailing interest rates, making it a more favourable option for retirees looking for a stable income.
Minimum Investment Amount
You can start a Bajaj Finance FD with a minimum investment of ₹15,000, making it accessible for most individuals who wish to grow their savings over time. There is no maximum limit on the investment.
Premature Withdrawal Option
Although FDs are meant for long-term savings, Bajaj Finance allows for premature withdrawal, subject to terms and conditions. However, a penalty may be applicable in case of early withdrawal. Therefore, it is advisable to choose a tenure that aligns with your financial needs.
Cumulative vs Non-cumulative Options
Bajaj Finance offers both cumulative and non-cumulative FDs. In a cumulative FD, interest is compounded and paid at the end of the tenure. In a non-cumulative FD, you can opt for regular interest payouts—monthly, quarterly, half-yearly, or annually.
Bajaj Finance Fixed Deposit Calculator
One of the most useful tools provided by Bajaj Finance is the FD calculator. This online tool allows you to estimate the maturity amount based on the investment amount, chosen tenure, and applicable interest rate. By using the calculator, you can make informed decisions about your investment and understand how much you could earn by the end of the tenure.
How to Use the FD Calculator:
- This is the amount you wish to invest.
- Choose the duration for which you plan to invest your money, between 12 and 60 months.
- Decide whether you want the interest to be paid at regular intervals (non-cumulative) or at maturity (cumulative).
- The calculator will show you the maturity amount based on the entered details. It will also display the interest earned over the selected period.
Example of FD Calculation:
Let’s say you invest ₹5 Lakhs for 36 months at an interest rate of 7.75% p.a. With a cumulative FD, the maturity amount could be around ₹6.28 Lakhs. If you opt for a non-cumulative FD with monthly interest payouts, you will receive smaller interest payments each month, but the principal amount remains the same.
Taxation on Bajaj Finance FDs
It’s important to remember that the interest earned on Bajaj Finance FDs is subject to taxation under the Income Tax Act, 1961. If the total interest earned from all your FDs exceeds ₹40,000 in a financial year (₹50,000 for senior citizens), Bajaj Finance will deduct Tax Deducted at Source (TDS). To avoid TDS deductions, individuals in the lower tax brackets may submit Form 15G (or 15H for senior citizens), provided they meet the required conditions.
Conclusion
Bajaj Finance FDs offer a range of benefits, including attractive interest rates, flexible tenures, and high stability ratings. For those looking for a low-risk investment option, Bajaj Finance fixed deposits could be a suitable choice. The use of the FD calculator allows investors to plan their savings effectively, while the online application process makes it convenient to start investing.
When investing in FDs, it’s important to consider the tenure, interest payout options, and the tax implications. With careful planning, Bajaj Finance FDs could help you grow your savings with ease.
