Automatic Deposits
Short minimum Tenure
Easy fund liquidation
Auto renewal Desposit

Flexi Fixed Deposits (FFDs)

We understand that saving up, to invest in a Fixed Deposit may result in you spending the money instead. All Bank’s Auto Fixed Deposit links the existing Savings Account to the Fixed Deposit. This facilitates automatic transfer of money in multiples of ₹5,000 to a Fixed Deposit when the balance in the Savings Account crosses ₹25,000. With Auto Fixed Deposit, you can open a Fixed Deposit for a maximum tenure of 5 years or avail short term benefit with a minimum tenure of 6 months.

Features & Benefits Calculator Interest Rates Eligibility & Documentation How to Apply Types of FD FAQs Features & Benefits

Features & Benefits of Fixed Deposit

Attractive Interest Rates 📈

Grow your money with attractive **Fixed Deposit** interest rates, which are typically higher than a standard savings account.

Deposit Amount 💰

You can start a Fixed Deposit with a minimum deposit amount as low as **Rs. 5000/-**.

Maturity Period ⏳

Avail Fixed Deposit with tenure options ranging from a minimum of **7 days** up to **10 years**, suitable for various financial goals.

Flexible Interest Withdrawal 🗓️

You can choose to receive the interest monthly, quarterly, or keep it invested till maturity (cumulative option).

Flexi Fixed Deposit

What Is a Flexi FD & How Is It Different?

A Flexi Fixed Deposit is a financial product that combines the liquidity of a savings account with the higher returns of a fixed deposit. It operates by linking your savings account to a fixed deposit. When your savings exceed a defined threshold, the surplus is automatically transferred into a fixed deposit. This ensures better utilisation of idle funds while still allowing you to maintain liquidity for short-term transactions. What sets Flexi FDs apart is their accessibility. Unlike traditional FDs, which often require premature withdrawal of the entire deposit in emergencies, Flexi FDs permit partial withdrawals without breaking the entire FD. This structure protects your remaining balance and helps retain interest earnings on the untouched portion.

Aspect Description
Flexi FD Purpose Surplus funds beyond a minimum threshold are auto-transferred from savings into FD to earn higher interest.
Difference From Traditional FD In traditional FDs, you must break the entire deposit for withdrawals. Flexi FDs allow partial withdrawals while keeping remaining balance intact.
Liquidity Advantage Money can return automatically to the savings account when required.

Key Features & Benefits

Feature Details
Higher Returns vs Savings Interest rates are typically higher than savings accounts, improving growth of idle funds.
Flexible Investment Amounts Deposit amounts can be customized based on financial needs and bank criteria.
Customisable Tenure Choose short- or long-term deposit durations aligned with financial goals.
Simple Opening Process Minimal documentation; many banks support online opening of Flexi FD.
Auto-Renewal Facility The FD renews automatically at maturity without manual intervention.
Loan Against Deposit You may obtain a loan against the deposit without liquidating the FD.

Important Considerations

Consideration Details
Withdrawal Conditions Some banks apply limits on frequency & amount of partial withdrawals.
Interest Variation Flexi FD interest rates are generally 0.25%–0.5% lower than regular traditional FDs.
Tax Consideration Flexi FDs do not qualify for tax benefits under Section 80C.

Why Choose IndusInd Bank?

Benefit Description
Instant Online Booking Open a Flexi or regular FD in minutes using PAN & Aadhaar.
Competitive Interest Rates Rates customized based on deposit value & tenure.
Flexible Payout Options Choose monthly, quarterly, or cumulative payout options.
Video KYC Facility Open an FD account remotely from anywhere.
Tax Saver FD Option Option to open tax-saving FD with 5-year lock-in for eligible investors.

Benefits of Flexi Fixed Deposits

A Flexi FD provides the ideal combination of the security of a Fixed Deposit and the liquidity of a Savings Account. It enables automated transfers between the FD and its linked Savings Account, which results in increased returns while retaining access to funds. This facilitates cash flow management, making Flexi FDs an appropriate solution for individuals who need flexibility in their savings.

Benefit Description
Higher Rate of Interest Flexi Deposit interest rates are higher than the Savings Account interest rate. As a result, you can earn better returns on your funds. For example, if a Savings Account gives you interest at a rate of 2.5% per annum and a Flexi FD provides a higher interest rate of 6.85% per annum, you earn more on your idle funds while still having the flexibility to withdraw them when needed.
Flexibility to Choose Your Own Investment Amount Flexi Fixed Deposit requires you to invest a lump sum amount; however, you have the liberty to choose any amount you want to invest. Different banks have different deposit criteria, make sure to check with the bank before opening your Fixed Deposit.
Flexibility in Investment Duration You can choose your investment tenure to suit your needs. This means that you can stay invested for as long as you want, to suit your financial goals.
Easy Withdrawal Most banks in India that allow you to invest in Flexi Fixed Deposits allow premature withdrawal of your investment as well. The flexibility of early withdrawal given by Flexi Fixed Deposits allows you to liquidate the investment in the event of any emergency.
Simple Process The process of opening a Flexi Fixed Deposit is easy. Most banks in India have a very transparent process; you have to fill a form and provide basic details like the amount you want to invest, the duration for which you want to invest and the contact details including address and mobile number.
Loan Against Deposit You can avail a loan/credit against the Deposit. It is advisable that you check with the bank about their policies for loans against Flexi Fixed Deposit as it varies from bank to bank.
Auto Renewal If you have multiple investments, it can get difficult to remember the maturity dates and sometimes you might miss renewing your investment. With the Flexi Fixed Deposit, you can avoid the hassle of remembering to renew your FD, since most banks offer auto-renewal facility to customers. You need not remember the maturity date as the bank will automatically renew the Deposit on maturity.

Frequently Asked Questions

Most banks require ₹25,000 to ₹50,000 as a minimum balance, with surplus amounts automatically transferring to a flexi FD, earning higher interest rates than regular savings accounts.

Flexi fixed deposit interest rates typically range 6–7.5% annually, calculated daily on the actual deposit amount, usually 0.25–0.5% lower than equivalent regular FD rates.

Yes, flexi FD schemes allow partial withdrawals without any penalty charges, as funds automatically transfer back to your linked savings account when needed.

Key disadvantages include lower interest rates than long-term FDs, complex interest calculations, and no tax benefits under Section 80C.

Auto-sweep automatically transfers surplus funds above the minimum balance to a flexi FD earning higher rates, and reverses the process when funds are required in your savings account.

The minimum lock-in for an Auto Fixed Deposit is 6 months, and the maximum tenor can be up to 5 years.

To start an Auto Fixed Deposit, you must hold a Savings Account and have a valid PAN card. You must also submit a declaration along with required documents to complete the application process.