Bajaj Finance FD: Secure Fixed Deposit with High Returns & Flexible Tenure

In a market where equity, mutual funds, and other volatile instruments can rise and fall quickly, many investors still prefer stable, guaranteed returns. That’s where Fixed Deposits (FDs) play an important role. Among the many FD options in India, the Bajaj Finance FD has gained strong popularity for combining:

• Attractive interest rates
• High safety and credibility
• Flexible tenure options
• Simple online investing

If you’re looking for a low-risk, fixed-income product to grow your savings steadily, Bajaj Finance FD is worth considering. This guide explains what it is, how it works, the benefits, eligibility, tax treatment, and how it compares with other FD options.

What Is Bajaj Finance Fixed Deposit?

A Fixed Deposit (FD) is a product where you invest a lump sum for a fixed period at a pre-decided interest rate. Your returns are not affected by market movements, which makes FDs ideal for conservative investors.

Bajaj Finance Fixed Deposit is an FD scheme offered by Bajaj Finance Ltd, a leading non-banking financial company (NBFC). It is designed for people who want:

• Guaranteed returns
• Better interest rates than regular savings accounts
• A safe place to park money for short or long-term goals

Key characteristics of Bajaj Finance FD include:

• Fixed interest rate throughout the tenure
• Choice between cumulative (interest paid at maturity) and non-cumulative (interest paid monthly/quarterly/half-yearly/yearly) options
• Higher rates for senior citizens
• Facility to take a loan against FD in emergencies

Because Bajaj Finance has a strong track record and high credit ratings from agencies like CRISIL and ICRA, many investors see this FD as a secure, dependable investment.

Key Features of Bajaj Finance FD

Bajaj Finance FD comes with several features that make it convenient and investor-friendly:

1. Competitive Interest Rates

The FD typically offers higher interest rates than many bank FDs and regular savings accounts. This helps your money grow faster while still staying in a low-risk instrument.

2. Flexible Tenure Range

You can choose a tenure that suits your goal, with typical options from 12 months to 60 months.

• Shorter tenure → better for short-term needs
• Longer tenure → higher interest rate and better compounding

3. Cumulative and Non-Cumulative Options

You can decide how you want to receive your interest:

• Cumulative FD: Interest is reinvested and paid at maturity – ideal for long-term wealth creation.
• Non-cumulative FD: Interest is paid out regularly (monthly/quarterly/half-yearly/yearly) – ideal for people needing periodic income.

4. Higher Rates for Senior Citizens

Senior citizens typically earn an additional interest rate over and above the regular rate, making Bajaj Finance FD a strong option for retirement planning.

5. Loan Against FD

If you face a cash crunch, you can usually take a loan against your FD without prematurely breaking it. This:

• Keeps your FD intact
• Lets your investment continue to earn interest
• Provides liquidity in emergencies

6. Easy Online Investment

You can start or renew Bajaj Finance FD fully online:

• No lengthy paperwork
• Quick KYC and payment
• Digital FD receipt and tracking

This makes it convenient even for first-time investors.

Read More: Instant Access, Total Control: Apply for Your Loan Online 24/7

Bajaj Finance FD Interest Rates (Illustrative Example)

Bajaj Finance FD is known for offering competitive interest rates, which typically vary based on:

• Tenure selected
• Investor type (regular vs senior citizen)
• Payout option (cumulative vs non-cumulative)

Below is an illustrative rate structure (numbers based on the sample content you provided; always check latest rates on the official Bajaj Finance website before investing):

These rates highlight how longer-tenure deposits and senior citizen FDs generally get better returns.

✅ Tip: Always confirm the latest Bajaj Finance FD interest rates before investing, as they are revised from time to time.

Bajaj Finance FD vs Bank FD: Why Many Investors Prefer It

When comparing FDs, investors usually look at:

• Interest rate
• Tenure choices
• Safety and credit rating
• Convenience
• Extra benefits like loans against FD

Here’s a simplified comparison based on the sample data provided:

In this illustration, Bajaj Finance FD offers higher returns than many bank FDs for the same tenure range, while still allowing loans and premature withdrawals (subject to conditions).

Benefits of Investing in Bajaj Finance FD

Here’s a quick summary of why many investors choose this FD:

• High Returns: Competitive interest rates for both regular and senior citizens.
• Capital Safety: Backed by a reputed NBFC with strong credit ratings.
• Customisable Tenure: Choose from 1 to 5 years (or more, if available).
• Regular Income Option: Non-cumulative FDs for periodic interest income.
• Liquidity via Loan: Loan against FD reduces the need to break your deposit.
• Easy Online Journey: Open, renew or track your FD digitally.

These features make Bajaj Finance FD suitable for:

• Salaried individuals
• Retirees and senior citizens
• Homemakers
• Conservative investors
• Those building a safe fixed-income portfolio

Eligibility Criteria for Bajaj Finance FD

Typical eligibility requirements (based on the content provided) are:

• Resident Indian individuals
• Age 18 years and above
• Minimum investment amount: ₹25,000

In some cases, HUFs, companies, and other entities may also be allowed to invest, subject to policy. Always check the official guidelines before applying.

How to Invest in Bajaj Finance FD (Step-by-Step)

You can invest in Bajaj Finance FD through online or offline methods.

Online Method

1. Visit the Official Website or App
   Go to the Bajaj Finance FD page or open their mobile app.
2. Choose FD Type & Tenure
   Select:
   • Investment amount
   • Tenure (e.g., 12–60 months)
   • Cumulative or non-cumulative option
3. Fill in Personal Details
   Enter your:
   • Name
   • PAN
   • Contact details
   • Bank account details for maturity payout
4. Complete KYC
   Upload required documents like:
   • PAN card
   • Aadhaar/Address proof
5. Make Payment
   Pay via:
   • Net banking
   • NEFT/RTGS
   • Debit card (if supported)
6. Receive FD Confirmation
   You’ll get a digital receipt/acknowledgement and can track your FD online.

Offline Method

1. Visit the nearest Bajaj Finance branch.
2. Fill out the FD application form.
3. Submit KYC documents (ID and address proof).
4. Provide cheque/NEFT details for deposit.
5. Receive fixed deposit receipt after processing.

Both methods are straightforward; the online route is ideal if you prefer convenience and faster processing.

Taxation on Bajaj Finance FD Returns

Like all FDs, interest earned on a Bajaj Finance FD is taxable as “Income from Other Sources” under Indian tax laws.

Key points:

• Interest is added to your total income and taxed as per your income tax slab.
• If total FD interest from Bajaj Finance in a financial year exceeds ₹40,000 (₹50,000 for senior citizens), Tax Deducted at Source (TDS) is applicable.
• TDS is generally deducted at 10% if PAN is provided.
• If PAN is not provided, TDS may be deducted at 20%.

If the TDS deducted is higher than your actual tax liability, you can:

• Claim a refund while filing your Income Tax Return (ITR).

You should:

• Keep a record of FD interest earned and TDS certificates (Form 26AS / Form 16A).
• Consult a tax advisor if you’re unsure how FD income affects your tax planning.

Safety and Credit Ratings

One of the biggest advantages of Bajaj Finance FD is its high safety profile. Bajaj Finance has historically received:

• High credit ratings from agencies like CRISIL (FAAA) and ICRA (MAAA) for its FD program (ratings may change over time; always check latest).

These ratings indicate very strong capacity to meet financial obligations, giving investors added comfort that their principal and interest are secure.

Who Should Consider Bajaj Finance FD?

Bajaj Finance FD can be a good fit if you:

• Prefer low-risk investments over volatile markets
• Want predictable, guaranteed returns
• Are building a retirement corpus or emergency fund
• Need regular interest income (non-cumulative FD)
• Want to diversify your portfolio with a fixed-income component

It may not be ideal if you:

• Are aiming for very high long-term returns (equity may be better)
• Need complete liquidity at all times (FDs have lock-in periods)

FAQs on Bajaj Finance FD

1. What is the minimum amount required to open a Bajaj Finance FD?

The minimum investment amount is typically ₹25,000, making it accessible for many investors, including first-time depositors.

2. Can I take a loan against my Bajaj Finance FD?

Yes. Bajaj Finance allows you to take a loan against your FD, usually up to a certain percentage of the deposit. This helps during emergencies without breaking your FD.

3. Are Bajaj Finance FD rates higher than bank FDs?

In many cases, yes. Bajaj Finance FD often offers higher interest rates than several leading bank FDs for similar tenures, especially for longer durations and senior citizens.

4. Is premature withdrawal allowed on Bajaj Finance FD?

Premature withdrawal is generally allowed, but:

• A reduced interest rate may apply based on the completed tenure.
• Terms and penalties, if any, are mentioned in the FD agreement.

5. Do senior citizens get higher interest rates?

Yes. Senior citizens usually receive additional interest over the regular rate, helping them earn more on retirement savings.

6. How are Bajaj Finance FD returns taxed?

Interest from Bajaj Finance FD is fully taxable as per your income tax slab. TDS is deducted if interest crosses the specified limit in a financial year. You can claim refunds later if excess TDS has been deducted.

7. How do I renew my Bajaj Finance FD at maturity?

You can renew your FD:

• Online through the Bajaj Finance portal/app, or
• By visiting a branch

You can choose a new tenure and decide whether you want cumulative or non-cumulative payouts.

Wrapping Up: Is Bajaj Finance FD a Good Investment Option?

If you’re looking for a safe, stable, and relatively high-yield fixed-income option, Bajaj Finance FD can be a strong choice. It combines:

• Competitive interest rates
• Strong credit ratings and brand trust
• Flexible tenures and payout options
• Online convenience
• Loan against FD facility

While it won’t match the long-term return potential of equities, it plays a crucial role in any balanced portfolio, especially for capital protection and predictable income.

As always, match any investment—including Bajaj Finance FD—with your goals, risk profile, and time horizon, and consider consulting a financial advisor if needed.

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