Axis Bank RD Scheme: Latest Interest Rates You Should Know

A Recurring Deposit (RD) account is a simple and effortless savings method that requires you to invest a specific amount every month. It helps you earn interest on savings over a pre-determined tenure, depending on the current interest rates, usually higher than a regular savings account. This makes RDs a suitable choice for better financial planning without extreme risks.  

To invest in an RD, you can open an RD account with banks and financial institutions online and offline. One such option is Axis Bank, which provides RD accounts with varied tenures and attractive interest rates for both normal customers and senior citizens.  

Here are the Axis Bank RD interest rates applicable for variable tenures.  

Axis Bank RD Interest Rates Based on Tenure  

Axis Bank recurring deposit interest rates depend on the tenure you choose and the type of investor you are. For instance, interest rates are quite different for general investors and senior citizens.  

A brief overview of Axis Bank RD interest rates is listed in the table below.  
 

Tenure	Interest Rate for General Investors (p.a.)	Interest Rate for Senior Citizens (p.a.)
6 months	5.75%	6.25%
12 months	6.70%	7.20%
18 months	7.25%	7.75%
24 months	7.10%	7.60%
30 months	7.10%	7.60%
36 months	7.10%	7.60%
48 months	7.10%	7.60%
60 months	7.00%	7.75%
120 months	7.00%	7.75%

Features of Axis Bank RD 

There are numerous features of an Axis Bank RD account, such as a maximum tenure of 10 years. However, some penalties are applicable up to ₹1,000 in case of late or missed instalments.  

Here are some features and benefits of Axis Bank RDs: 

• Disciplined Saving: Invest a fixed amount monthly to build healthy financial habits without straining your budget. 
• Flexible Tenure: Choose a duration from 6 months to 10 years, perfect for both short- and long-term goals. 
• Auto TDS Deduction: If interest exceeds ₹40,000 (₹50,000 for seniors), TDS is deducted automatically, ensuring tax compliance. 
• Liquidity Option: Withdraw funds before maturity in emergencies (with applicable penalty and lower interest). 
• Auto-Debit Facility: Set up auto-debit to avoid missed or delayed payments. 
• Penalty on Defaults: Late or missed payments attract penalties, encouraging consistent contributions and uninterrupted interest earnings. 

Offline and Online Steps to Open an RD Account with Axis Bank 

If you wish to open an Axis Bank RD account, you can complete the process either digitally or physically.  

Online Steps 

To open your RD account from the comfort of your home within minutes, here are the steps in detail. 

1. Navigate to the Axis Bank Internet Banking login page 
2. Log in using your Customer ID/Login ID and password  
3. Once logged in, select the ‘Deposits’ option from the main menu  
4. Click on the ‘Create Recurring Deposit’ option  
5. Enter all required details accurately, including nominee information  
6. Confirm your details 

The chosen amount will be debited from your savings account and the RD will be created instantly. You will also receive an online receipt as confirmation of account opening. 

Offline Steps 

If you are not comfortable with the online method, you can opt for the offline method by visiting a nearby Axis Bank branch. Here are the steps in brief: 

1. Visit the nearest available Axis Bank branch on weekdays 
2. Request and fill out the RD application form with the required details 
3. You can submit a cheque for the first instalment, or you can also provide cash  
4. Receive the RD certificate with all account details 

Axis Bank RD rates are quite competitive and provide a convenient way to grow your savings with flexible tenures. However, you must know that missing or delaying instalments can result in penalties or reduced interest earnings. This can affect your final maturity overall. By staying consistent with payments, you can get the most from your RD. 

However, if you need urgent funds for expenses, you may consider taking a Fibe Personal Loan. Fibe provides instant cash of up to ₹5 lakhs with repayment tenures as flexible as 36 months. It is a 100% digital process with less paperwork and the loans get disbursed in a few minutes, fast and effortlessly.  

Download the Fibe App to manage your finances well without touching your Axis Bank RD savings! 

FAQs on Axis Bank RD Rates 

 What is the Axis Bank RD interest rate? 

For Axis Bank RD account holders, interest rates for senior citizens range from 6.25% to 7.75% per annum. On the other hand, general investors receive interest rates from 5.75% to 7.25% per annum with minimum deposits of ₹500. 

What is the penalty for RD in Axis Bank? 

For RD accounts, Axis Bank imposes a late fee of ₹10 for each ₹1,000 overdue, which is charged every month. 

Is Axis Bank RD safe? 

Yes. After opening an RD account with Axis Bank, your savings remain safe until the date of maturity. These funds are locked in your account, while you can also opt for premature withdrawals in emergencies. However, premature withdrawals, delays and missed instalments can incur penalties.  

Which is better, FD or RD, in Axis Bank? 

FDs are a good investment option when you have a lump sum amount. As FDs allow you to get hefty interest earnings, you can plan long-term financial goals with FDs. However, if you lack a lump sum amount for investment and want to save for short-term goals, you can opt for RD.