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Allahabad Bank Fixed Deposit Rate

What is a fixed deposit?

A fixed deposit is a popular type of investment that is financially used by many customers wherein, one can deposit a certain lump of money for a specific tenure and earn an interest on the same. Fixed deposits are offered to customers by many banks and Non-Banking Financial Companies (NBFCs). The tenures on fixed deposits range from 7 days to 10 years or more in some cases. The money deposited for this duration earns an interest and is given back to the customer at the time of maturity.

You can deposit your bulk amount at Allahabad Bank’s fixed deposit account for a period of time that typically ranges from 7 days to 10 years. The minimum amount that can be deposited in the Allahabad Bank’s account is Rs.1000. The bank offers competitive interest rate on fixed deposits. The interest earned on the fixed deposit will attract the TDS as applicable.

Apart from the ordinary fixed deposit plans, Allahabad Bank provides four different fixed deposit plans catering to the needs of the customers. One can choose a fixed deposit plan that is convenient based on personal needs. The four plans are Monthly Income Plan, Sishu Mangal Deposit Scheme, Flexi Fix Deposit Scheme and Allahabad Bank Tax Benefit Term Deposit Scheme.

Allahabad Bank’s fixed deposit

Allahabad Bank Fixed Deposit Rate

Allahabad Bank’s fixed deposit is repayable after the agreed period fixed at the time of the deposit. This ranges from 7 days to 10 years. Loan facility is available against the pledge of FDR receipts by following the mentioned procedure for such loans. TDS is applicable on such deposits as per guidelines issued by Government of India from time to time. Interest is generally computed at quarterly or larger rests and not on a monthly basis. But if the depositor insists that interest is to be paid monthly, it can be done so at the discretion of the bank. This can be opened in the name of an individual, joint names, clubs, associations, limited companies and minors under guardianship.

Monthly income plan

Allahabad Bank’s monthly income plan is to provide a fixed monthly income by way of interest to the customer who has deposited an amount for a duration leaving the amount intact. This is beneficial for retired people who earn no pension. The monthly instalment is payable at the discounted rate as TDS is applicable. Generally, no advance is given against the deposit in the monthly income plan, but exceptions are made in some cases at the discretion of the bank. The minimum deposit should be Rs.1,000/- and in multiples of Rs.1,000/- above the minimum deposit, for the maximum period of 60 months. The deposit can be either in cash or cheque.

Sishu Mangal deposit scheme

Allahabad Bank’s Sishu Mangal deposit scheme is for the welfare of children. Here, the account is opened for the minor under guardianship. A certain amount has to be deposited as per the chart provided from time to time and will grow to Rs.5000 or its multiples. This deposit does not continue after the child turns 21 years old. There is no maximum limit for investment under this scheme. Any Indian citizen being a minor in the age group 1-15 years can open an account under guardianship for this scheme.

Flexi fix deposit scheme

Allahabad Bank’s flexi fix deposit scheme gives maximum return along with liquidity. It is a running account that has many units of simple and compound interest from term deposit accounts like a normal fixed deposit or double deposit plan. A passbook is given for this scheme. The account under this scheme is linked to a base account, which may be a savings bank or a current account. No loan is allowed against this deposit. An initial deposit of Rs.25,000 or more in multiples of Rs.5,000 is to be made as Fixed Deposit or Double Deposit Plan for a fixed period of one year.

Allahabad Bank tax benefit deposit scheme

Allahabad Bank tax benefit term deposit scheme offers the customer the benefit under Section 80C of Income tax act. A minimum of Rs.100 can be deposited and multiples thereafter. The tenure is fixed for 5 years. Premature withdrawal is not allowed. Nomination facility is available. This cannot be used to get loans.

Interest Rate on Allahabad Bank’s Fixed Deposit

The rate of interest paid on a fixed deposit varies according to the amount deposited, period and the issuing bank. Allahabad Bank’s Interest Rates typically ranges from 4% to 6.50% per annum.

The defining criteria for a fixed deposit is that the money cannot be withdrawn before maturity, unless on payment of a penalty. Once the deposit matures, the bank credits the original amount plus the interest earned to the bank account specified when the FD is opened.

Allahabad Bank’s Fixed Deposit rates

Following is an overview of Allahabad Bank’s Fixed Deposit Rates as of 01.12.2018

(Do keep in mind that these rates can change at any time and can be changed at the sole discretion of the bank. For the latest rates, it is advisable to check with the Allahabad Bank directly.)

Retail term deposits for less than 1 crore:

Maturity periodInterest rate (% p.a.)
7 to 14 days5.00
15 to 29 days5.00
30 to 45 days5.25
46 to 60 days5.50
61 to 90 days6.00
91 to 179 days6.25
180 to 269 days6.50
270 days to less than 1 year6.50
1 to 2 years6.75
2 to 3 years6.60
3 to 5 years6.50
5 to 10 years6.50

Tax saver fixed deposits:

Maturity periodDeposit amountInterest rate (% p.a.)
5 yearsLess than 1 crore6.50

For more than 1 crore to 100 crores and above:

Maturity periodInterest rate (% p.a.)
7 to 14 days4.45
15 to 29 days4.45
30 to 45 days4.70
46 to 60 days5.45
61 to 90 days5.75
91 to 179 days4.00
180 to 269 days4.00
270 days to less than 1 year4.00
1 to 2 years4.00
2 to 3 years4.00
3 to 5 years4.00
5 to 10 years4.00

How to Calculate Allahabad’s Bank Fixed Deposit Interest?

Andhra Bank Fixed Deposit Rates

You can use online resources to calculate the interest accrued on your Allahabad Bank’s FD. There are several online sites that allow you to instantly calculate the interest earned. You need to enter the FD amount, tenure and rate of interest and the calculator will do the hard number crunching and present you with a breakup of the interest earned and the maturity amount.

You can enter as many combinations as you want, and the calculator will give you instant and accurate results.

You can also calculate the interest earned and the maturity value on the principal amount using the following formula.

The following is the formula to calculate the interest earned in a Fixed Deposit account:

Calculate Allahabad Bank’s FD Rate

A = P x (1 + r/n) nt

I = A - P

Where

A = Maturity Value

P = Principal Amount

r = Rate of Interest

t = Number of Years

n = Compounded Interest Frequency

I = Interest Earned

Withdrawal penalty

Term deposits for all periods less than 1 crore are subject to 1% penal interest for premature withdrawal of domestic term deposits.

Allahabad Bank FD – FAQS

1. What is a fixed deposit?

A fixed deposit is a popular type of investment that is financially used by many customers wherein, one can deposit a certain lump of money for a specific tenure and earn an interest on the same.

2. For how long can I keep my deposit?

You can open a fixed deposit account for any period ranging from 7 days to 10 years. Upon maturity of your deposit, you are paid your original deposit amount plus the interest accumulated.

3. What are the different FD schemes offered by Allahabad Bank?

The FD plans are regular fixed deposit, monthly income plan, Sishu Mangal deposit scheme, flexi fix deposit scheme and Allahabad Bank tax benefit term deposit scheme.

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