Regular FD: Grow Your Savings

Tax Deductions for Re-Investment Fixed Deposits: 

• TDS will be deducted if interest payable/reinvested on RD and FD exceeds ₹50,000, ₹1,00,000 for senior citizens, in a financial year.

• TDS certificates will be mailed quarterly during the financial year. 

Effective August 9, applicable TDS rates are as follows: 

Effective May 14, 2020, March 31, 2021, TDS rate is reduced from 10% to 7.5% on resident deposits. 

As per section 206AA introduced by finance (No.2) Act, 2009, effective April 1, 2010, every person who receives income on which TDS is deductible shall furnish his pan, failing which TDS shall be deducted at the rate of 20% as against the existing TDS rate. 

Tax Deductions for Monthly/Quaterly interest payout Fixed Deposits

Fixed Deposits booked with monthly or quarterly interest payout option, TDS recovery will by default happen from linked current / savings account. Please visit nearest branch / contact RM for further clarification.

• TDS will be deducted if interest payable/reinvested on RD and FD exceeds ₹50,000, ₹1,00,000 for senior citizens, in a financial year.

• TDS is recovered at the end of the financial year on Interest accruals if applicable. 

• Customer can recover TDS from CASA by filling separate declaration at branch. If interest Amount/Balance is insufficient to recover TDS, a hold will be marked on FD towards applicable TDS amount. The TDS will be recovered on next interest payout, partial FD closure, premature closure or when sufficient funds are available in CASA. 

• For renewed deposits, the new deposit amount consists of the original deposit amount plus Interest. Less TDS, if any, less compounding effect on TDS.  

• For reinvestment deposit, the interest reinvested is post TDS recovery and hence the maturity amount for reinvestment deposits would vary to the extent of tax

• As Per Section 139A(5A) of IT Act, every person receiving any sum of income or amount from which tax has been deducted under the provisions of IT Act shall provide his PAN to the person responsible for deducting such tax. In case PAN is not provided as required, the bank shall not be liable for the non availment of the credit of Tax deducted at Source
  and non-issuance of TDS certificate.

• If your PAN is not updated with the Bank or is incorrect; please visit your nearest branch to submit your PAN details. 

• No deductions of Tax shall be made from the taxable interest in the case of an individual resident in India, if such individual furnishes to the Bank, a declaration in writing in the prescribed Format (Form 15G / Form 15H as applicable) to the effect that the tax on his estimated total income for the year in which such interest income is to be included in computing his total income will be Nil. This is subject to PAN availability on Bank records. 

• If aggregated value of all outstanding FDs/RDs booked in same customer id during the Financial Year exceeds INR 5 lakh limit (*) then PAN/Form 60 is mandatory.

• In absence of PAN/Form 60: (a) FD/RD will not be renewed on maturity and maturity proceeds will be credited to your linked account or a Demand Draft will be sent to your mailing address as updated in Bank's records. (b) Maturity instructions to convert RD proceeds to FD will not be acted upon and RD proceeds will be credited to your linked account on maturity.

The maximum interest not charged to tax during the financial year where form 15 G/H is submitted is as below: 

• Up to ₹3 lakh for residents of India below the age of 60 years or a person (not being a company or firm). 

• Up to ₹7 lakh for senior citizen residents of India above the age of 60 years any time during the FY. 

• Form 15G/ H to be submitted by customer in duplicate to the bank, for submitting one copy for Bank record and second copy to be returned to customer with Branch seal as an acknowledgment. A fresh Form 15G /H needs to be submitted at the start of every new Financial Year. In case form 15G/H is submitted post interest payout/credit, waiver shall be effective from the day next to the interest payout /credit immediately preceding the date of submission of form 15G/H. 

• Form 15G/H needs to be submitted for every fixed Deposits booked with bank for Tax exemption. 

• The bank shall not be liable for any consequences arising due to delay or non-submission of Form 15G/H. 

• To enable us to serve you better kindly submit the Form 15G/H latest by April 1, 2020 of the new financial year. 

Note: The above guidelines are subject to change as per Income Tax regulations /directives of Finance Ministry Govt of India prevalent from time to time.

• Make a nomination instantly when booking FD via NetBanking

• Add or modify nominees for single holding FDs*

• Joint FDs can select nominees from base account*

• Update joint FD nominees by submitting signed forms

• Convenient nomination management through NetBanking features    

Nomination Guidelines

• If you are booking a Fixed Deposit on NetBanking on a single name, then you can either select the nomination made in the base Savings account or add a new nominee. 

• If you are booking a Fixed Deposit on NetBanking in a Joint name, then you can only select the nomination made in the base Savings account. In a joint holding Fixed Deposit if you wish to add a new nominee, then you will need to visit the branch. 

• For existing single holding Fixed Deposits, Customers can add a new nominee or modify a nominee through NetBanking instantly.

• For existing joint holding Fixed Deposits, Customers can download the filled Nomination form from NetBanking, take signatures from all holders, and submit it at nearest HDFC bank branch, for updating in our systems.

• HDFC Bank offers attractive interest rates on various deposit and savings schemes. Customers can choose from a range of tenure options tailored to their financial goals. Special interest rates are available for senior citizens to maximse their returns. Additionally, deposits are secure and backed by the trust and reliability of HDFC Bank.
• Click here to view details of the interest rates

• *The (Most Important Terms and Conditions) for each of our banking offerings features all the specific terms and conditions that govern their use. You must go through it thoroughly to fully understand the terms and conditions applicable to any banking product you choose.