Loan Against Fixed Deposit (FD)
Please Note: Existing customers of Bajaj, who have booked an FD with us, can login to the customer portal – My Account to get instant loan against FD.
Instead of prematurely withdrawing your Fixed Deposit, you can avail of a Loan Against Fixed Deposit from Bajaj Finance. If you have a non-cumulative fixed deposit, you can avail of up to 60% of the value of your FD as a loan. This amount is higher, at 75% if you hold a cumulative FD.
Features and benefits of our loan against fixed deposit
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All you need to know about our loan against fixed deposit
Watch this video to know more about the key features of our loan against fixed deposit.
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Loan of up to 75% of deposit value
Get loan against your fixed deposit up to 75% of deposit value in case of cumulative, and up to 60% of deposit value in case of non-cumulative. Minimum loan value of Rs. 3000.
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No need to pay any EMI
After availing the loan, the borrower need not pay any EMI. The loan amount along with all interest can be paid any time before maturity date and if the same is not paid, it will be adjusted from maturity proceeds of the FD. NACH is not required.
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Zero foreclosure charges
No foreclosure charges applicable. You can visit any BFL branch for foreclosure of your loan.
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LAFD at interest rate of 2% over FD rate
LAFD at interest rate of 2% over FD rate
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Flexible tenure option
Get loan of minimum 1 month. The loan is available for a flexible tenure of 1 month to the tenure of your deposit.
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Dedicated customer portal (My Account)
Download your loan statement and manage your loan online with our customer portal – My Account.
Offline loan through branches
You can visit the Bajaj Finance Limited branches and get loan of more than Rs. 4 Lakh per deposit.
Pre-approved offers
We have pre-approved offers for our existing and new customers. To check, all we need is your mobile number.
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Check your pre-approved offer
You might not require a loan at this time, or you might not have a pre-approved offer. There is still a vast selection of products available, which you can choose from. Loan is at sole discretion of Bajaj Finance and fulfillment of criteria as prescribed by Bajaj Finance Ltd:
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The 4-in-1 wallet gives you the option to transfer money or pay using UPI, EMI Network Card, Credit Card, and your digital wallet.
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Two most crucial factors for you are your credit health and CIBIL score. Get our Credit Health Report to know your current financial health.
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Pocket Insurance to cover all your life events
We have more than 500 insurance plans that start from Rs. 199. They cover all life events, like hiking, common diseases, losing your car keys, and more.
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Set up an SIP for as little as Rs. 100 per month
Select from over 1000 mutual funds from 40+ mutual fund companies, like Aditya Birla, SBI, HDFC, ICICI Prudential, and more.
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Eligibility criteria and documents required
Loan against fixed deposit can be availed after completion of 3 months from the date of deposit with Bajaj Finance. The applicant must fall into one of the following types. No documents are required for applying online LAFD.
Eligibility criteria for loan against FD
- Resident individuals (except foreign citizens, persons of Indian origin and NRI) over 18 years
- Hindu undivided family (HUF)
- Sole proprietorship
- Partnership firms
LAFD cannot be availed for FD standing in the name of minor, FD where attachment/garnishee notice is received, and FD where lien is marked for other loans.
How to apply for a loan against fixed deposit
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How to apply for a loan against fixed deposit
Watch this video to learn how you can apply for a loan against fixed deposit with Bajaj Finance Limited
Step-by-step guide to apply for loan against fixed deposit
Step 1: Click on ‘Apply’ to initiate your application.
Step 2: Enter your mobile number to Sign in and click ‘GET OTP’.
Step 3: Enter the OTP sent to your mobile number. On successful verification, you will be redirected to our customer service portal - My Account.
Step 4: Under “My Relations”, click on “View Details” below the deposit against which you wish to apply for a loan
Step 5: Click on “Get a loan against FD” under “Quick Actions”
Step 6: Enter the amount of loan you wish to avail
Step 7: Click on “Generate OTP”
Step 8: Enter the OTP sent to your mobile number and click “Submit”
Additionally, customer can visit our FD branches and apply LAFD Once your application form is submitted, our representative will get in touch with your further proceedings. The final loan amount shall be calculated basis your investment amount in the fixed deposit.
Frequently asked questions
Loan against Fixed Deposit (FD) is a type of secured loan where you get a loan by keeping your Fixed Deposit as security. Till the time loan is not repaid, the FD remains lien marked in favor of BFL. The loan can be availed against deposit only after the expiry of 3 months from the date of Fixed Deposit acceptance.
Customers can use their fixed deposit as security for a loan against their FD (Fixed Deposit), which is a sort of secured loan. The amount of the FD deposit determines the loan's amount. This may equal as much as 75% of the deposit sum.
All customers who have completed 3 months from the date of deposit, are eligible for loan against fixed deposit with Bajaj Finance.
When a customer requests a loan against a fixed deposit, Bajaj Finance holds the FD as collateral. The customer is charged an interest which is 2% over FD rate.
You are not required to pay any EMI during the tenure of the loan. The loan amount along with the interest is adjusted from the maturity amount of the fixed deposit.
You enjoy the following perks and benefits:
- Low interest rates
- No processing fees
- No need to break your investment or go for a premature withdrawal
- No loss of interest earned on your FD
- Quick loan disbursement
- Minimal paperwork and faster approvals
- No foreclosure charges
The rate of interest for Loan Against Fixed Deposit (FD) is 2% higher than the Annualised Rate of Interest (ROI) applicable to your FD.
For example, if you have an FD of Rs. 1 lakh for 12 months at an ROI of 7%p.a., then Annualised ROI for a loan against fixed deposit would be 9% p.a.
Moreover, the tenure for your loan will be the remaining maturity period of your Fixed Deposit against which loan has been applied for.
The maximum loan amount you can avail is as follows:
- For a cumulative Fixed Deposit (FD), you can get a loan of up to 75% of your FD's deposit value
- For a non-cumulative Fixed Deposit (FD), you can get a loan of up to 60% of your FD's deposit value.
You can apply for an LAFD only if your Fixed Deposit has completed 3 months from its booking date. To apply now, please follow these steps:
In case of deposit having sole holder, you can apply online on our customer service portal My Account
- Click on “My Relations” and then on the deposit against which you wish to avail the loan
- Enter the required loan amount
- Verify your pre-filled bank account details
- Proceed to generate and enter OTP send to your registered mobile no.
Also, the loan amount will be credited to your bank account within 24 hours.
In case of deposit having more than 1 holders, you have to apply offline
- You need to approach your nearest BFL branch.
- On the back of the FDR, please affix a Re.1 revenue stamp and all holders to sign across.
- You need to fill in the LAFD application form available in our branches
- Please submit the FDR and the application form to the cashier in the branch
- The loan amount will be credited to your bank account within 24 hours
A loan against FD can be a good option if you need funds urgently without breaking your fixed deposit. It's beneficial because it offers lower interest rates due to the FD acting as collateral, making it a cost-effective choice for short-term financial needs.
The repayment tenure for a loan against FD varies among banks and financial institutions; but is usually short-term, ranging from a few months to a few years. The exact duration depends on the lender's policies and your agreement with them.
Yes, it is possible to close your fixed deposit (FD) before the loan tenure ends. In such a scenario, the outstanding loan dues will be subtracted from the prematurity amount, and the remaining balance will be paid to the depositor.
No, minors cannot avail a loan against fixed deposits. The minimum age requirement for availing a loan against fixed deposit with Bajaj Finance is 18 years.
