AU Small Finance Bank FD Interest Rates 2025

What is the AU Small Finance Bank FD?

An AU Small Finance Bank FD lets you invest a lump sum for a fixed period and earn interest. The bank offers both premature withdrawal and non-premature withdrawal (comparatively higher interest rates) options. Senior citizens get extra interest benefits of 0.50% p.a. You can choose to receive interest monthly, quarterly, half-yearly, yearly, or at maturity. The FD also offers automatic renewal, nomination facility, and loans up to 90% of the deposit amount. You can also choose between callable and non-callable deposit types, with a 1% penalty on early withdrawals for callable FDs. Let’s take a closer look at the latest Au Small Finance Bank FDs.

Key Features of AU Small Finance Bank FD

AU Small Finance Bank’s Fixed Deposit accounts come with multiple features that offer flexibility, predictability, and convenience for both short- and long-term savers. Here’s what you can expect:

• Tiered Interest Rates Based on Tenure: Earn higher interest rates for longer tenures, with special slabs starting from 7 days up to 10 years.
• Tax-Saving FD Under Section 80C: Lock in funds for 5 years to avail tax deductions of up to ₹1.5 lakh per financial year under government-approved Tax Saver FDs.
• Loan or Overdraft Facility up to 90%: Get liquidity without breaking your FD. Up to 90% of the deposit value can be used as a secured loan or overdraft. The bank may charge additional interest or fees.
• Choice of Interest Payout Frequency: Select monthly, quarterly, or cumulative (at maturity) interest payouts based on your cash flow preferences.
• Premature Withdrawal Option with Charges: Withdraw funds before maturity if needed, subject to a penalty deduction of up to 1% on the applicable rate.
• Low Minimum Investment Requirement: Start an FD with as little as ₹1,000, available through AU’s online banking, mobile app, or at any branch.
• DICGC Insurance Up to ₹5 Lakh: Your deposits are insured under the RBI’s Deposit Insurance and Credit Guarantee Corporation scheme up to ₹5,00,000 per depositor.
• Sweep-in Facility with Auto-Reverse: Link your savings or current account to the FD. Excess funds are automatically moved to the FD to earn interest. In case of insufficient balance, funds are pulled back from the FD in parts without breaking it.

AU Small Finance Bank FD Interest Rates 

Here's a detailed breakdown of Au Small Finance Bank FD Interest Rates across different investment slabs and tenors:

AU Small Finance Bank FD Interest Rates for Domestic and NRE/NRO FD (less than ₹3 Crores):

*Au Small Finance Bank FD interest rates w.e.f. June 10, 2025

AU Small Finance Bank FD Interest Rates for Domestic and NRE/NRO Fixed Deposits (₹1 Crore 1 Thousand to ₹3 Crores) (Non Callable):

*Au Small Finance Bank FD interest rates w.e.f. June 10, 2025

Au Small Finance Bank FD Interest Rates for Senior Citizen Fixed Deposit (less than ₹3 Crores):

*Au Small Finance Bank FD interest rates w.e.f. April 16, 2025

*Only resident Indian Senior Citizen customers, having a banking relationship with AU Small Finance Bank, are eligible for the above-mentioned rates.

You can compare the best FD interest rates from different banks and choose the FD that suits your needs. 

How to Open an AU Small Finance Bank FD?

Opening an Au Small Finance Bank FD is a very easy process, and whether you do it online or offline depends on your convenience.

1. Online Method

   For New Customers (Without Existing AU Bank Account):

   • Download the AU 0101 App: Install the AU 0101 App from the official app store.
   • Select 'Open FD': On the home screen, choose the 'Open FD' option.
   • Provide PAN and Aadhaar Details: Enter your Permanent Account Number (PAN) and Aadhaar number for e-KYC verification.
   • Complete Personal Details and FATCA Declaration: Fill in your personal and income details and submit the FATCA declaration as required.
   • Choose FD Details: Select the type of Fixed Deposit, enter the deposit amount, choose the tenure, and provide your bank account details and preferred branch.
   • Fund Your Account: Proceed to fund your account through the available payment options.
   • Complete Video KYC: Choose to complete your KYC over a video call immediately or schedule it for a later time. During the video call, confirm your details with the Video Banking Officer, display your PAN card, and sign on a blank piece of paper to display your signature.

   For Existing AU Small Finance Bank Customers:

   • Log in to the AU 0101 App: Use your credentials to access the app.
   • Navigate to 'Deposits': Select the 'Deposits' section and choose 'Fixed Deposits'.
   • Enter Deposit Details: Input the deposit amount, select the interest payout frequency, choose the deposit period, and select the account to be debited.
   • Set Maturity Instructions and Nominee: Specify your maturity instructions and, if desired, add a nominee.
   • Confirm and Book FD: Review all details and proceed to book your Fixed Deposit.

   Note: Online FD booking is available 24x7, including weekends and holidays, for existing savings account holders.

2. Offline Method

   For All Customers:

   • Visit the Nearest AU Small Finance Bank Branch: Locate and visit the nearest branch.
   • Obtain the FD Application Form: Request the Fixed Deposit Account Opening Form from the bank representative.
   • Fill in the Required Details: Complete the form with your personal and contact information, deposit amount, tenure, interest payout preference, and nominee details.
   • Submit KYC Documents: Provide self-attested copies of the required documents (detailed below).
   • Deposit the FD Amount: The deposit can be made via cash (up to ₹50,000), cheque, or transfer from an existing AU Bank account.
   • Receive FD Receipt: After processing, the bank will issue an official FD Receipt containing all pertinent details, including the deposit ID, interest rate, and maturity date.

Documents Required for Au Small Finance Bank FD

Here’s a quick checklist of documents you will need to open an Au Small Finance Bank FD:

• Filled in Application Form
• Photograph of depositor/s (2 copies)
• Identity proof
• Address proof
• Proof of date of birth
• Officially Valid Documents as per KYC Norms (Valid KYC documents typically include a passport, driving license, PAN card, Voter ID, Aadhaar card, NREGA job card, or a letter issued by the National Population Register containing details of name and address)
• PAN Card or Form 60 or 61
• Any other related documents applicable to minors, partnership firms, companies, HUFs, etc.
• For Business Entities: May require registration certificate, partnership deed, and other relevant documents. 

Taxation on AU Small Finance Bank FD Interest

Interest earned from Fixed Deposits with Au Small Finance Bank is taxable under the head “Income from other sources” as per your income tax slab. As per Section 194A of the Income Tax Act, the bank deducts Tax Deducted at Source (TDS) at 10% if the total interest earned in a financial year exceeds ₹50,000 for regular individuals and ₹1,00,000 for senior citizens.

To avoid higher TDS, you must submit your PAN card. Without a PAN, TDS is deducted at a rate of 20%. You can claim the deducted TDS as a refund or adjust it while filing your income tax return. Tax-saving FDs offer additional benefits under Section 80C, helping reduce your taxable income.

Key Takeaways

Au Small Finance Bank Fixed Deposits offer fixed returns over a selected tenure, with interest rates varying based on the duration and type of deposit. The bank provides a range of investment tenures along with features such as auto-sweep facilities. Investors can compare AU Small Finance Bank FD rates with those of different banks to make an informed choice based on their needs.