Bank of Maharashtra Short Term FD

What is a Bank of Maharashtra Short-Term FD?

Bank of Maharashtra Short Term Fixed Deposit (FD) is a term deposit scheme provided by the bank. It enables you to deposit a lump sum for a limited period, from a few days up to one year, and earn a higher interest rate than a regular savings account.

The minimum amount required to open a Fixed Deposit is typically ₹1,000. Bank of Maharashtra short-term fixed deposits provide competitive bank-set interest rates, paid at maturity, and may be opened online via internet or mobile banking, or at a branch. Fixed deposits at the bank also provide benefits such as loan facilities against the deposit, nomination facility, and the ability to manage or withdraw early, subject to terms.

Bank of Maharashtra Short Term FD Interest Rates

Bank of Maharashtra offers short term FD interest rates for deposits less than ₹3 crore with tenures ranging from 7 days to 1 year. These Bank of Maharashtra FD interest rates are applicable to both domestic and NRO term deposits, with senior citizens entitled to an extra interest advantage over the standard rates, according to the bank’s official fixed deposit rules.

*Bank of Maharashtra Short Term FD rates w.e.f 8 December 2025

Key Features of Bank of Maharashtra Short Term FD

Bank of Maharashtra Short Term Fixed Deposits offer a safe, adaptable choice for brief savings with easy banking perks:

• Short Tenure Flexibility: Customers can choose deposit periods ranging from 7 days to 1 year, making it suitable for short-term surplus funds and varying liquidity needs.
• Minimum Deposit Requirement: Even small investors can participate as the minimum amount to open a fixed deposit is ₹1,000.
• Assured and Fixed Returns: Interest rates stay fixed at booking and continue unchanged through the chosen tenure, offering assured returns at maturity.
• Premature Withdrawal Facility: Depositors may withdraw funds prior to maturity when needed, subject to applicable interest rate adjustments under bank rules.
• Loan or Overdraft Against FD: Bank of Maharashtra allows loans or overdrafts available up to 90% of the FD value, supporting needs while keeping the deposit open intact.
• Sweep-in and Sweep-out Option: Under eligible schemes, surplus savings are automatically transferred to FDs through the Bank of Maharashtra sweep in FD facility and reversed when funds are needed.
• Auto-Renewal Facility: Deposits may be renewed automatically on maturity to ensure ongoing investment ease.
• Nomination Facility: A nominee can be added to allow secure transfer of funds if unexpected circumstances occur.

How to Invest in a Bank of Maharashtra Short Term FD?

A Bank of Maharashtra Short Term FD can be opened online for convenience, or at a branch for direct help:

Online Method

You may invest in short-term FDs using MahaConnect/Maha Mobile, following steps below:

• Log in to Internet/Mobile Banking: Access your account via the official portal or app.
• Navigate to FD Booking: Select Fixed Deposit under deposits.
• Enter FD Details: Choose tenure, deposit amount, and interest payout option.
• Confirm & Submit: Verify and submit the FD request.
• Funds Debit: Amount is debited from your linked account.
• Digital Receipt: An FD receipt is generated electronically.

Offline Method

You may visit the Bank of Maharashtra branch to invest in a short term FD offline:

• Branch Visit: Go to your nearest branch.
• FD Application: Complete the FD form.
• KYC Verification: Submit ID and address proof.
• Deposit Funding: Pay via cash, cheque, or account debit.
• Form Submission: Submit the signed form.
• Physical Receipt: Receive a printed FD receipt.

Eligibility Criteria for Bank of Maharashtra Short Term FD

Applicants must meet the following conditions to open a Bank of Maharashtra Short Term FD:

• Resident Investor Eligibility: Only resident investors and eligible entities can invest.
• Savings or Current Account: Having an active Bank of Maharashtra account helps in seamless debit and interest credit.
• Minimum Age: Adults can invest directly; minors require a guardian.
• Minor FD Provisions: FDs for minors remain always opened jointly with a parent or legal guardian.
• KYC Compliance: Valid ID and address proof are mandatory.
• Minimum Deposit: ₹1,000 is required to open an FD.
• Senior Citizen Classification: Senior citizens receive extra interest benefits.

Tax Aspects of Bank of Maharashtra Short Term FD

Interest earned on a short term FD in Bank of Maharashtra is fully taxable under “Income from Other Sources”. It must be declared in your income tax return, irrespective of whether tax has been deducted at source (TDS) or not.

Banks are required to deduct TDS on interest paid on FDs if the total annual interest exceeds the statutory threshold limit (e.g., ₹50,000 for regular customers and 1 lakh for senior citizens under current tax rules), depending on income tax provisions.

To avoid TDS deduction when your total income is below the basic exemption limit, you may submit Form 15G (for investors below 60 years) or Form 15H (for senior citizens) to the bank before interest is credited. Even where TDS is not deducted, the interest needs be declared and taxed on your income slab.

Key Takeaways

Bank of Maharashtra short term FDs give low-risk, fixed returns ranging from 7 days to 1 year with public sector bank protection. Interest rates range from 6.20% p.a. for regular investors to 6.70% p.a. for senior citizens. They also provide liquidity features such as Bank of Maharashtra FD premature withdrawal, along with digital access for account management. Before investing, compare rates and features across banks to secure favourable returns and suitable terms for your objectives.