ESAF Small Finance Bank Sweep in FD

What is ESAF Small Finance Bank Sweep in FD?

The ESAF Small Finance Bank Sweep in FD integrates savings accounts with fixed deposits, such that surplus funds earn better returns without restricting liquidity. Surplus balance above the chosen threshold is automatically transferred into an FD. These funds receive interest according to existing ESAF Small Finance Bank FD interest rates, typically higher than those on regular savings accounts. In case of withdrawals for payments, the bank only withdraws the needed amount. This ensures liquidity and higher interest at the same time.

Key Features of ESAF Small Finance Bank Sweep in FD

Sweep in FD ESAF Small Finance Bank is structured in such a way that it maximises unused funds and maintains a smooth flow of liquidity:

• Automatic Sweep Facility: The exact balance you have in your ESAF savings account that exceeds the selected limit will be swept to a fixed deposit, which will enable unused funds to earn higher interest.
• Partial Withdrawal Support: ESAF Small Finance Bank will only sweep the necessary amount on the savings account to required level and leave the rest of the deposit to earn interest.
• Liquidity Protection: The Sweep in facility provides an easy processing of transactions like EMIs, standing instructions or clearance of cheques, which minimises the chances of failure of payment.
• Better Rates than Savings Account: Money deposited through the sweep in feature earns fixed deposit interest rates, often better than the interest rate of a regular savings account.

How to Activate the ESAF Small Finance Bank Sweep in FD?

ESAF Small Finance Bank gives both online and branch-based facilities to activate the sweep in FD facility.

Online Application

To enable the ESAF Small Finance Bank Sweep in FD, you can use the services of internet or mobile banking and follow these steps:

• Log in to ESAF Net Banking or Mobile Banking:  Enter ESAF Net Banking or Mobile Banking credentials.
• Ensure Savings Account is Open: Ensure that your ESAF savings account is open.
• Navigate to Fixed Deposits or Deposit Services: Select the Fixed Deposits or Deposit Services.
• Choose Sweep in or Auto Sweep Option: Choose the Sweep in or Auto Sweep.
• Set Savings Account Threshold Limit: Establish the savings account threshold limit.
• Fill the Activation Request: Check and fill the activation request.

Offline Application

In case you want to do in-branch banking, you may use Auto Sweep Facility in ESAF Small Finance Bank by visiting your nearest branch of ESAF Small Finance Bank:

• Visit the Nearest Branch: Go to your nearest branch of ESAF Small Finance Bank.
• Request the Sweep in FD Application Form: Ask for the Sweep in FD or auto sweep application form
• Fill in Savings Account Details: Fill in the details of your savings account.
• Set Savings Account Threshold Limit: Establish the savings account threshold limit.
• Submit the Form and KYC Documents: Add the form and valid KYC documents.
• Bank Verification and Activation: The Sweep in facility is verified and activated by the bank.

Key Takeaways

The ESAF Small Finance Bank Sweep in FD can be used to make more money out of excess savings without compromising on liquidity. The savings account will automatically transfer any excess money into fixed deposits. These deposits receive competitive FD interest rates on their FDs, which are higher than the normal savings account interest rates. Money is always available when required. This renders the facility appropriate to customers who keep excess balances and wish to get higher returns without compromising on liquidity.