Fixed Deposit Monthly Income Option

ICICI Bank FD Income offers regular monthly income for your choice of tenure with a one-time optional lump sum. A simple Fixed Deposit (FD) plan, which offers fixed regular monthly income in future by investing a lump sum amount today.

Open FD Income

You can open online FD Income by logging in to ICICI Bank Internet Banking or iMobile app today.

Terms and Conditions apply.

Eligibility

It can be opened by resident individuals, singly or jointly.

Amount of deposit

The minimum deposit amount will be Rs.1 lakh and thereafter in multiples of Rs.25,000.

Duration of Deposit

  • This deposit will be opened for a period/tenure which will consist of an Investment phase and a Payout phase (also called Benefit phase).
  • The Investment phase will be for a minimum period of 24 months and in multiples of 1 month thereafter.
  • The Payout (repayment) phase will be for a minimum period of 24 months and in multiples of 12 months thereafter.
  • Deposit tenure is the combination of Investment phase and Payout phase. Once specified by the depositor, it cannot be changed.

Investment Phase

During the Investment phase, customer would open a cumulative Fixed Deposit.

Payout Phase

  • On completion of the Investment deposit phase, the entire maturity proceeds (FD amount + interest), as applicable, will be invested in the Annuity Fixed Deposit for the Payout period.
  • Monthly Payouts will be credited to the Savings Account of the customer.

Illustration

Here is an example that will explain how it works:

Investment PhasePayout Phase
Installment AmountTenureRate of InterestTotal CorpusLump-Sum PaymentTenureMonthly Payout
100000 24 months 5.35% 110,093 0 24 months 4,897
200000 24 months 5.35% 220,186 0 24 months 9,793

Disclaimer: The numbers and data used for the above calculation are for illustrative purposes only, original numbers may vary.

Rate of Interest and Tax Treatment

  • The Deposit will earn prevailing fixed interest rates for the entire deposit period, i.e. same rate of interest in Investment phase and Payout phase. In case the rate of interest increases or decreases, the deposit will continue to earn the contracted rate of interest on both, the Investment phase and the Payout phase.
  • The rate of interest will be applicable as per the total tenure, including both Investment and Payout phase. e.g. If the total tenure of the deposit is 8 years bifurcated into 4 years Investment phase and 4 years Payout phase, the rate of interest applicable for the deposit in Investment phase as well as the Payout phase will be the same as applicable for 8 years at the time of deposit opening as the customer has entered in contract for 8 years.
  • Interest earned on the Deposit during tenure will be subject to Tax Deducted at Source (TDS).

Partial Withdrawal / Premature Withdrawal

  • Partial withdrawal will not be permitted in both the phases.
  • Premature closure will be permitted during both Investment phase as well as Payout phase by deducting the applicable penalty.

Conversion

It will not be possible to convert any existing FD/RD with the Bank to this product.

Open FD Income

Frequently Asked Questions (FAQs) for FD Monthly Income Option

What is Fixed Deposit (FD) Income?


Fixed Deposit (FD) Income consists of the below 4 variants:

a) Recurring Deposit (RD) with monthly income option
b) Recurring Deposit (RD) with lump sum and monthly income option
c) Fixed Deposit (FD) with monthly income option
d) Fixed Deposit (FD) with lump sum and monthly income option.

What are the benefits of FD income?


FD Income helps customers to save and meet expected payments related to their future goals/requirements such as:

  • Payment of regular expenses during retirement period
  • Payment of down payment of Home/Auto Loan and also EMI
  • Payment of tuition fees and other expenses related to children's education.

What is the eligibility for applying for FD Income?


FD Income can be opened as per the eligibility criteria defined for each of the below variants:

a) Recurring Deposit (RD) with monthly income option
b) Recurring Deposit (RD) with lump sum and monthly income option
c) Fixed Deposit (FD) with monthly income option
d) Fixed Deposit (FD) with lump sum and monthly income option.

What are the interest rates applicable on FD Income?


Interest rates applicable on FD Income is the same as offered for standard FD.

How much amount can be deposited in FD Income?


The amount that can be deposited in FD Income are as follows:

  • RD with lump sum and monthly income: Minimum amount of Rs 2,000 in multiples of Rs 100 thereof
  • RD with monthly income: Minimum amount of Rs 2,000 in multiples of Rs 100 thereof
  • FD with lump sum and monthly income: Minimum amount of Rs 1 lakh in multiples of Rs 25,000 thereof
  • FD with monthly income: Minimum amount of Rs 1 lakh in multiples of Rs 25,000 thereof.

How can I invest in FD Income?


You can invest in FD Income through any of our branches, Internet Banking as well as iMobile.

What is the minimum investment amount required in FD Income?


The minimum investment amount required in FD Income is as follows:

  • RD with lump sum and monthly income: Minimum amount of Rs 2,000 in multiples of Rs 100 thereof
  • RD with monthly income: Minimum amount of Rs 2,000 in multiples of Rs 100 thereof
  • FD with lump sum and monthly income: Minimum amount of Rs 1 lakh in multiples of Rs 25,000 thereof
  • FD with monthly income: Minimum amount of Rs 1 lakh in multiples of Rs 25,000 thereof.

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