Annuity Deposits
Features & Benefits
Annuity deposit scheme provides a reliable source of fixed income at regular intervals. This tailored financial product allows you to withdraw a consistent portion of the principal while also receiving interest income on a regular basis. It is designed to ensure a steady income stream and attractive returns.
Deposit amount from 15L to less than 2 Crores
Deposit tenures from 5 years to 20 years
Premature closure available
Payout frequency available in monthly/quarterly/half yearly/yearly periodicities.
Nomination facility available.
Avail advances (AAD) up to 75% of the remaining deposit amount in needed times.
Payout after availing AAD will be credited to AAD loan account.
Deposits can be opened through any Federal bank branch
How to Invest ?
- For opening an Annuity Deposit, please visit your nearest Federal Bank Branch.
Who can Invest ?
Who can open fixed deposit?
- Resident Individuals
- Resident Individuals jointly with others
TDS and PAN
- Applicable TDS will be deducted from the interest credited to operative account/ term deposit periodically.
- Income tax will be deducted as per the law applicable and if the depositor‘s total income including the interest earned on deposit does not come under the purview of income tax, 15H/15G has to be submitted by the depositor to the branch after opening the term deposit and at the beginning of the Financial Year in the subsequent Financial Years.
- With effect from 01 July 2011, for opening term deposit exceeding Rs. 50,000/- with the bank, it is mandatory to quote Permanent Account Number (PAN) of the customers or submit Form 60/61, duly signed.
- In case the customer has no PAN number In the absence of PAN, Form 15G/H and other exemption certificates will be invalid even if submitted & penal TDS will be applicable.
- As per section 206AA introduced by Finance (No. 2) Act, 2009 effective April 01, 2010, every person who receives income on which TDS is deductible shall furnish his PAN, failing which TDS shall be deducted at the rate of 20% in case of Domestic deposits
- Kindly visit your Federal Bank branch with your PAN card (original & copy) to get the same updated on the bank accounts.
- You can also apply for PAN through Federal Bank Branches.