Federal Bank Loan Against FD

Federal Bank's loan against fixed deposit is a feature that facilitates easy access to funds by taking a loan against your fixed deposit that is held with the bank. This helps you to meet any financial emergency while ensuring that you only pay low-interest rates for the loan.

Features and Benefits of Federal Bank Loan Against Fixed Deposit

The features and benefits of this option are as given below:

• A loan of up to 90% of your fixed deposit amount can be availed.
• The loan against deposit can be availed from another branch of the bank as well.

Interest Rates of Federal Bank Loan Against Fixed Deposit

You can take a loan against your own deposit or a loan against a third-party deposit. The interest rates are as given below:

How to Apply for Federal Bank Loan Against Fixed Deposit

• To apply for Federal Bank loan against fixed deposit, all you have to do is visit the branch where you opened the Federal Bank FD account.
• If you want to take the loan from another branch, you will have to furnish the required documents, such as the fixed deposit certificate or receipt which was given to you at the time of opening the account.

Benefits of Federal Bank Loan against FD

A Federal Bank loan against FD has several benefits such as:

• You can avail a loan at interest rates that may be lower than other kinds of loans.
• The loan disbursal is quicker than for other kinds of loans.
• There is minimal documentation required.
• Your FD account is not broken but will continue to earn interest on the balance amount in the account.
• You can repay the loan either in installments or as a lumpsum amount.

FAQs on Federal Bank Loan Against Fixed Deposit

1. Is there a processing fee for taking a Federal Bank loan against fixed deposit?

   No, there is no processing fee for availing a Federal Bank loan against fixed deposit.

2. Is there a penal interest for Federal Bank loan against fixed deposit?

   No, there is no penal interest for Federal Bank loan against fixed deposit.

3. Can I take a Federal Bank loan against deposit if the deposit account is held in the name of a minor?

   No, you cannot take a loan against a fixed deposit if the account is held in the name of a minor.