Moreover, this percentage varies from one bank to another with a maximum of 95% of the fixed deposit amount. The amount of the loan depends on the policy of the banks.
What is Loan Against FD?Ī loan against FD is a credit facility offered by all the banks in India as a secured loan for a lower interest rate as compared to other unsecured loans. In this article, we have covered all necessary aspects related to the loan against FD with any bank in India. Rather than redeeming your fixed deposit and paying penalty, you can avail a secured loan at a lower interest rate. It is wise to secure a loan against the fixed deposit you hold with the bank. Availability of a loan is difficult if you do not have a credit score or have a low credit score. Benefits of a Loan Against a Fixed DepositĪt a time of financial emergency it is quite obvious to seek a loan.Eligibility for Loan Against Fixed Deposit.
Loan Against FD Interest Rates November 2023.