A fixed deposit (FD) is a financial instrument where you deposit a lump sum amount with a bank for a fixed tenor at a predetermined interest rate. Breaking an FD means withdrawing the money prematurely before the maturity date. However, breaking an FD before maturity may come with penalties and loss of interest earnings.


Read on to learn more about the process for breaking an FD prematurely.

Process for Breaking an FD Online

Prematurely withdrawing an FD online is an easy task However, it comes at the cost of a penalty of 1-2% in the case of both bank and NBFC FDs.


Typically, the process for premature withdrawals is the same across issuers. They are -

  • Step 1: Visit your FD issuer’s official website

  • Step 2: Log in to your account using your credentials

  • Step 3: Navigate to the service request section

  • Step 4: Opt for ‘Premature Closure’ or a similar option against your FD

  • Step 5: Enter the necessary details

  • Step 6: Submit the request

Once the request is submitted, a representative will contact you to guide you through the following steps


Process for Breaking FD Offline

The premature withdrawal charges are the same in both offline and online modes. The steps to break an FD offline are 

  • Step 1: Visit the branch of the financial institution where you have the FD account

  • Step 2: Duly fill the premature FD withdrawal form

  • Step 3: Submit the form along with the necessary documents

  • Step 4: After successful submission, your request for FD closure will be processed


Once the FD is closed, your funds will be transferred to your account.

Things to Remember When Breaking FD Prematurely

Some of the key aspects that you should remember while deciding to prematurely withdraw are-

  • To speed up the process of premature withdrawal of FD, keep all the proofs and documents handy

  • Make sure that you have gone through the fixed deposit receipt and the terms and conditions thoroughly

  • Avoid investing in a long term fixed deposit if you are anticipating several financial commitments

  • You will either lose out on interest income or be liable to pay the premature withdrawal penalty


The information provided by BFDL herein above is related to the Non-Partnered Banks/ NBFCs and is just for the purpose of information and under no circumstances the information provided hereinabove is intended to be source of advice or recommending any financial investment advice or endorsement of any sort. 

The information including interest rates with regard to fixed deposit, provided on this website is gathered through publicly available sources over the internet and is considered as accurate and reliable to the best of our knowledge. BFDL disclaims any responsibility or liability regarding inaccuracies, omissions, mistakes etc. as well as offers by the Non-Partnered Banks. The use of information set out is entirely at the User’s own risk and User should exercise due care prior taking of any decision, on the basis of information mentioned hereinabove. You are advised to visit/ contact the respective Banks/ NBFCs to verify the information before making any investment or opening an account. Further, BFDL does not undertake any responsibility or liability to update this information. YOU ARE SOLELY RESPONSIBLE FOR ANY LIABILITY OR DAMAGE YOU INCUR THROUGH ACCESS TO OR USE OF THE SITE OR SUCH INFORMATION OR MATERIALS EXCEPT WHERE THE LAWS AND REGULATIONS OF A PARTICULAR JURISDICTION CONCERNING WARRANTIES CANNOT BE WAIVED. Additionally, display of any trademarks, tradenames, logo and other subject matters of intellectual property owners. Display of such Intellectual Property along with the related product information does not imply BFDL’s partnership with the owner of the Intellectual Property of such products. 

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How do I break my fixed deposits?

 You can break your fixed deposits by either visiting the branch and submitting the premature withdrawal of FD form. You can also do it by visiting the official website of the financier.

How to withdraw an FD online?

 To withdraw an FD online, you need to visit the lender’s official website and choose the ‘Premature Closure of Fixed Deposits’ option available in the service request section.

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