Amazon Pay launches fixed deposits: Check interest rate, tenure, other details

amazon pay FD

• Amazon Pay launches fixed deposits with 5 banks and 2 NBFCs in India
• FDs offer up to 8 percent interest, with extra benefits for seniors and women
• Open FDs digitally, compare options, and get DICGC insurance up to Rs 5 lakh

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Amazon Pay has launched fixed deposits on its platform, offering interest rates of up to 8 percent per annum to users in India. The service is being launched in partnership with five banks: Shivalik Small Finance Bank, Suryoday Small Finance Bank, South Indian Bank, Slice and Utkarsh Small Finance Bank, and two NBFCs, Shriram Finance and Bajaj Finance.

Key features of Amazon Pay fixed deposits include:

• Customers can open FDs with a minimum investment of Rs 1,000
• Interest rates of up to 8 percent per annum, depending on the partner and tenure
• An additional 0.5 percent interest for senior citizens across all partners
• Up to 0.5 percent extra interest for women investors from Shriram Finance

Vikas Bansal, CEO, Amazon Pay, said, “Fixed income instruments remain hugely popular in India given their simple construct, guaranteed returns, and low risk profile.” He added, “With this launch at the start of the new year, we're expanding customer choice and helping customers achieve better returns on their savings, giving them an optimal foundation for their 2026 financial goals. This is another step in our journey to build a comprehensive financial solutions ecosystem that serves the diverse needs of Indian customers.”

One of the key features of Amazon Pay’s FD offering is that investors do not need to open a separate savings account with any partner bank or NBFC. Users can compare FD options, select the institution and tenure, and complete the entire process digitally on the Amazon Pay app.

The launch builds on Amazon Pay’s evolution from a payments app to a broader financial platform offering UPI, credit, bill payments, travel bookings, and now investment products. As of November 2025, Amazon Pay ranked among the top 10 UPI apps by transaction volume, processing 8.9 crore transactions worth Rs 10,147.1 crore, according to NPCI data.

Fixed deposits with partner banks are insured up to Rs 5 lakh per depositor per bank under DICGC norms. However, industry experts advise investors to remain cautious. Small finance banks follow a different operating model, which can make their risk profile different from that of traditional scheduled commercial banks.

Amazon Pay is also entering an already competitive market. Several players, including Suryoday Small Finance Bank, Slice Small Finance Bank, ESAF Small Finance Bank and Utkarsh Small Finance Bank, currently offer fixed deposits with interest rates of up to 8 percent per annum across tenures ranging from one to five years.