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Axis Bank ‘Lock FD’ Blocks Online Closure of Deposits

8 August 20251 min read
BANKING & FINANCEAxis Bank ‘Lock FD’Blocks OnlineClosure ofDeposits8 August 2025safalsetu.com

Why in the news

Axis Bank introduced a ‘Lock FD’ option so that customers’ deposits cannot be broken online by fraudsters.

Key facts

  • Aim: protect fixed deposits by blocking premature closure on digital channels.
  • After activation, closure through internet or mobile banking is not possible.
  • Locked FDs can be closed only with a visit to a branch, which confirms the customer’s identity.

About fixed deposits

A Fixed Deposit (FD) is a savings and investment product from banks and NBFCs. A lump sum is placed for a set period at a pre-agreed interest rate, and it is among the most popular low-risk options in India.

Exam angle

  • Feature name: Lock FD; bank: Axis Bank.
  • Purpose: curb online fraud on deposits.
  • FDs are offered by banks and NBFCs.

Test yourself

1. Which bank launched the 'Lock FD' feature to protect fixed deposits from digital fraud?

The notes say Axis Bank launched Lock FD.

2. After 'Lock FD' is enabled, how can the fixed deposit be closed early?

Closure needs a physical branch visit with identity verification.

3. What is the main aim of Axis Bank's 'Lock FD' feature?

It restricts premature digital closure to guard against online fraud.

This topic is part of Daily Current Affairs 7 August 2025 (15 topics).

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