12 Things That Break When You Build FD Infrastructure In-House

It Looks Simple on the Surface

A Fixed Deposit seems like one of the simplest financial products. You put money in, you earn interest, you get it back at maturity. How hard can it be to distribute digitally?

As it turns out, very hard.

The KYC Maze

Every bank has slightly different KYC requirements. Some accept Aadhaar eKYC alone. Others require video KYC for amounts above a threshold. Some need PAN verification before proceeding, while others verify PAN in parallel with the booking.

Managing these variations across 10+ banks means building a flexible KYC engine that adapts to each bank's specific requirements while presenting a seamless experience to the end user.

Payment Complexity

FD payments aren't as simple as a one-time transfer. Consider:

• UPI: Requires mandate setup for amounts above certain limits
• Net Banking: Different redirect flows for each bank
• NEFT/RTGS: Requires beneficiary setup and confirmation
• Payment failures: Need retry logic with proper reconciliation

Each payment mode has its own edge cases, timeout handling, and reconciliation requirements.

Post-Booking Servicing

The complexity doesn't end at booking. Post-booking servicing includes:

• Maturity handling: Auto-renewal vs. payout decisions
• Premature withdrawal: Different penalty calculations per bank
• TDS management: Different TDS rates, Form 15G/15H handling
• Interest certificates: Different formats and timelines per bank
• Nominee management: Updates, additions, and regulatory requirements

The Scale Challenge

Now multiply all of this complexity by the number of bank partners, and you start to see why building FD infrastructure in-house costs companies Rs.3-5 crore in the first year alone.

Our Approach

At Blostem, we've absorbed all of this complexity into our platform. Our partners see a clean, consistent experience while we handle the bank-specific variations behind the scenes. This is what infrastructure companies do: they take complexity that every platform would otherwise have to build independently and make it a shared service.

The result is that a fintech platform can go from zero to live FD distribution in under 7 days, with full compliance and multi-bank access from day one.