RightBonds Fixed Income, Simplified

Bajaj Finance May ’31

INE296A07TX5 Corporate AAA Matures May 2031

Bajaj Finance May ’31 is a corporate bond issued by a company to raise debt from investors, currently offering a yield to maturity (YTM) of 7.48%.

Data as of 11 Sept 2026

Yield to Maturity (YTM)
7.48%
Annualised return if held to maturity · 12 May 2031
+0.9% vs bank FD
Coupon Rate
8%
Paid periodically
Maturity
12 May 2031
Principal returned
Tenure
4.7 yr
Remaining
Min. Invest
₹10.5L
Min. ticket
Return
₹4,18,311
Est. pre-tax

How this yield compares

This bondBajaj Finance May ’31
7.48%
Category avgCorporate
10.3%
Fixed Deposit4.7 yr tenure
6.55%

At 7.48% YTM, this bond yields about 0.9 percentage points more than a tenure-matched fixed deposit (6.55%) and sits below the Corporate average - reflecting the credit profile of a AAA issuer.

About this bond

Bajaj Finance May ’31 is a corporate bond issued by a company to raise debt from investors, currently offering a yield to maturity (YTM) of 7.48%. It pays a coupon of 8% and matures on 12 May 2031, a remaining tenure of about 4.7 yr. It is rated AAA, the highest credit-safety grade. BondScanner lists this bond with a minimum investment of ₹10.5L.

Its 7.48% yield is on the conservative side, toward the lower end at 260th of 265 Corporate bonds. That trails the Corporate median of 10.50% by 3.02 points, so the trade-off is lower yield for whatever else this issuer offers. It yields only about 0.93 points over a comparable SBI fixed deposit (6.55%), so weigh the extra credit risk carefully. Its medium 4.7 yr horizon balances rate lock-in against flexibility. Paired with its highest safety (AAA) rating, that leans toward the safety-first end. Compare it against similar bonds on RightBonds before investing.

Investors comparing this bond often also look at Bajaj Finance (INE296A07UC7) at 7.9%, Bajaj Finance (INE296A07UB9) at 7.55% and Aditya Birla Capital (INE674K08083) at 8.1%.

About Bajaj Finance

Bajaj Finance Limited is one of India's largest non-banking financial companies, set up in 1987 and headquartered in Pune as part of the Bajaj group. It is a subsidiary of Bajaj Finserv Limited, which held a 51.39% stake as of the June 2025 rating review. The company has a diversified product suite spanning vehicle loans for two and three wheelers manufactured by Bajaj Auto, consumer durable loans, personal loans, mortgage loans, small business loans, loans against securities, commercial finance and rural finance, and has more recently entered new car loans, commercial vehicle loans, tractor financing and gold loans. Its housing finance subsidiary Bajaj Housing Finance Limited and broking arm Bajaj Financial Securities Limited complete the group. Consolidated assets under management stood at around Rs 4,16,661 crore as on 31 March 2025, with consolidated profit after tax of Rs 16,779 crore in FY25 and consolidated net worth of Rs 98,937 crore. CRISIL reaffirmed its Crisil AAA rating with Stable outlook on the company's debt instruments in June 2025, noting the company's strategic importance to the Bajaj group and its established track record of profitable growth.

AUMRs 4,16,661 crore
Gross NPA0.96%
Net profitRs 16,779 crore

Figures as of FY25 (31 Mar 2025). Rated by CRISIL. Source: rating rationale. All Bajaj Finance bonds.

Bond details

Credit RatingAAA
CategoryCorporate
Coupon Rate8%
Yield to Maturity7.48%
Maturity Date12 May 2031
Listed onBondScanner
Minimum Investment₹10.5L
Face Value₹10,00,000
Return₹4,18,311
ISININE296A07TX5

What you keep after tax

Interest on a listed corporate bond is added to your income and taxed at your slab, so the 7.48% headline is a pre-tax number. Here is the same bond seen from each slab, on ₹1,00,000 held for the remaining 4.7 yr.

Your tax slabPost-tax yield₹1,00,000 becomes
No tax (income under the exemption limit) 7.48% ₹1,39,999
5% slab 7.11% ₹1,37,741
20% slab 5.98% ₹1,31,139
30% slab 5.24% ₹1,26,877

At a 8% coupon, ₹1,00,000 of face value pays about ₹8,000 of interest a year, under the ₹10,000 Section 193 threshold, so no TDS is withheld.

Slab rates only - surcharge and cess are not included, and the figures assume you hold to maturity. Sold on the exchange after 12 months instead, the gain is taxed as long-term capital gains at 12.5%. Not tax advice.

Against a fixed deposit, in rupees

Same ₹1,00,000, same 4.7 years, one in this bond and one in a tenure-matched SBI fixed deposit at 6.55%.

This bond at 7.48%₹1,39,999
Fixed deposit at 6.55%₹1,35,398
Difference+₹4,602

Bond figure compounds the yield annually; the FD compounds quarterly, as a cumulative bank FD does. Both are pre-tax and assume the bond is held to maturity and the issuer pays in full - the AAA credit risk is the reason for the gap.

When you get paid

Interest lands once a year, in May, with about 5 payments still to come before 12 May 2031, each at the 8% coupon rate.

Payment months come from the issuer's schedule. Exact dates within the month, and the amount per payment, depend on the face value of the units you buy - check the term sheet on BondScanner before investing.