Recurring Deposits

    
 
Features


  • Account can be opened for minimum 1 year and maximum upto 10 years.
  • Quarterly Compounding Interest payable on maturity.
  • Minimum amount Rs. 100/- per month and maximum no limit .
  • Pledging of security allowed.
  • Prepayment penalty of 1% p.a. considering the period completed.
  • Nomination facility available.
  • Additional interest for senior citizens.


Eligibility


Any individual, Proprietory concern, partnership firm, limited company, HUF, AOP, LLP , Body of individuals, local authority, Trust can open recurring deposit accounts.
 
Terms and Conditions of Recurring Deposit


  • Minimum monthly deposits of Rs.100 with no maximum limit.
  • Minimum period of deposit is 12 months and maximum is 60 months.
  • Loan / Overdraft against the balance in RD account available.
  • TDS is applicable.
  • Premature withdrawal is allowed with a penalty of 1.00% below the interest
          rate applicable for the period the deposit has remained with the bank.
  • If the scheduled payment of installments is delayed, the maturity amount shall vary, as it
          will be subject to penal charges.
  • Penalty charges for not depositing monthly installments on time are Rs. 1.50 per
          Rs. 100/- per month.
  • Passbooks will be issued.
  • Nomination facility is available for accounts in the name of individuals.
  • Once the installment amount has been fixed, it cannot be altered.
  • In case there are more than two months of installments overdue, and you pay enough to
          cover just one installment, it will be directed towards the first/earliest month of overdue.
  • Payment of a single installment cannot be divided in parts.
  • Interest on RD is paid only on maturity of the same.
  • Irrespective of overdue installments, an RD will mature and shall be due for repayment
          on the completion of the stipulated tenure.
  • In case of frequent failure to pay the monthly installments, the bank has every right to
          close the RD account.
  • No separate intimation about maturity of RD will be sent.
  • No contracted rate of interest is paid after maturity of RD.
  • Bank reserves right to add/modify/cancel any of rules.


Open an account


 


Interest Rate


View Interest Rate Click Here
 
TDS


TDS will be deducted as per applicable Income Tax rule. At per the prevailing rule, TDS will be deducted if the aggregate of interest exceeds Rs.10000, unless Form 15G/ Form 15 H is submitted at the beginning of each financial year.