Bank’s Recurring Deposit, you can:

An investment as small as Rs. 1000 (and in multiples of Rs. 100 thereafter) or as large as Rs. 1,99,99,900 per month

A minimum tenure of 6 months (and in multiples of 3 months thereafter) up to a maximum tenure of 10 years.

For NRI customers, the minimum tenure of RD is 12 months.

For a much smaller investment per month, get interest rates equal to that of regular Fixed Deposits.

Important Information

TDS UPDATE:

TDS on RD accounts (if applicable) will be recovered on RD interest if Savings/Current accounts linked to RD are not maintained, effective 4th Feb’2018

Payment of interest on Recurring Deposits

TDS will be deducted when interest payable or reinvested on RD and FD per customer across all branches, exceed Rs.40000 (Rs.50000 for Senior citizens) in a financial year. The interest rates for recurring deposits will be the same as the rate applicable for a simple Fixed Deposit.

Payment of Installment

The installment amount once fixed cannot be altered at any later date.

In case of more than one installment being overdue at the time of payment,Upto 6 installments can be recovered from the linked account if sufficient balance is available.

If more than one installment is overdue at the time of payment, the paid installment, if sufficient to cover only that one installment will be appropriated towards the first or earliest installment overdue.

Partial payment of installments will not be permitted.

Lock in Period

The Recurring Deposit account has a minimum lock-in period of one month.

In the case of premature closure within a month, no interest shall be paid to the depositor and only his principal amount shall be returned.

Maturity

Interest is paid only on maturity.

The Deposit shall be due for repayment and shall mature on completion of the contracted tenure, even if there are installments still to be paid.

The maturity amount mentioned on the Recurring deposit confirmation advice is subject to the payment of all installments on time. In case of any delay in the payment of scheduled installments, the maturity amount shall change.