INSUBCONTINENT EXCLUSIVE:
An investor can choose from a variety of terms - or maturity period to set up a RD account.Recurring Deposit (RD), a kind of investment
plan, allows customers to save a fixed sum every month and earn an interest income on the same
From state-run State Bank of India (SBI) to post office- all major financial institutions across the country offer the facility of opening
An investor can choose from a variety of terms - or maturity period to set up an RD account
Recurring deposit interest rates, once determined, do not change during the tenure
On maturity, the depositor is paid a lump-sum amount which includes the periodic investments and the interest income earned on
There is no maximum limit on the deposits.Meanwhile, the minimum amount required for opening a post office recurring deposit account (RD) is
to SBI's website- sbi.co.in.The maturity period of post office RD account, on the other hand, is 5 years
The post office five-year RD account can be continued for another five years on a year-to-year basis, according to India Post's official
accounts, noted the lender on its website
28.11.2018Revised for Senior Citizens w.e.f
28.11.20187 days to 45 days5.756.2546 days to 179 days6.256.75180 days to 210 days6.356.85211 days to less than 1 year6.46.91 year to less
than 2 year6.87.32 years to less than 3 years6.87.33 years to less than 5 years6.87.35 years and up to 10 years6.857.35(Source:
sbi.co.in)Meanwhile, India Post offers an interest rate of 7.3 per cent per annum on recurring deposit (RD) account, according to India
following penalty charges for non-deposit of monthly instalments in case of an RD account: for account of period five years and less - the
of post office RD account, if the subsequent deposit is not made up to the prescribed day, a default fee at Rs
0.05 for every 5 rupee is charged
After four regular defaults, the account is discontinued and can be revived in two months but if the same is not revived within this period,
no further deposit can be made
If in any recurring deposit account, there is a monthly default amount, the depositor has to first pay the defaulted monthly deposit with
default fee and then pay the current month deposit.
