saving account
Savings account interest is based on the day-end balance maintained in the account and is paid on a quarterly basis. The calculation of interest is based on the incremental balance slab. Interest rates are offered between 3.50% and 7%.
Fixed deposit
Senior citizens receive an additional spread of 0.5% on top of the card rates shown above as their incentive. In Shivalik Small Finance Bank, interest rates are calculated using simple interest for up to six months. All rates beyond six months will be compounded on a quarterly basis. The bank offers different rates for amounts below Rs 25 lakhs, Rs 25 lakhs to less than Rs 2 crores and Rs 2 crores and above.
Recurring and Flexi Recurring Deposit
As per the website, “Flexi Recurring Deposit Accounts are opened for a period specified in several quarters. Interest is compounded quarterly for periods of 6 months and above and is payable on maturity.
Source: Bank’s website
premature withdrawal
Note that early withdrawal will result in a penalty equal to 1% of the interest at the time of account opening or the card rate of the initial deposit, whichever is lower.