HDFC bank Will now offer 4.25% to 6.10% interest rates RDS With tenures ranging from 6 months to 120 months for general public and 4.75% to 6.75% for senior individuals.
The bank has increased the interest rates on RD maturing in 6 to 36 months and 90 to 120 months. Other tenures remain unchanged at 6.10%.
HDFC Bank RD Rates
According to HDFC Bank’s website, “Interest on Recurring Deposit will be calculated from the date the installment is paid. The mode of calculation of interest on RD will be on actual/actual quarterly compounding.
interest paid recurring deposit
TDS will be deducted when interest or reinvestment payable on RD per customer across all branches exceeds Rs. 40000 (Rs 50,000 for senior citizens) in a financial year.
Recurring deposits will earn the same interest as direct fixed deposits.
NRE, NRO RD interest rates
The minimum period to earn interest on NRE Recurring Deposit is one year. If the NRE Recurring Deposit is withdrawn before one year, no interest will be paid.
Also, if the NRO recurring deposit is closed before 1 month, no interest will be paid.
overdue installments
HDFC Bank reserves the right to close the RD account if there are regular defaults (non-payment) in monthly installments and six installments are behind schedule.
The interest rate applicable to these closed accounts will follow the bank’s policy on early withdrawal.
an RD. Features of
Given below are the salient features of the Recurring Deposit Account as per the HDFC Bank website:
- The minimum amount for a deposit often varies from one bank to another. You can invest with an amount as small as Rs. 1000.
- The minimum tenure of the deposit is six months, while the maximum tenure of the deposit is 10 years
- The rate of interest is equal to the rate of interest offered for fixed deposits. Therefore, the interest rates are higher than in the savings account.
- Premature Withdrawal However, depending on the bank, they may allow you to close your account before the maturity period on certain conditions.
- A recurring deposit can be funded through periodic standing instructions which are usually instructions given by the customer to the bank, to credit the RD account every month from his savings or current account.