Premature Withdrawal of Fixed Deposits
You can withdraw your FD before the expiry of the specified period, as the phrase “premature withdrawal” implies. Though you are allowed to withdraw the FD before the end of the deposit period, banks charge a fee for early withdrawal.
What is the penalty for premature withdrawal of fixed deposit
When you withdraw money before the maturity of your bank FD, banks levy a penalty on it. Penalties are usually levied when you withdraw the FD during the allotted period, as per the rules and limits provided by the bank. The penalty fee is usually between 0.5 and 1% of the interest rate. Here are the penalty charges and other rules regarding premature withdrawal from FDs for , , , and .
State Bank of India penalty for premature withdrawal of FD
According to SBI’s website, “For fixed deposits up to Rs.5.00 lakhs, the penalty for premature withdrawal will be 0.50% (all tenors). For fixed deposits above Rs.5.00 lakhs, the applicable penalty is 1% (all tenors). ) Will happen. ”
However, no interest will be paid on deposits held for less than 7 days. The rate of interest shall be 0.50 per cent or 1% below the rate applicable at the time of deposit, or 0.50 per cent or 1% less than the contracted rate, whichever is lower, for the period of deposit with the Bank.
HDFC Bank penalty for premature withdrawal of FD
According to HDFC Bank’s website, “For such premature withdrawal including sweep-in and partial withdrawal, the bank will levy a penalty of 1% at the applicable rate. However, the penalty for premature withdrawal booked for a Not applicable for FDs. Tenure of 7-14 days.”
The rate of interest applicable for premature closure of deposits (including sweep-in and partial withdrawal) shall be less than:
the rate of interest during the initial or agreed period for which the deposit was booked or
The effective base rate at the time the bank holds the deposit.
PNB penalty for premature withdrawal of FD
According to PNB’s website, “Penal interest of 1% will be levied at the time of premature cancellation/partial withdrawal of domestic fixed deposits for all tenors and the rate of interest payable will be the contractual rate minus 1% or the rate under the scheme on contract. The applicable date for the period for which the deposit has actually moved from zero to 1%, whichever is less.
If the deposit is prematurely closed for the purpose of investing in any other fixed deposit scheme offered by the Bank, no penalty shall be prescribed, unless the deposit amount exceeds the original contract balance. Lives near the bank.
Premature withdrawal in these circumstances will not attract any penalty
If there is a joint order to this effect from the joint depositors, premature withdrawal of fixed deposit or fixed deposit may be permitted in case of fixed deposits with “either or survivor” or “former or survivor” mandate without obtaining consent. Is. of the legal heirs of the deceased joint deposit holder.
ICICI Bank penalty for premature withdrawal of FD
In addition to any applicable penalty, interest will be calculated at the rate effective at the time the deposit was placed with the bank or the contracted rate of deposit, whichever is lower.
Maturities of less than one year and deposits of less than Rs 5 crore will attract a penalty of 0.50 per cent. 1% penalty for one year and above.
Yes Bank penalty for premature withdrawal of FD
If the tenure of the FD (completed) is less than 181 days, a penalty of 0.50 percent will be levied. If the tenure is 182 days or more, a penalty of 0.75 per cent will be imposed. It is to be noted that Yes Bank does not charge early fines from its senior customers.