Oriental Bank of Commerce more popularly known as OBC is a public-sector bank in India. The bank was established in 1943 in Lahore, a city which now belongs to Pakistan. Later, the bank shifted its headquarters from Lahore to Amritsar. OBC was nationalized in 1980. Since then the bank has spread out with nearly 1,092 branches across the country.
Oriental Bank of Commerce offers a wide range of products and services which include Personal Banking, Corporate Banking, Wealth Management, International Banking, MSME Banking, Equity Trading, NRI Services etc.
OBC offers fixed deposits at competitive rates of interest by investing in which you can get maximum returns on your savings. A fixed deposit account is a financial product that ensures higher returns on your savings than a normal savings account. Normally, you are not allowed to withdraw your fixed deposit funds before the maturity date; however, with prior notification to the bank and paying a penalty fee, you are can withdraw money held in your fixed deposits with OBC. The bank offers different types of FDs viz. flexi fixed deposits, tax saver fixed deposits and normal fixed deposits.
Fixed deposits offered by Oriental Bank of Commerce come with many attractive features. Mentioned below are some of the key features of OBC Flexi Fixed Deposits:
Resident Indians, senior citizens, members of HUF and NRIs are eligible to open their fixed deposit accounts with Oriental Bank of Commerce.
The bank accepts deposits up to ₹ 1 crore and above.
You can invest in fixed deposits offered by OBC for a minimum period of 7 days and a maximum period of 10 years. However, in case of flexi fixed deposits offered by OBC, the maximum period of deposit should not be less than 5 years.
Oriental Bank of Commerce offers attractive rates of interest on its fixed deposit accounts. For domestic term/fixed deposits, the highest rate of interest offered by the bank is 8.60% and the lowest rate of interest for the same is 4.00%. For NRO term deposits, the highest rate of interest offered by the bank is 8.51% and the lowest rate of interest is 4.00%. However, these interest rates are subject to change without giving prior notification to customers.
Oriental Bank of Commerce provides loans against its fixed deposit accounts to meet your personal and business related needs. You can get loans against your self-term deposits and third party term deposits opened with OBC. The maximum amount of loan sanctioned by the bank is ₹ 500 lakhs. However, the bank offers ₹ 100 lakhs as the maximum amount for loan against NRE term deposits. OBC does not offers loan against deposits opened with other banks.
The bank does not charge any penalty fee for premature withdrawal/closure of fixed deposits up to ₹ 5 lakhs. There is no penalty fee for premature closure in all maturity slabs.
Yes, the bank allows premature renewal of its fixed deposits. The depositor can renew the deposit by applying for premature closure of an existing term deposit account. Then, the bank will allow renewal on request at the rate of interest applicable on the date of renewal. However, the depositor needs to renew the deposit for a longer period than the balance period of the original deposit
OBC allows senior citizens to open their fixed deposit accounts with it. However, they are allowed to open their accounts under the banks Flexi Fixed Deposit Scheme and Oriental Bank Tax Saving Term Deposit Scheme. The bank offers additional rates of interest for senior citizens on their fixed deposit accounts.
OBC provides tax saver fixed deposits under its Oriental Bank Tax Saving Term Deposit Scheme. Under this scheme, the bank offers two types of deposits namely Single Holder Type Deposit and Joint Holder Type Deposit by investing in which you can get income tax exemption as per the section 80C of Income Tax Act, 1961. Individual, senior citizens and members of Hindu undivided family can invest in these tax saver fixed deposits offered by OBC. The depositor can invest up to ₹ 1.5 lakhs in a single financial year. The term of deposit should not be less than five years.