Syndicate Bank has now been merged with Canara Bank. The bank offers fixed deposit schemes with attractive interest rates, tenures, and features that provide maximum security and high returns for savings.
Syndicate Bank Fixed Deposits
Fixed deposits from Syndicate Bank provide regular interest to depositors on savings for short, medium, or long-term. With compounding and payout options these schemes let investors maintain funds based on their liquidity requirements. Being fixed income instruments these accounts require minimal monitoring to track growth. FDs offer safety and principal protection. Syndicate Bank’s FDs are easily accessible and cater to the needs of a wide range of investors.
Main Features of Syndicate Bank’s Fixed Deposit Schemes?
The feature of term deposits with Syndicate Bank vary with the scheme you select but some of the main features are:
- Minimum deposit amount is Rs.1,000
- No maximum ceiling
- Can be opened by individuals or jointly
- Can be opened by HUFs, company associations, partnerships
- Can be opened by guardians on behalf of minors
- Tenures range from 15 days to 120 months
- Interest is paid at monthly, quarterly, half-yearly, or annual intervals
- Loan facility against 90% of deposit amount
- Nomination facility available
- Part-withdrawal facility available
- No penalty for premature closure of deposits above Rs.2 crore
Syndicate Bank FD Eligibility
The eligibility to open an FD account with Syndicate Bank may change according to the scheme chosen but generally, all individuals who are residents of India can open FD accounts. NRI’s too can avail this facility.
Syndicate Bank Fixed Deposits for NRIs
NRIs can invest in fixed deposits through NRE deposits and FCNR deposits. The difference between the two being that NRE deposits are held in Indian Rupees and the FCNR deposits are maintained in foreign currencies.
With FCNR deposits, you can open deposits in USD, GBP, CAD, AUD, and Euro for periods ranging from 1 year to 5 years, and the interest that you earn will depend on the currency and the duration of the deposits.
NRE deposits, on the other hand, can be opened for periods ranging from 1 year to 10 years and will earn you an interest rate between 7% per annum and 8.5% per annum.
Interest Rates Offered on Syndicate Bank Fixed Deposits
The interest rates offered by Syndicate bank for fixed deposits held with them vary from scheme to scheme and also with the tenure of the FD. The minimum interest rate offered is 3.50% p.a. for deposits held from 7 to 45 days and 5.50% p.a. for deposits held for 1 year. Apart from this, they also offer an extra 0.50% p.a. interest for senior citizens.
Syndicate Bank Fixed Deposits FAQ's
- What is the minimum amount required to open an FD account with Syndicate Bank?
These amounts will vary according to the schemes you opt for but the absolute minimum you can invest is Rs.1,000.
- What is the maximum amount that can be deposited in a Syndicate Bank FD account?
There is no limit on the maximum amount that you can invest in a fixed deposit with Syndicate Bank.
- What is the minimum / maximum period for which funds can be held as fixed deposits with Syndicate Bank?
The minimum and maximum periods that funds can be held for with the bank will depend on the scheme that you opt for. In general, the minimum period for a Syndicate Bank fixed deposit is 15 days and the maximum 10 years.
- Does Syndicate Bank offer tax saver fixed deposits?
Yes, Syndicate Bank does offer a tax saver fixed deposit scheme. The minimum investment for this scheme is ₹ 100 and the maximum is ₹ 1,50,000 per year. The interest offered is 5.45% p.a. Payments made towards this scheme can be submitted for tax benefits under section 80C.
- Are FD accounts with Syndicate Bank taxable?
Interest earned on FD’s held with Syndicate Bank are taxable. The tax to be paid is calculated according to the relevant tax rules. If a person does not have any taxable income and has submitted forms 15 G and 15 H then they may be exempted from paying tax at source.
- Are loans provided against FDs at Syndicate Bank?
Yes, loans can be taken against fixed deposits. The amount of the loan will vary from one scheme to the next but some schemes will allow depositors to take loans of up to 95% of the amount deposited.
- Does Syndicate Bank offer senior citizens special rates on their fixed deposits?
Yes, senior citizens are eligible to get an extra interest rate of 0.5% over the applicable interest rates. However, if the deposit is made under the Senior Citizens' Security Deposit scheme then this 0.5% is not paid if the depositor goes in for a premature withdrawal.
- Does Syndicate Bank allow premature withdrawal of fixed deposits?
Yes, Syndicate Bank will allow for premature withdrawals of fixed deposits held with them however, doing so may attract a penalty. The penalty is usually a discounted interest rate, the amount of which is determined by the amount that has been deposited.
For deposits less than Rs.2 crore, the penalty is 1% and for deposits above Rs.2 crore there is no penalty.