|Deposit Tenure||General Customers (%)||Senior Citizen (%)||NRI (%)|
Get the Highest Interest Rates on HDFC Bank Recurring Deposit
HDFC Bank offers its customers a very good investment opportunity through its recurring deposit scheme. Opting for this scheme enables people to earn interest rates which are equal to that of Fixed Deposits by investing a small amount every month in their recurring deposit account. People can invest a minimum of Rs.100 and maximum 14, 99,900 monthly for a period of 6 months (after 6 months in multiples of 3 months) to maximum 10 years.
HDFC Bank Short-Term RD Interest Rates
HDFC Bank provides its depositors the option of opening a recurring deposit account for a short term period. Here, people can deposit money into their account for a period between 6 months and 9 months,the interest rate is 5.75% and 6.00%. For the period of more than 1 years to 2 years, the earning interest rate is 6.25%.
HDFC Bank Medium and Long Term RD Interest Rates
Depositors can also open a medium and long term recurring deposit account with HDFC bank and earn attractive rates of interest. The medium term deposit can be made for a period that exceeds 2 years 3 months and up to 5 years while the long term deposit can be made for a period of more than 5 years and up to 10 years.
For medium term deposits, the rate of interest offered by HDFC Bank is 6.00% per annum and for long term deposits, the rate of interest is 6.00% per annum.
HDFC Bank Senior Citizen RD Interest Rates
HDFC Bank provides higher rates of interest on recurring deposits to senior citizens. For a recurring deposit within a short term period, senior citizens can earn an interest rate ranging from 7.40 percent to 6.75 percent per annum. For medium term period, the interest rate is 6.50% per annum and for a long term period, the interest rate 6.00% per annum.
HDFC Bank NRI Recurring Deposit Interest Rates
Non- Residential Indians or NRIs can also open a recurring deposit account with HDFC Bank. If they invest money for a short- term period, the interest rate earned by them ranges from 0 percent to 6.90 percent per annum. If they opt for a medium- term period, the interest rate earned by them is 6.25 percent per annum and if the investment is made for a long- term period the interest rate earned by them is 6.00% per annum.
How to Open a HDFC Bank Recurring Deposit Account?
Customers can open HDFC Bank Recurring Deposit accounts using NetBanking. To open a RD account, they have to do the following:
- Login onto their NetBanking account.
- Choose ‘Open Recurring Deposit’ option from the Recurring Deposit menu that is present on the left hand side.
- Select their preferred values from the drop down lists.
- Click on ‘Continue’ and confirm the details.
How to Prematurely Liquidate a RD Account?
To prematurely liquidate a RD account, you have to submit a written request for the same with your bank branch. The request must be signed by all the account holders. You can also liquidate the account online in the following ways:
- Login onto your NetBanking account.
- Select ‘Liquidate RD’ from the Recurring Deposit menu. You will find it under the Accounts Tab.
- Select your RD account number. Click on ‘Continue’.
- Check the details and confirm.
- Once you confirm, you will be directed to the confirmation page that will say that your RD has been liquidated.
How is the Interest Rate Calculated in Case of Premature Withdrawal?
In case of premature withdrawal, interest rate is the lower of the following:
- Base rate for the contracted or original tenure for which the deposit was made.
- Base rate that is applicable for the tenure for which the deposit was made.
- Base rate is referred to the rate that is applicable to deposits below Rs.1 crore (on the date of commencement of the RD account).
- In case a RD account is closed within a month from commencement, then the principal deposit amount will be returned and no interest will be paid to the depositor by the bank.
HDFC Bank Recurring Deposit FAQs
- How does Recurring Deposit (RD) work?
In Recurring Deposit accounts, people are required to make a deposit every month. This amount of deposit is fixed. This amount along with interest is returned back to the depositors on maturity.
- Will senior citizens receive additional benefits, if they open a HDFC Bank Recurring Deposit account?
Yes, senior citizens will receive an additional interest rate of 0.5%, if they open a HDFC Bank Recurring Deposit account.
- Am I allowed to pay more than 1 installment at a time?
Yes, you are allowed to pay more than 1 installment at a time, but you will not receive any interest on the extra amount. Interest rate will be applicable only on the installment that is due.
- Does HDFC Bank Recurring Deposit scheme allow premature withdrawals?
Yes, HDFC Bank Recurring Deposit scheme allows premature withdrawal.
- Does HDFC Bank Recurring Deposit have a quarterly or monthly interest pay-out option?
The interest on HDFC Bank Recurring Deposit is paid out on maturity and on closure of the account.
- Does HDFC Bank Recurring Deposit have nomination facility?
Yes, HDFC Bank Recurring Deposit has nomination facility.
- What is the maximum amount that I can deposit in a HDFC Bank Recurring Deposit Account?
The maximum amount that you can deposit in a HDFC Bank Recurring Deposit Account is Rs.14,99,900 per month.
- What will happen if I fail to pay my RD installments?
If you default frequently or if you fail to pay 6 consecutive RD installments, then the bank may close your account.
- Can I make partial payments in my HDFC Bank Recurring Deposit account?
No, you cannot make partial payments in your HDFC Bank Recurring Deposit account.
More you need to know about Recurring Deposit
- HDFC Recurring Deposit
- Recurring Deposit
- Compare Recurring Deposit Rates of HDFC Bank with Other Banks and Institutions
Read More Articles On RD
Know how to Link Your KYC Dcuments to HDFC Bank Account
News About HDFC Recurring Deposit Interest Rates
Bulk Deposit Rate Cut By HDFC Bank: Down By 125 BPS to 5%
Interest rates on deposits with maturity dates over a year away and with a value of over Rs.5 crore have been slashed by HDFC Bank by 125 bps (basis points). This will take effect on Friday, and the new interest rate will stand at 5% for such deposits.
Following suit with a number of banks that have reduced deposit rates post demonetization, HDFC has narrowed the differential between its bulk deposit rate with that of the State Bank if India, to 75 bps (previously 200 bps).
Most banks have slashed their effective interest rates on deposits owing to the massive influx of funds following the de-recognition of Rs.500 and Rs.1,000 value currency notes. The total value of deposits (released by RBI) between the 10th of November and the 10th of December, 2016 was reported to be Rs.12.44 lakh crore.
9th January, 2017
HDFC Bank Reduces Interest Rate for Deposits
In news which is likely to impact the savings of thousands of customers, HDFC Bank reduced its interest rate on fixed deposits. The new interest offered by the bank stands at 7% for a one-year term, a cut of 25 basis points. Rates for other tenures have also been reduced, with HDFC now offering 7% interest on two and three-year terms as well. This move could have a huge impact on its customers, for other private banks offer much higher rates, with ICICI and Axis Bank offering 7.25% compared to 7%. A major reason why HDFC chose to reduce rates was to ensure that their margins did not suffer following the RBI rate cut.
The rate cut issued by RBI has reduced the cost of loans, which means that banks will have to resort to other means to maintain parity. The current rate cut has meant that the actual interest is just 0.59% after tax deduction, which could lead to customers opting for other investments.
9th November, 2016