Those who have a Recurring Deposit in a Bank can avail loan against the deposit. In this case, the recurring deposit will be treated as a collateral by the bank and the depositor can avail 80% - 90% of the deposit value as loan amount. This will be a secured loan and any defaulted payment on the loan will be adjusted against the amount available in the recurring deposit account of the borrower. Interest levied on a loan against recurring deposit is lower than that which is applicable on a personal loan.
Given Below are Some of the Leading Banks in India that offer Loan Against Recurring Deposits:
ICICI Bank
ICICI Bank Recurring Deposit scheme offers loan against the RD. The depositor should make a minimum deposit of Rs. 500 each month and afterwards, in multiples of Rs. 100/-. The tenure for this scheme can range from 6 months – 10 years. This scheme also offers nomination facility.
State Bank of India
State Bank of India offers loan against Recurring Deposit held in the bank. Depositors can avail an Overdraft or loan for a maximum amount of 90% of the funds available in the recurring deposit account. The recurring deposit can be held for a minimum period of 12 months and a maximum period of 120 months. Passbook facility and nomination facility are provided.
Bank of Baroda
Bank of Baroda offers loan against Recurring Deposit held in the bank. Depositors can avail an Overdraft or loan of a maximum amount of up to 95% of the funds available in the recurring deposit account. The recurring deposit can be held for a minimum period of 12 months and a maximum period of 120 months. Nomination facility is provided. Defaulted payment on the loan will be adjusted against the amount available in the recurring deposit account.
Punjab National Bank
Punjab National Bank offers loan against Recurring Deposit held in the bank. Depositors can avail an Overdraft or loan against the funds available in the recurring deposit account. The recurring deposit can be held for a minimum period of 12 months and a maximum period of 120 months. Defaulted payment on the loan will be adjusted against the amount available in the recurring deposit account.
Read More Article on Recurring Deposit
- How to Open a Recurring Deposit Online
- Flexi Recurring Deposit Schemes
- Differences Between Recurring Deposit and Fixed Deposit
- Tax on Recurring Deposit Interest Rates
- Comparison Between RD and Chit Fund
- Which Banks offer the Highest Recurring Deposit Interest Rates in India
- Recurring Deposit Interest Rates of All Banks
- How to Open RD Account in SBI Online
- Monthly Recurring Deposit
- SBI Flexi Deposit Scheme
- PNB Swechha Jama Yojna/Flexi RD Scheme
- Bank of India Star Flexi-Recurring Deposit Scheme
- Baroda Samriddhi Half Yearly Recurring Deposit
- Canara Dhanvarsha Flexi Recurring Deposit Scheme
- Union Bank Cumulative Deposit Scheme
- Union Monthly Plus Recurring Deposit Scheme
- Indian Bank Swarna Nidhi Recurring Deposit
- Comparison Between LIC and Recurring Deposit
- Indian Bank Variable Recurring Deposit
- Baroda Samriddhi Quarterly Recurring Deposit
- PNB Special Recurring Deposit Scheme
- PNB Lakhpati Deposit Scheme
- Bank of Baroda Yatha Shakti Jama Yojana Scheme
- NRI Recurring Deposit Banks
- Recurring Deposit for Senior Citizens
- Recurring Deposit By Co-Operative Banks
- Best Recurring Deposit Schemes for Children
- ICICI iWish Recurring Deposit
- AB Recurring Plus Scheme
- Baroda Regular Income Cum Recurring Deposit Scheme
- Cent Swashakti Flexi Recurring Deposit Scheme
- Corporation Bank - Millionaire RD Account
