RBL Bank was established as early as 1943. But it is only in 2010 that it received a drastic makeover when a new management team took over. All the products and services of the bank received upgrades to meet the requisites of a bank that can exist in the modern banking infrastructure without any qualms.
They have various fixed deposit schemes, but only one recurring deposit scheme as of November, 2016. Perhaps they have a singular scheme since it highly flexible as the monthly deposit amount is left at the customer’s choice. But this is not all, there are various features and benefits of this product that people need to be aware of.
Features and Benefits of RBL Bank Recurring Deposit Scheme
The following are the main features and benefits of RBL Bank Recurring Deposit Scheme as of November, 2016:
- For recurring term deposits that last for less than 181 days (tenure), the computation of the interest will be done when the scheme matures and by simple interest calculation.
- Based on the terms & conditions provided by RBL Bank for fixed deposit accounts, if an individual withdraws before the tenure is over the calculation of the interest will be done with the rate applicable for the period when the deposited money was with the bank. But it will also attract a penalty charge at 1 per cent.
- The tenure for the RD has to be at least for 6 months and up to 40 months.
- You can apply for the Recurring Deposit scheme online.
- SI Failure for this particular recurring deposit is chargeable at Rs.50.
RBL Bank Recurring Deposit Interest Rates
The customer can choose the Term as well as amount they wish to invest each month and earn earn interest at the guaranteed applicable rate.
RBL Bank Recurring Bank Taxation
- TDS is applicable for the product, but is based on the the income tax regulations at the time.
- If the PAN details are not provided 20% higher TDS will be deducted for deposits which have an interest income of Rs.10,000 or more at the given financial year.