Overview of State Bank of Mysore
Founded in 1913 as The Bank of Mysore Ltd, SBI is one of the 5 associate banks of State Bank of India (SBI). Listed on both BSE and NSE, this Bank headquartered in Bengaluru has over 1000 branches across India with a strong base in the state of Karnataka. It also has a massive presence in the rural banking sector.
In the retail banking division, SBM offers a wide range of banking products and financial services which includes term deposit services such as savings and current accounts, fixed and recurring deposits.
Recurring Deposit(RD) from State Bank of Mysore
SBM offers a single scheme under the RD portfolio which comes with standard features and benefits. The interest rates are appealing and is at par with market standards which ensures great savings on your investment.
Features and Benefits of State Bank of Mysore Recurring Deposit
- The minimum monthly deposit amount starts at just Rs.100 which can be increased in multiples of Rs.10 based upon your investment needs.
- Deposit term starts at 12 months with an upper limit of 120 months which provides enough flexibility to the depositor to choose a term of his choice.
- Interest charges are compounded on a quarterly basis, payable at the end of the term along with the principal amount.
Interest Rates Offered on State Bank of Mysore’s Recurring Deposit Scheme
The interest rates on Recurring Deposit schemes extended by SBM are slightly higher than the market standards. The current rate of interest starts at 8.75% that can go up to 8.80% depending on the term of deposit. Senior citizens get an additional benefit of 0.50% on the prevailing rate.
The rates are subjected to periodic changes based on market conditions and bank’s discretion. Inquire with the nearest branch or look up for deposit rates online before opening an RD account. The interest earned is not subject to TDS (Tax Deducted at Source).
Opening an Recurring Deposit Account with State Bank of Mysore
Existing savings,current and OD account holders with SBM can easily open an RD account via internet banking without any documentation. Log onto the internet banking account and use the relevant option to open the account and set terms. The RD will directly be linked to the existing account for ease of monthly debits.
Non account holders can walk into the nearest banking branch for details on procedure to open an RD account. You may be required to open a savings/current account by providing standard documents relating to ID and address proof.
Penalty on Premature Withdrawal
All premature withdrawals will be penalised by means of reduction in the interest charges at the rate of 1% below the rate applicable for the term.
FAQs on State Bank of Mysore Recurring Deposit
What is the minimum and maximum tenure for a State Bank of Mysore online recurring deposit?
The recurring deposit tenure should be at least for 12 months which is 1 year up to a maximum of 120 months which is 10 years.
Is it possible to apply for an RD account in State Bank of Mysore online?
Yes, you can. All you need are your Internet banking credentials which include a username and password. You also require to have at least one mapped transaction with this username, online.
What can be the minimum amount for depositing in the account, each month?
The minimum amount of monthly installment that should be deposited must be not less than Rs. 100. The bank is flexible beyond that about changing the amount or tenure, post the recurring deposit activation.
Is it possible to get an estimate of the maturity amount?
Sure you can calculate the maturity amount since it is based on the installment, tenure & type of account that you choose. The maturity amount for the recurring deposit is generally rounded off to the closest rupee and paid a month after the last deposit installment made or the expiry of the tenure whichever comes later.
The Recurring deposit (RD) account should be opened in whose name?
The name or names as well as the mode of operation and branch of new activated deposit account has to be the same name as mentioned in the debit account, which is linked to the RD account.
What are the types of State Bank of Mysore accounts which can be linked for installment payment of the recurring deposit?
You can link the following types of account:
Debit and savings
Note that the account must not be:
Is it possible to be able to transfer the maturity amount to any account I wish to send it to?
The maturity amount will be credited to your linked account. It is only from that account, from which you can transfer money to other accounts through netbanking, etc.
Is the senior citizen additional interest available on online recurring deposit?
This added benefit is not available for online recurring deposits from State Bank of Mysore.
How do you have my nomination from my main account added to my RD in State Bank of Mysore?
When you are opening a recurring deposit account, you will be asked if you wish to keep the nominees linked to your main account.
Is it possible to change the nomination online?
No. Please visit visit your State bank of Mysore branch to add a new nominee.
What are the timings for creating an e-RD online?
e-RDs can be created online only between 8:00 a.m. IST to 8:00 p.m. IST. Requests that are made beyond these timings will be scheduled for the coming working hours.
Can I cancel e-RD standing instructions?
When you are operating or accessing your account online you will find the "View/Cancel" tab, in Request Tab at the Standing instruction link.
Can I not use standing instructions for installment payment of State Bank of Mysore RD?
Your first installment has to be made online. Else, the deposit can be made at your own bank branch as well as through internet banking.
Can I deactivate my RD account online?
Yes, it is possible to do so with the Close Account Tab under your e-RD account.But this is only applicable for recurring deposits created online.
Are there any TDs calculated on this RD account?
This RD account does not have any TDS as of November 2016.
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