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Tamilnad Mercantile Bank Recurring Deposit

 5.0 / 5.0   by 9 users
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Fees & Charges

Promised Interest Rate

Customer Service


Overview of Tamilnad Mercantile Bank

Tamilnad Mercantile Bank (TMB) was founded in 1921 as Nadar Bank, and changed its name to Tamilnad Mercantile Bank in November 1962 with a motive to widen its appeal beyond the Nadar community in the state of Tamil Nadu. Today, the bank has 431 full service branches coupled with 884 ATMs across the length and breadth of the country.

This Tuticorin headquartered bank has its shares traded publicly on the Bombay Stock Exchange(BSE). TMB has been consistent in its performance which is evident from its rate of dividend disbursal to its shareholders, for decades now. In the personal banking segment, it offers a massive range of banking and financial products reaching out to the masses. In its term deposits portfolio, TMB provides 5 different types of Recurring Deposit schemes.

Recurring Deposit (RD) from Tamilnad Mercantile Bank

  1. Basic RD - A popular standard scheme that is comes with flexible features and benefits. One can open and operate an RD account with just Rs.10 and in multiples of this value. Exclusive perks such as loan against deposit, nomination facility is also available.
  2. ERD Online - A new age RD scheme that lets you open and manage an RD account online and earn high rates of interest. The minimum installment amount starts at just Rs.100 and in multiples thereafter.
  3. Kids RD - A one of its kind scheme in the market that is exclusively designed for students/parents to help them meet the growing cost of education. Depositors under this scheme get preferential treatment for when they apply for an education loan with TMB.
  4. Navarathnamala RD - A unique plan that gives you the right mix of savings and reinvestment plan, which provides attractive returns with compounded interest on the entire term.

Features and Benefits of Tamilnad Mercantile Bank Recurring Deposit

Basic RD

  • All categories of customers which includes individuals, firms and corporates are eligible to apply.
  • The monthly installment amount will be in sums of Rs.10 or in its multiples.
  • Term of deposit starts at 12 months and in multiples thereafter with an upper limit of 120 months.
  • No TDS is deducted on the interest charges earned.
  • Nomination facility is available.The depositor is also eligible for loan against the RD account.

ERD Online

  • Existing customers with TMB eConnect Internet Banking facility can easily open and operate an RD account under this scheme.
  • The minimum monthly installment starts at just Rs.100 with an upper cap of Rs. 5,00,000. All monthly installments should be in multiple of Rs.100 only.
  • The depositor can provide standing instructions for auto debit of monthly installment amount on basis of which future debits will be made based on the depositor’s instruction.
  • Upon maturity, the account will be automatically closed, interest and principal amount will be credited directly to the linked operating account.
  • Premature closure is permitted offline at branches with applicable penalty as per the existing terms.

Kids RD

  • The term of deposit starts at 1 year that can stretch up to a period of 10 years.
  • The minimum monthly savings begin at Rs.58 per month with no cap on the upper limit.
  • No TDS is deducted on interest earnings or the principal amount.
  • Depositors who have been investing for a long time have an advantage of getting preference when they apply for an education loan with TMB.

Navarathnamala RD

  • A unique scheme that offers attractive returns upon maturity with compounded interest for the entire duration.
  • Installments can be remitted in slabs of 36, 48 and 60 months.
  • 5 and 10 years term fetches interest charges at the rate of 9% p.a. Senior citizens are eligible for an additional rate of 0.50%.
  • Nomination facilities along with loan against the deposit amount are standard features.
  • Non Resident Indians(NRIs) are also eligible to make a deposit under this scheme with no TDS applicable on the interest earned.

Interest Rates Offered on Tamilnad Mercantile Bank Recurring Deposit

Owing to the variety of RD schemes offered by TMB, the rate of interest varies depending on the terms. The bank offers slightly higher rate of interest above the market standards. The rate hovers between 8.80% to 9.00% depending on the period of investment. Senior citizens get an additional 0.50% over the existing rate.

Opening a Recurring Deposit Account with Tamilnad Mercantile Bank

Existing customers of TMB will have to do minimum paperwork to open an RD account. An aspirant can either walk into the nearest banking branch or use the internet banking facility to open the account. New customers may be required to submit documents relating to ID and address proof, along with PAN details and duly filled form in the relevant format.

Penalty on Premature Withdrawal

No interest is payable on withdrawals made within the first 14 days from the time of opening the account.

All other premature withdrawals before the term closure will be billed a penalty at the rate of 1% below the agreed interest rate.

Know the Current Recurring Deposit Rates

Recurring Deposit - Sitemap
Recurring Deposit by Banks
Recurring Deposit by other Institutions

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Tamilnad Mercantile Bank RD Reviews

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  • Tamilnad Mercantile Bank Recurring Deposit
    "Excellent "
    0.5 4.5/5 "Excellent!"
    The rate of interest is higher for RD with Tamilnad Mercantile Bank compared to others, I will get a good return. I pay 2000rupees per month.The statements will be sent out to my mobile number or email address . For the maturity period they will inform the customer 1 week before. Manager will call the customer directly. There is no compulsion for the customer it is based up on their own interest. It is a tenure of 7 years.
    Was this review helpful? 3
    , madurai
    Reviewed on Nov 13, 2017
  • Tamilnad Mercantile Bank
    Tamilnad Mercantile Bank Recurring Deposit
    "Good savings!"
    0.5 5.0/5 "Blown Away!"
    Interest rate offered for the recurring deposit is 9%. Initially, they provided a good interest rate and now they reduced the interest rate. The maximum tenure is of 2 years for this RD account with Tamilnad Mercantile Bank. The account holder have to make the payment on monthly basis for this.
    Was this review helpful? 1
    , pune
    Reviewed on Feb 06, 2016
  • Tamilnad Mercantile Bank Recurring Deposit
    "Very interesting"
    0.5 5.0/5 "Blown Away!"
    TMB is giving 7.6% for th recurring deposit for the minimum lock in period of one year. The amount to start the plan is Rs.5000. I visit the branch to open and within 20 minutes the process get completed. The executives are very friendly and transparent.
    Was this review helpful? 1
    , ghaziabad
    Reviewed on Jan 13, 2016
  • Tamilnad Mercantile Bank Recurring Deposit
    "Easy to reach"
    0.5 5.0/5 "Blown Away!"
    This Bank is very close to my home and that was the reason I have my recurring deposit with Tamilnadu Mercantile Bank.The service provided was very good.I have been depositing for last 25years with them.My brother is the senior manager in this Bank so I dont have any issue.
    Was this review helpful? 0
    , tuticorin
    Reviewed on Nov 11, 2015
  • Tamilnad Mercantile Bank Recurring Deposit
    "Can provide better options"
    0.5 4.0/5 "Great!"
    My wife is holding an RD with TamilNadu merchatile Bank and I am the one who is making the payment for that. This RD is more than 1.5 year they have introduced something new called as Naavar rathanmala scheme where I had to pay about 12700 per month for a period of 3 years and there is a 7 year lock in period and after 10 years I will get 10 lakhs,
    Was this review helpful? 0
    , kumbakonam
    Reviewed on Oct 23, 2015
  • Tamilnad Mercantile Bank Recurring Deposit
    "I closed It"
    0.5 4.0/5 "Great!"
    I was holding a Reccuring Deposit account with TAMILNAD MERCANTILE BANK for almost 1.5 years. The rate of interest is very goo with them, my friends has suggested me to open an account with them. It was like totally 60 months plan and I will be paying some money every month. Due to some personal reason I closed this account.
    Was this review helpful? 0
    , vellore
    Reviewed on Oct 15, 2015
  • Tamilnad Mercantile Bank Recurring Deposit
    "Best "
    0.5 4.5/5 "Excellent!"
    Its really good to maintain a recurring deposit with TAMILNAD MERCANTILE BANK because its a best place for saving.Its a 5years plan and after 10years I get best returns.The policy is named as navaratna mala.They provide user friendly service to the customer.
    Was this review helpful? 2
    , coimbatore
    Reviewed on Oct 09, 2015
  • Tamilnad Mercantile Bank Recurring Deposit
    0.5 5.0/5 "Blown Away!"
    I have the recurring deposit account with the Tamilnad Mercantile Bank. Interest rate is good with them and their branch executives are really helpful with them. Customer service is also good with them. I have not experience with online banking. I been with them from the last 7 years.
    Was this review helpful? 1
    , chennai
    Reviewed on Sep 09, 2015
  • Tamilnad Mercantile Bank Recurring Deposit
    "Good "
    0.5 4.0/5 "Great!"
    I have a recurring deposit with TamilNadu Mercantile Bank and its really a good public sector.They do offer good interest rate which is around 9% and I am happy about the same.The customer service provided is really good and I get the deposited money with the good interest rate.They donâ??t collect any hidden charges in the process.
    Was this review helpful? 0
    , amritsar
    Reviewed on May 13, 2015
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