Utkarsh Small Finance Bank RD Rates – 2026 Overview

Note: The interest rates for recurring deposits may change as per the bank’s discretion. These interest rates are effective from 25 July 2025.    

Features and Benefits of Utkarsh Small Finance Bank Recurring Deposit

The following are the features and benefits of Utkarsh Small Finance Bank RD: 

• You can invest an amount as small as Rs.100 in recurring deposit 
• Senior citizens get additional interest rate benefit of 0.50% 

• Interest is compounded on quarterly basis 
• Tax deductions under Section 80C of Income Tax  Act can be availed 
• Premature withdrawal of the recurring deposit is allowed 

Documents Required to Apply for Utkarsh Small Finance Bank RD

The following documents are required to apply for a recurring deposit: 

• Identity proof -  Aadhaar card, PAN card, Passport, etc. 
• Address proof - Electricity bill, water bill, Aadhaar card, etc. 
• Passport size photographs 
• Application form 

Eligibility Criteria

A Recurring Deposit account with Utkarsh Small Finance Bank can generally be opened by:

• Resident Individuals
• Senior Citizens
• Joint account holders
• Minors (through guardian)
• Hindu Undivided Families (HUFs)
• Proprietorship firms / partnership firms (subject to bank approval)

 Mode of Opening the RD Account

Customers can open an RD account:

• By visiting the nearest branch
• Through net banking (if facility is available)
• Via standing instruction from a savings account

The monthly installment can be auto-debited from the linked savings account to avoid missing payments.

 Late Payment Charges

If the monthly installment is not paid on time:

• A penalty may be charged as per bank rules
• Continuous default may result in irregular account status
• Interest calculation may be impacted in case of repeated delays

Customers are advised to maintain sufficient balance for smooth auto-debit processing.

 Premature Closure Rules

• Premature withdrawal is allowed.
• Interest will be paid as per the rate applicable for the period completed.
• A penalty may be applicable as per the bank’s prevailing policy.

 Maturity and Renewal

Upon maturity:

• The maturity amount (principal + interest) is credited to the linked savings account.
• Customers may renew the RD for another tenure at prevailing interest rates.

 Taxation Details

• Interest earned on RD is taxable under “Income from Other Sources.”
• TDS is applicable if interest exceeds the prescribed limit under Income Tax rules.
• Senior citizens can submit Form 15H (if eligible) to avoid TDS deduction.

 Why Choose Utkarsh Small Finance Bank RD?

Competitive interest rates (up to 8.50% for senior citizens) ✔ Low minimum monthly deposit of ₹100 ✔ Wide tenure flexibility (6 months to 10 years) ✔ Safe investment option with guaranteed returns ✔ Suitable for goal-based savings

Ideal For

• Monthly salaried individuals
• First-time investors
• Conservative investors
• Parents saving for education
• Individuals planning short- or medium-term financial goals

How to Apply for a Recurring Deposit with Utkarsh Small Finance Bank? 

You need to visit the nearest Utkarsh Small Finance bank’s branch to apply for a recurring deposit. 

1. Visit the Nearest Branch

Go to the nearest Utkarsh Small Finance Bank branch with the required documents and a completed RD application form.

• Ask the bank executive for the RD account opening form.
• Fill in all personal and nominee details correctly.

 2. Submit Required Documents

Provide the necessary documents for identity and address verification:

✔ Identity proof – Aadhaar Card / PAN Card / Passport / Voter ID

✔ Address proof – Aadhaar / Utility bill / Passport

✔ Passport-size photographs

✔ Duly filled RD application form

✔ PAN Card (mandatory for tax purposes)

Ensure that documents are self-attested if required by the bank.

 3. Choose the RD Details

Decide on the key components of your RD:

• Monthly installment amount (minimum ₹100)
• Tenure (6 months to 10 years)
• Nominee details (optional but recommended)

4. Make the First Deposit

Deposit the first installment amount in cash or through auto-debit from your savings account.

Once the account is active:

✔ You can set up Standing Instructions for automatic monthly payments

✔ You will receive an RD passbook or certificate with all RD details

 5. Online Application (If Available)

If Utkarsh Small Finance Bank provides online RD facility:

• Log in to your Net Banking / Mobile Banking app
• Navigate to “Recurring Deposit” under E-Savings
• Enter the monthly installment, tenure, and nominee information
• Confirm and authorize auto-debit from your savings account

Note: Online RD facility availability may vary by branch or customer type.

 6. Confirmation and Documentation

After successful submission:

✔ You will receive a receipt or RD account number

✔ Your RD details (installment, tenure, interest rate) will be recorded

✔ Keep your passbook or certificate safe for future reference

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