Overview of Vijaya Bank
Vijaya Bank is a financial and commercial-based public sector bank with its headquarters in Bangalore, India. In 1958, the bank became a scheduled bank. With nine smaller banks merging with it during 1963-68, Vijaya Bank steadily grew into a large All India Bank. On April 15, 1980 it was nationalised. Vijaya Bank offers personal banking services including accounts, loans, cards, investment options to individuals, corporates and NRIs. It also offers internet banking services for the convenience of its customers.
Recurring Deposit from Vijaya Bank
This scheme helps in efficiently and systematically saving through either fixed or variable monthly instalments towards RD. Deposit period is flexible and the depositor can choose from a period ranging from 6 to 120 months. Under variable monthly instalments, the depositors have an option to choose a core monthly instalment amount, with a minimum of Rs. 10/- or its multiples and remit any amount subject to this minimum. The maximum deposit amount can be ten times of the core monthly instalment.
Recurring Deposit Scheme offered by Vijaya Bank
Vijaya Bank offers the “V Genuth Unnathi Recurring Deposits Bank Account” to its customers with the objective of assisting parents to create a sizeable resource to meet the educational needs of their children in the future. The deposit period ranges from 36 months to 120 months, and the monthly instalments should be in multiples of Rs.50/-.
- Children who are 18 and under 18 years of age can open the account.
- The account will have to be opened as ‘minor by guardian’ account for children below the age of 12.
- Children who are 12 and above, can open the account in their own names.
- Fixed monthly instalments option.
- Rs.100/- is the minimum monthly deposit and additional instalments can be made in multiples of Rs.50/-.
- The minimum period of deposit is 36 months and the maximum period of deposit is 120 months.
- Automatic sweep facility is available, free of charge, from the SB Account to RD account. This is offered for monthly remittance of instalments.
- An additional 0.25% interest will be paid at the end of the tenure of the RD for default-free remittance of all instalments.
- Accounts opened in the name of minor wards of staff members, additional interest will be applicable as per the existing rules that govern Recurring Deposit Accounts for staff.
Features of Vijaya Bank Recurring Deposit
- Easy debit facility from the Savings account.
- Joint account permitted.
- Nomination facility available with only single nominee option.
- No TDS(Tax Deducted at Source) applicable.
- Minimum period is 6 months and maximum period is 120 months.
- Two passport size photographs, which the applicant and the introducer have to sign on the reverse(form).
- Declaration in Form No: 60 or 61(If no PAN is available)
- Proof of residence.
Interest rates offered on Vijaya Bank’s Recurring Deposit
- How to open a Recurring Deposit account in Vijaya Bank? Customers can walk-in to one of the bank’s branches for more information on how to open an RD.
- What is the Minimum & Maximum amount to open Recurring Deposit in Vijaya Bank? Minimum monthly deposit is Rs.100/-. There is no cap on the maximum amount that can be deposited.
- What are the Minimum or Maximum period for RD in Vijaya Bank? For a Regular RD, the minimum period is 6 months and maximum period is 120 months. Under the “V Genuth Unnathi Recurring Deposit” scheme, the minimum period of deposit is 36 months and the maximum period of deposit is 120 months.
- Is TDS (Tax Deducted at Source) applicable on Recurring Deposits? TDS is not applicable on RD.
- Does the RD account of Vijaya Bank provide loan against the deposit? Under the V Genuth Unnathi Recurring Deposit scheme, no loan can be granted against the deposit available in the account, but children maintaining the RD Account for a minimum period of 5 years, get a concession of 0.50% on the interest rate for Education Loan. For a girl child a 1% interest concession is given.
- Do Senior citizens get any extra benefit on Recurring Deposits? Yes, senior citizens get 0.50% additional interest.
- Is nomination facility for RD available? Yes. Nomination facility is made available, but only one person can be stated as the nominee.
- Can I make premature withdrawal of RD? If so, what is the penalty on premature withdrawal? Penalty will be levied for delayed remittances of instalments. Premature closure will be dealt with as per the Bank’s existing rules.