Fixed Deposits (FD) are deposits accepted by banks for a specified period of time. To suit the needs of the customers, the bank have introduced variations in maturity period of the FDs.
By depositing a fixed sum for a fixed period, any person can start a fixed deposit. No fixed deposit shall be received for a sum less than Rs. 100/- or an exact multiple thereof or for a period of less than 15 days. Interest rate on this deposit is calculated on prevailing rates as fixed by The Register Of Co-Operative Societies.
|#||Deposit Type||Interest Rates|
|1||Fixed Deposit 15 to 45 Days||5.75%|
|2||Fixed Deposit 46 to 90 Days||6.25%|
|3||Fixed Deposit 91 to 179 Days||6.75%|
|4||Fixed Deposit 180 to 364 Days||7.25%|
|5||Fixed Deposit 12 to 23 Months||7.75%|
|6||2 Year and above||7.25%|
A Savings Bank account is meant to promote savings habit among people. It also helps in bringing financial discipline among the people. We facilitate people to access accounts at the time of financial needs.
Bank accept small saving of people under this deposit. A customer can open savings bank account with 100 rupees. This is a demand liability. There deposits are maintained by banks in order to mobilize the small savings of the people some percentage of interest is allowed to this deposit . Depositor can withdraw the deposit through cheques.
Under a Recurring Deposit account (RD account), a specific amount is invested in bank on monthly basis for a fixed rate of return. The deposit has a fixed tenure, at the end of which the principal sum as well as the interest earned during that period is returned to the investor. Recurring Bank Account provides the element of compulsion to save at high rates of interest applicable to Term Deposits along with liquidity to access those savings any time.
The advantage in opening a Recurring Deposit Account that the Depositor would be able to save certain sums in fixed monthly Installments so that he / she would be able to meet an anticipated liability / obligation after the end of a specified period.