Post office RD accounts mature in 5 years or 60 monthly deposit) from the date of opening. … Loans can be taken against RD accounts after 12 installments are deposited and account is continued for 1 year. The depositor can avail loan facility up to 50% of the balance credit in the account.
Just so, can I deposit extra money in RD?
Unlike Fixed Deposit, you can deposit a fixed sum with your Bank or Post Office for a pre-defined term every month. … It is important to remember that, once you start an RD account, the deposit amount and term cannot be altered.
Consequently, can we withdraw RD amount before maturity?
A Recurring Deposit is like a Fixed Deposit. Once the RD amount has been deposited, it cannot be withdrawn until maturity. Partial withdrawals from the account are not allowed.
How can I break RD in Post Office?
One can withdraw the investment in RD amount only at the time of maturity. In case there is an emergency, one can break their RD investment. The Post Office charges INR 1 for every INR 100 investment. Banks usually deduct 1-2% from the interest accrued.
Usually, only one withdrawal is allowed if all the conditions are satisfied. However, the amount of withdrawal amount should not be more than 50% of all the deposits until the said date. The withdrawal from the Recurring Deposit account should be in multiples of Rs. 5.
Can I close my RD account online ? Yes, you may close your RD a/c online through “Close A/c” tab under e-RD, which are created through e-RD only. RD a/c created through any other means can not closed through “Close a/c” tab under e-RD.
Is RD interest taxable?: Recurring Deposits attract no tax exemptions. Income tax has to be paid on the Interest amount received from Recurring Deposits. The tax has to be paid at the rate of the tax slab of the RD holder.
Non-payment of a monthly installment leads to a default. A default fee of five paise is charged for every five rupees. If in any RD account, there is monthly default amount, the depositor has to first pay the defaulted monthly deposit with default fee and then pay the current month deposit.
What is the penalty for default in installment payment ? i) Penalty in case of delay in payment of installment of RD of 5 years or less shall be Rs 1.50 for every Rs 100 per month. ii) Such penalty shall be Rs 2.00 for every Rs. 100 per month for the account on more than 5 years.
Major Bank’s Best Recurring Deposit Interest Rates 2021
|Bank||General Interest Rates||Senior Citizen Interest Rates|
|ICICI RD Interest Rates||3.50% – 5.35%||4.00% – 5.85%|
|HDFC RD Interest Rates||3.50% – 5.50%||4.00% – 6.00%|
|Kotak Bank RD Interest Rates||4.40% – 4.75%||4.90% – 5.25%|
|Axis Bank RD Interest Rates||4.40% – 5.50%||4.65% – 6.05%|