Recurring Deposit

Recurring Deposit

In banking terminology, the term recurring deposit refers to the periodic placement of a fixed sum of funds with a bank or financial institution into a special term account, with a specified tenure, generally between one and five years. At the end of the tenure, the funds are typically withdrawn by the depositor with accrued interest.

Deposit Scheme

Tenure Recurring Deposit Minimum Deposit
1 Year 10% 1000
2 Years 10.5% 1000
3 Years 11% 1000
4 Years 11.5% 1000
5 Years 12% 1000

Recurring Deposit is a special kind of Term Deposit offered by banks in India which help people with regular incomes to deposit a fixed amount every month into their Recurring Deposit account and earn interest at the rate applicable to Fixed Deposits.

  • Recurring Deposit schemes allow customers with an opportunity to build up their savings through regular monthly deposits of fixed sum over a fixed period of time.

  • Minimum Period of RD is 6 months and maximum is 10 years.
  • Tax Deducted at Source ( TDS ) is applicable on Recurring deposits. If interest earned on recurring deposits exceeds Rs. 10,000 a year, TDS at the rate of 10 per cent would be deducted by the bank. Income tax is to be paid on interest earned from a Recurring Deposit at the rate of tax slab of the RD holder.

    Contact

    • Ward 15 Hanuman Nagar Moradabad Uttar Pradesh 244001
    • (+91) 6396753701
      9105050820
    • info@neelanjali.com

    Brochures

    View our 2017 scheme prospectus brochure for an easy to read guide on all of the services offer.