|Mr Vishwavir Ahuja
|Listed on exchange as
|RBL Bank Ltd.
Under this scheme, the fixed deposit account is linked with your preferred savings or current account along with ensured liquidity. In case, there is a shortage of cash in the savings or current account, the deposit is partially broken down to meet the cash crunch while the remaining part continues to earn interest.
Customers have the convenience to link multiple deposits to the deposit account
For an RBL FD with tenure ranging from 7 days to 12 months, the interest rate offered is from 3.25% p.a. to 6.10% p.a. These deposits are known as short term deposits as they have a tenure of less than 1 year.
Medium-term fixed deposits have their tenures ranging from more than 1 year to less than 5 years. The interest offered by the bank on these deposits is around 6.10% - 6.30%
These deposits have their tenure ranging from 5 years to 20 years and offer an interest rate of 6.00%.
An RBL Bank FD can be opened using online and offline methods-
1) Online Method
Note, an RBL FD account can be opened through net banking and mobile banking.
2) Offline Method
For opening an RBL Bank FD account via offline mode, one has to visit the nearest RBL Bank branch. Fill out the RBL Bank FD application form and present all the necessary documents with the deposit amount. On successful processing of the application, an FD account can be opened.
The individuals and groups mentioned below are eligible for operating RBL FD accounts.
NRIs can also invest in such RBL Bank instruments, provided they use either an NRE or an NRO account.
To initiate investments through RBL Bank fixed deposit schemes, the individual must furnish the following documents.
An investment in RBL Bank Tax Saving FD entitles to tax saving up to Rs. 1,50,000 p.a. No other RBL Bank FDs entitle to tax saving under Section 80C of the Income Tax Act.
Also, note that the interest income from the RBL Bank Fixed Deposit is taxable according to the slab rates of income tax. Also, the interest income is subject to a TDS of 10% if the income from RBL Bank FD exceeds Rs. 40,000 p.a.
For senior citizens, the limit is Rs. 50,000 p.a. Also, if the investor fails to provide PAN Card details to the bank, the TDS rate will be 20%.
RBL Bank permits investors to receive a loan against their Fixed Deposit. Not that the customers of tax-saving Fixed Deposit and senior citizen Fixed Deposit cannot avail of this option. Depositors can receive a loan up to 90% of the deposit value. The loan is given at around 4.25-7.95%.
RBL Bank permits investors to withdraw their fixed deposit investments prematurely. Note that tax-saving Fixed Deposits do not have a premature option. Investors are charged a penalty of 1% on the premature withdrawal. However, senior citizens are not required to pay the penalty for such premature withdrawal.
What is the minimum deposit amount to open an RBL Bank FD account?
The minimum deposit required to open a fixed deposit account Rs. 1000.
What is the highest interest rate offered by RBL Bank FD?
The maximum interest one can earn on RBL Bank Fixed Deposit is 8.00% for regular customers and 8.50% for senior citizens.
What are the tenures offered by RBL Bank?
The RBL FD tenures range from 7 days to 10 years.
Who all are eligible to open a Fixed Deposit account with RBL Bank?
Resident individuals and HUFs are eligible to open an RBL FD account.
Is premature withdrawal allowed on RBL FD?
Yes, it’s allowed. However, as per the terms and conditions of the bank, the penalty for premature withdrawal closure of RBL FD is along with a lower interest rate of 1% than the actual contracted rate. On premature withdrawal of the deposit, interest will be calculated at the rate applicable for the period for which the deposit has actually remained with the bank.