Bank of Baroda (BOB) caters to the financial needs of consumers across India by offering bespoke products to fulfill individual demands. The bank has created the Monthly Income Plan, which is designed to help people supplement their monthly income while also encouraging them to save. The interest earned on the deposit serves as an additional source of income, allowing the individual to be prepared when there is an event of an emergency.
Mentioned below are the components of the BoB monthly income plan:
You can earn a fixed income on the amount that was deposited. Your earnings would depend on the deposit amount, and the higher the deposit, the greater would be the income. This way, you could use your idle money to generate a guaranteed income according to the tenure of the deposit.
You could also withdraw up to 95% of the outstanding balance in the FD whenever you want funds. So, you could arrange cash in case of an urgent need.
The bank could also auto-renew the Monthly Income plan for at least a year.
The Bank of Baroda monthly income plan interest rate is 0.5% higher for senior citizens. The higher interest rate provides the customer who is over the age of 60 - with a better income and also financial security.
When you fill out the 15G or 15H form, the bank will not deduct TDS on the monthly interest payment. If you are eligible for the tax deductions, then you also should not forget to submit form 15G or 15H in time to the Bank of Baroda - then you will get a certificate.
You need the following documents to open the BoB Monthly Income Plan:
The terms and conditions of premature withdrawal are:
Mentioned below are the advantages of investing in the BoB Monthly Income Plan:
Yes. This strategy, in addition to providing money security, gives liquidity comfort.
On general deposits, a 4% interest rate is imposed. On the savings deposit, senior folks will receive an additional 0.50% interest rate. On premature withdrawals of deposits, an interest rate of 1% less than the relevant rate will be determined.
As there are no procedures to deal with when it comes to overdrafts or withdrawals, a maximum of 95% of the balance can be removed.
For HUFs and minors in a single name, this option is not accessible. If the interest is not deposited over two quarters, a term deposit is allotted immediately.
Yes, unless otherwise noted, early withdrawals are normally permitted. The bank does not charge a penalty for premature payment deposits of up to Rs 5 lakh if the minimum term of 12 months has been met.