Recurring deposits are one of the best ways to save a small part of your money every month without burdening yourself. Bank of India Recurring Deposit interest rates can help you gain a substantial profit on your savings thus facilitating you to achieve the financial goals you have set.
Bank of India provides its customers with the facility of recurring deposits which can be opened in the names of individuals or even minors (under the guardianship of their parents), two or more people (joint accounts), illiterates and blind persons.
The minimum deposit amount needed to open an RD account in BOI is Rs. 100 in rural and semi-urban branches, whereas, in urban and metro branches, it is Rs. 500. Senior citizens can avail of an extra interest rate of 0.50% over the regular rates.
Bank of India RD Rates
The interest rates provided by the Bank of India can help you save your hard-earned money in a systematic way and earn a profit on it over a period of time. Let’s have a quick look at the competitive interest rates provided by the bank:
|Tenure||Regular interest rates (p.a.)||Senior Citizen interest Rates (p.a.)|
|6 months – 269 days||6.25%||6.75%|
|270 days – 364 days||6.25%||6.75%|
|1 year – 1 year 364 days||6.65%||7.15%|
|2 years – 2 years 364 days||6.70%||7.20%|
|3 years – 4 years 364 days||6.50%||7.00%|
|5 years – 7 years 364 days||6.50%||7.00%|
|8 years – 10 years||6.35%||6.85%|
BOI RD Interest Rates – Special Features
The minimum deposit amount needed to open an RD account in Bank of India is Rs. 500 (in urban and metro branches)
The tenure ranges from 6 months to 120 months (10 years)
Senior citizens are given the privilege of earning an extra 0.50% interest rates over the regular rates
The maximum interest rate offered by the bank to general citizens is 6.70% and 7.20% to senior citizens
The interest is compounded annually
TDS deductions are as per the existing rules at the time of opening the account
Bank of India provides nomination facility to any family member or spouse
Bank of India – Term-wise RD Interest Rates
BOI – Short Term RD Rates
One can open a short term RD in Bank of India.The tenure for the same usually ranges from 6 months to less than 2 years and the rate of interest offered ranges from 6.25% to 6.75%. The amount for which the mentioned rates offered by the bank starts from Rs. 2 crores to Rs. 10 crores.
Medium Term and Long Term Interest Rates By Bank of India
Medium-term RDs have their tenures ranging from 2 years to less than 5 years whereas the tenures for Bank of India long-term interest rates ranges from 5 years and above. The interest rates offered on medium-term recurring deposits is 6.50% to 6.70% p.a. while on long-term RDs, it is from 6.35%- 6.85% p.a.
Bank of India Senior Citizen RD Interest Rates
The tenure of the deposit must be more than 6 months in case of senior citizens
The applicant should be more than 60 years of age and must be the first account holder
In order to avail the additional rate of interest of 0.50%, the minimum deposit must be more than Rs. 100. However, the maximum amount one can deposit is Rs. 2 crores
NRE Recurring Deposit Interest Rates by Bank of India
Bank of India offers recurring deposit schemes to Non Residential Indians as well with its NRE recurring deposit scheme. The minimum tenure for this scheme is 1 year and goes up to 10 years. The interest rate for deposit less than Rs 2.crores ranges from 6.35% to 6.75% p.a. while interest for deposits more than Rs. 2 crores ranges from 6.35% to 6.70% p.a.
Bank of India RD Premature Withdrawal Rules
If the account is closed withing the first three months of opening, the bank will provide any interest and the principal amount will be refunded to the source. If the deposit amount is withdrawn before the maturity, a penalty is levied by the bank as per the norms and the accrued interest will be reduced for the last quarter as a result. Partial withdrawal of deposit is not allowed.
Bank of India RD Calculator
The RD maturity amount you get is the sum of all the below given parameters. Alternatively, one can also use Bank of India RD interest calculator to check the interest earned on their deposit.
Deposit Amount: The minimum deposit is the initial amount deposited by a customer in their account. The deposit amount for BOI RD starts from as low as 100 in rural and semi-urban branches and Rs. 500 in urban and metro branches.
BOI RD Interest Rates: Bank of India offers higher rate of interests on recurring deposits with longer tenure and lower interest rates for an account opened for a shorter period. The highest interest rate offered by the bank is 6.75% for deposit amount.
Deposit Tenure: As mentioned in the previous point, low interest rates are offered for short tenure RDs and vice-versa.
Penalty on Late Payments
Bank of India charges a penalty if the monthly payment is not made on time. The bank charges Rs. 1.50 for every Rs. 100 per month for deposits of 5 years and less and Rs. 2 for every Rs. 100 per month.