IDBI Bank's Recurring Deposit Rates: A Complete Overview

IDBI Bank provides appealing recurring deposit interest rates covering tenures from 1 to 10 years. Established in 1964, IDBI (Industrial Development Bank of India) operates as a private sector universal bank offering a comprehensive range of financial services.

To open an RD account with IDBI, a minimum deposit of Rs. 100 is required. The interest rates are detailed below.

Eligibility Criteria

Who Can Open an IDBI Recurring Deposit:

• Indian citizens or Hindu Undivided Families (HUF) can initiate an RD account.
• NRIs can use an NRO (Non-Resident Ordinary) or NRE (Non-Resident External) account to retain an IDBI RD.
• Minors may establish an RD account under parental guidance.

Documents Required

Necessary Documents for Opening an IDBI RD Account:

Identity Proof:

• Passport
• PAN card
• Voter ID card
• Driving License
• Government ID card
• Photo ration card
• Senior citizen ID card

Address Proof:

• Passport
• Telephone bill
• Electricity bill
• Bank statement with cheque
• Post office-issued certificate/ID

Types of ICICI Bank Recurring Deposit Schemes

1. Systematic Savings Plan (SSP):

IDBI's Systematic Savings Plan (SSP) facilitates flexible savings with a consistent amount beginning at INR 100, capping below INR 2 crores monthly, designed in alignment with financial objectives.

• Duration: 1 to 10 years
• Minimum Deposit: Rs. 100
• Maximum Deposit: Rs. 2 crores
• Nomination Facility Available

2. Systematic Savings Plan Plus (SSP Plus):

SSP Plus offers structured savings featuring security for principal and interest, alongside insurance coverage and reward points.

• Duration: 3 to 10 years
• Minimum Deposit: Rs. 5000, following multiples of Rs. 100
• Maximum Deposit: Rs. 2 crores
• Includes Personal Accident Insurance Cover
• Loan Facility Available
• No TDS with Form 15G/15H submission
• Premature Closure Option Available

ICICI Bank RD Premature Withdrawal Facility

Early withdrawal before the completion of the tenure may attract a minor penalty affecting the interest rate on the selected RD scheme. IDBI does not allow partial withdrawals.

Taxation on RBL RD

IDBI's recurring deposits are subject to taxation as per the Income Tax Act, 1961. Interest earnings are included in the annual income, with a 10% TDS applicable if the amount surpasses Rs. 40,000 yearly. Submitting Form 15G or 15H can exempt TDS.

Opening a Recurring Deposit Account in RBL

To initiate an IDBI RD account, visit an IDBI bank branch or proceed through online banking provided you maintain an existing account.

Calculating the Maturity Amount on RBL Bank RD

The formula to calculate the maturity amount is A = P(1+r/n) ^ nt, where:

• ‘A’ is the final amount
• ‘P’ is the principal amount
• ‘r’ indicates the annual interest rate
• ‘n’ signifies the compounding frequency
• ‘t’ represents the tenure period