RD - Terms and Conditions
RD - Terms and Conditions
RD - Terms and Conditions
Definition
Interpretation
• All references to singular include plural and vice versa and the word
"includes" should be construed as "without limitation".
• Words importing any gender include the other gender.
• Reference to any statute, ordinance or other law includes all
regulations and other instruments and all consolidations, amendments, re-
enactments or replacements for the time being in force.
• All headings, bold typing and italics (if any) have been inserted for
convenience of reference only and do not define limit or affect the meaning
or interpretation of these terms.
Payment of Installment
Payment of instalment amount will be through standing instructions
from savings account or cash for the Bank Customer. For other Customers it
can be through cash or transfer from savings account from other
banks. Instalment for any calendar month must be paid on or before the last
fixed
date of that particular calendar month. The funds deposited on a date
following the non-payment of the Instalment for the previous month(s), shall
first be appropriated towards the un-paid Instalment.
Duration of Deposit
Deposit can be maintained for a minimum tenure of 6 months in multiples
of 3 months subject to a maximum of 10 years.
Payment of Interest on Recurring Deposit
The Bank may announce special rates for Senior Citizens and
Staff/Employee of the Bank
The Bank shall offer its employees an additional interest rate not exceeding
one per cent per annum over and above the card rate of interest subject to
following conditions:
Change of interest won’t have any effect on active deposits; they will
continue to follow agreed terms and conditions at the time of opening.
Interest will be calculated for the completed number of days that the
deposit is with the Bank.
The total interest chargeable to the depositor shall be recovered from the
total amount of interest payable by the Bank at the time of maturity.
Maturity Date
The deposit shall be due for repayment on the date falling on completion of
one calendar month from the date of payment of the last installment or on
completion of the tenure, whichever is later.
The TDS amount calculated on the accrued interest is remitted to the tax
authorities on behalf of the Customer by the Bank. The interest on the TDS
amount from April 1st till maturity of the deposit is adjusted from the interest
payable to the client.
As per provisions of Finance Act 2009, w.e.f April 01, 2010, valid PAN is
required to be submitted by all Customers whose tax needs to
be deducted. In the absence of a valid PAN, tax will be deducted at
the prevailing rate or 20% whichever is higher. Also, Form 15G/H shall not
be treated as valid unless PAN is mentioned in such forms.
In case the deposit holder does not want the Tax to be deducted at source,
they may submit Form 15G / 15H (other than company, firm or co-operative
society)/ Exemption Certificate under Section 197 (in case of all holders)/ or
any other Tax Exemption Certificate with the Bank. Such form or tax
exemption certificate has to be submitted every financial year for recurring
deposit held and on each renewal of the deposit.
The deposit may be transferred from one branch of the Bank from which it
has been issued, to any other branch of the Bank, on the deposit holder
making an application, at either of the two branches provided that no
deposit shall be transferred from the Bank to another scheduled bank.
Deposit accounts transferred to the new Bank branch will continue to
be governed by the terms of contract agreed to between the Customer and
the Bank branch that are being taken over.
Nomination
The single holder or the joint holders of the deposit may, by filing in
necessary particulars in the prescribed form at the time of making the
deposit, nominate any person who, in the event of death of the single or
both the joint holders as the case may be shall become entitled to
the deposit and the payment thereon.
If such nomination is not made at the time of making the deposit, it may be
made by the single holder, the joint holders or the surviving joint holder, as
the case may be, at any time after the deposit receipt is issued but before its
maturity, by means of an application in the prescribed form to the officer in
charge of the branch of the Bank from which the term deposit is issued.
In the absence of any nominee, the Bank may retain any and all funds in the
account until it establishes the identity and credentials of the successor to
the account holder to its satisfaction, which may include insisting on a
succession certificate/probate of a will or any other evidence as may
be required by the law for the time being in
force.
Closure of Accounts
An Account will normally be closed upon payment of all the stipulated
number of instalments. The deposit together with interest shall be paid to the
depositor(s) by crediting the sum to the depositor/s or in case of joint
depositors, the primary applicant’s savings Bank account with the Bank as
specified in the AOF.
Indemnity
The depositor undertakes to indemnify and keep indemnified the Bank from
and against all actions, demands, losses, actions, costs and expenses
whatsoever which the Bank may at any time incur, sustain or be put to as a
consequence of or by reason of or arising out of providing any service or due
to negligence/mistake on the part of the depositor or non-compliance by the
depositor of any of the terms and conditions mentioned herein or by
reason of the Bank in good faith taking or refusing to take action on any
instruction given by the depositor.
Other Terms
The deposit holder(s) shall intimate the Bank in writing of any change
in address and residential status of the depositor holder/s.
All taxes, duties, levies or other statutory dues and charges applicable in
connection with the benefits accruing as per the terms of these recurring
deposits will be recoverable from the Customer.
The deposits with the Bank are insured with Deposit Insurance and Credit
Guarantee Corporation (DICGC) and in case of liquidation of the
Bank; DICGC is liable to pay each depositor through the liquidator, the
amount of his deposit upto Rs. one lakh within two months from the date of
receipt of claim list from the liquidator.
Customer should carefully examine the entries made in the statement
of accounts/passbook and draw bank’s attention to
any errors/omissions/discrepancies that may be discovered within 30 days
from the date of the entries failing which the same shall be deemed to be
correct and accepted by the Customer and the Customer shall not be
entitled to question the correctness/accuracy thereof.
Change in Terms
The Bank reserves the right to revise the terms and conditions contained
herein and shall notify the Depositor/s of such revised terms and conditions
one month prior to its implementation. Such revised terms and conditions
shall then be binding on the Depositor/s.
Disclaimer
" The Bank may, at its sole discretion, utilizes the services of external
service provider/s or agent/s and on such terms as required or necessary, in
relation to its products/services."