IND Flexi Recurring Deposit – NRE/NRO
IND Flexi Recurring Deposit – NRE/NRO
IND Flexi Recurring Deposit – NRE / NRO is a Recurring Deposit product where the depositor is able to vary the instalment according to his/her convenience. IND Flexi Recurring Deposit is available in both NRE and NRO categories. It provides NR customer with all the benefits of RD plus the option to vary the instalments. The specific features of the product are as below.
| Core Deposit | The instalment amount initially chosen by the Depositor at the time of opening the account is called the ‘Core Deposit’. The subsequent instalments cannot be less than this Core deposit amount. |
| Minimum and maximum | Minimum Core Deposit is Rs. 1,000 (One thousand Rupees)
Maximum Core Deposit is Rs.1,00,000 (One lakh Rupees) |
| Eligible Persons | NRIs, PIOs/OCIs who are eligible for Non-resident accounts. It is mandatory that the customer should have NRE SB/CA account for opening IND Flexi RD NRE. Similarly, he / she should have NRO SB for opening IND Flexi RD NRO. |
| Instalments | · Flexible deposit option
· Installment can be paid on any date of the month. · The customer has the option to vary his instalments on the following conditions: a. The instalment should be in multiples of Rs.1000/- subject to a minimum of the initial Core Deposit b. Maximum of 10 times the initial Core Deposit in a calendar month, subject to a maximum of Rs.10,00,000/- c. Monthly instalment of at least the minimum of Core Deposit amount is mandatory. E.g. if a customer has chosen an initial Core Deposit of Rs. 2,000/-, he can vary it in multiples of Rs.1000/-, say from Rs. 3,000/, up to a maximum of Rs. 20,000/- (10 times) in a month. In an account opened with Rs. 10,000/- as Core Deposit amount, he can remit between Rs. 10,000/- & Rs. 1,00,000/-, in multiples of Rs. 1,000/-, but he cannot remit Rs.9,000/- or less in that account. |
| Rate of Interest | The NR Term Deposit rate of the corresponding period/duration. |
| Payment of Interest | Interest will be calculated based on the lowest balance between 10th and last day of the month. |
| Penal Interest | Penalty will be levied for defaulted instalments on Core Deposit amount, as per the rate stipulated by the Bank on delayed RD instalments (Presently Rs. 0.50/100 per month) as revised from time to time. |
| Premature closure | Premature closure of the Deposit is permitted. Interest rate applicable in such case will be as in case of foreclosure of NR Term deposits.
NRE Deposits- Penalty on Pre closure For Deposits up to Rs.5 Lakhs (Paid up value at the time of pre closure): Ø No penalty to be levied for pre closure of deposits i.e. eligible interest rate will be the applicable card rate for the actual period run prevailing on the date of deposit.
For Deposits above Rs.5 Lakhs (Paid up value at the time of pre closure): Ø Eligible rate will be the applicable card rate for the actual period run prevailing on the date of deposit less 1.00% (penalty for fore closure charges). Ø Where the NRE deposit is closed before completion of the minimum period stipulated by RBI for Term deposits (twelve months presently), no interest is payable. In such cases, the 1% penalty is not applicable.
NRO Deposits – Penalty on Pre Closure For Deposits up to Rs. 5Lakhs (Paid up value at the time of pre closure):
Ø No penalty to be levied for pre closure of deposits i.e., eligible interest rate will be the applicable card rate for the actual period run prevailing on the date of deposit. However, if the deposit is closed before 181 days, the rate applicable for the completed period less 1% (penalty) will apply. For Deposits above Rs. 5 Lakhs (Paid up value at the time of pre closure): Ø Eligible rate will be the applicable card rate for the actual period run prevailing on the date of deposit less 1.00% (penalty for foreclosure). Ø If closed before 7 days, no interest will be paid. Hence the 1% penalty also will not apply. |
| Nomination | The facility of nomination is available. |
| Joint account | Joint Accounts permitted in the names of two or more NRIs, PIOs/ OCIs.
NRI can hold the account jointly with a resident relative on ‘Former or Survivor’ basis. |
| Period | Accounts can be opened for periods from 12 months to a maximum of 3 years (36 months) |
| TDS | As per rules in force. Currently NIL for NRE Deposits. TDS will be applicable for NRO Deposits. |
( Last modified on May 14, 2025 at 04:05:35 PM )
