IDBI Bank RD Interest Rates 2024
IDBI Bank provides attractive recurring deposit interest rates with a tenure ranging from 1 to 10 years. Established in 1964, IDBI, also known as the Industrial Development Bank of India, is a private sector full-service universal bank offering a diverse range of banking services.
Opening an RD account with IDBI requires a minimum deposit of just Rs. 100. Detailed interest rates are provided below.
Eligibility Criteria
Eligibility for IDBI Recurring Deposit Scheme:
- To initiate an RD account, individuals must be Indian citizens or belong to Hindu Undivided Families (HUF).
- NRIs also have the option to avail of an IDBI RD account through NRO (Non-Resident Ordinary Account) and NRE (Non-Resident External Account) accounts.
- Minors can also have an RD account opened with IDBI, provided their parents oversee the financial matters under their guardianship.
Documents Required
Required 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
- Certificate/ID card issued by the post office
Types of ICICI Bank Recurring Deposit Schemes
1. Systematic Savings Plan (SSP):
The IDBI Systematic Savings Plan (SSP) facilitates flexible savings, allowing individuals to save at their convenience. Participants can initiate savings with a fixed amount ranging from INR 100 to less than INR 2 crore per month, tailored to meet predetermined 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):
The SSP Plus scheme offers systematic savings coupled with principal and interest protection, supplemented by complimentary insurance coverage and reward points.
- Duration: 3 to 10 years
- Minimum Deposit: Rs. 5000, with subsequent deposits in multiples of Rs. 100
- Maximum Deposit: Rs. 2 crores
- Personal Accident Insurance Cover Included
- Loan Facility Available
- No TDS deduction with submission of Form 15G or 15H
- Premature Closure Option Available
ICICI Bank RD Premature Withdrawal Facility
If the depositor opts to withdraw the deposited amount before the predetermined tenure, a small penalty will be imposed on the applicable interest rate corresponding to the chosen RD scheme. Additionally, IDBI does not offer a partial withdrawal facility.
Tax Exemptions on RBL RD
IDBI, along with all other recurring deposits, falls under the purview of taxation as per the Income Tax Act of 1961.
The funds invested in RD contribute to your yearly income, subjecting the earned interest to a 10% TDS (Tax Deducted at Source) deduction if it exceeds Rs.40,000 per annum (previously Rs.10,000 before FY 2019-20).
To exempt your RD profits from TDS, you have the option to submit either Form 15G or Form 15H.
How to Open a Recurring Deposit Account in RBL?
You can initiate the opening of an IDBI RD account either through offline means by visiting your nearest IDBI bank branch or online by accessing the bank's net banking portal if you are an existing account holder.
How to Calculate the Maturity Amount on RBL Bank RD?
The formula utilized to compute the sum obtained upon maturity is expressed as A = P(1+r/n) ^ nt, where:
‘A’ denotes the final amount received
‘P’ signifies the principal
‘r’ represents the annual interest rate
‘n’ indicates the number of times interest has been compounded
‘t’ denotes the tenure