Bank of Maharashtra Recurring Deposit Interest Rates

Bank of Maharashtra Recurring Deposit

Bank of Maharashtra Recurring Deposit

A Recurring Deposit (RD) is a safe and convenient way of saving money while also earning interest on it. An RD allows you to deposit a fixed amount on a regular basis with your bank, and it is similar to a Fixed Deposit (FD) in that you enjoy a higher rate of interest than a savings account for the same principal amount.

The main difference between an FD and an RD is that a recurring deposit allows you to make ongoing periodic investments in the deposit, whereas in a fixed deposit, you need to deposit the entire lump amount at the time you open the FD account.

Advantages to opening an RD account:

  • Interest Rate earned is generally equal to that of an FD
  • Safe and secure form of investment
  • Secure from fluctuations and volatility
  • Ideal for people who cannot deposit a large initial lump sum, but want to deposit small amounts on a regular basis
  • Can be opened with small minimum amount.
  • Lump sum received at maturity, including the interest
  • The rate of interest is higher as compared to an ordinary saving bank account
  • Flexible tenures to suit the budget of the individual
  • Recurring Deposit Interest rate is fixed so you are assured of a fixed return
  • Loan / overdraft facility available with some banks.

Bank of Maharashtra Recurring Deposit

An RD in Bank of Maharashtra instills a habit of regular savings, where in you can invest a fixed amount every month for a fixed number of months. You can make these installments to a Bank of Maharashtra recurring deposit scheme either by a Standing Order, ECS mandate or by regular direct remittance.

Key Features of Bank of Maharashtra RD Account

  • Ideal for Doctors, Engineers, Businessmen, students, household women etc.
  • Allows you to safely deposit small amount of money on a regular basis rather than a bulky one-time payment at opening of the RD.
  • Ideal for people with a regular, steady income who may not be able to spare enough money for the minimum amount to open an FD.
  • Flexible tenure – you can choose tenures which can range from a few months to several years depending on your financial goal
  • Attractive interest rates: Offers a higher rate of interest than a savings bank account—similar to an FD—but with a smaller ongoing investment.
  • Is a safe, low-risk form of investment.
  • Quick liquidity options and access to your funds when you need it; nominal penal charges apply.

Types of Recurring Deposits Offered by Bank of Maharashtra:

Regular Recurring Deposit:

  • Minimum Opening Balance for Bank of Maharashtra RD account: Rs. 50 and in multiples of Rs. 10 thereof
  • Period of RD: Minimum of 6 months to maximum of 120 months
  • Preferential interest rate for senior citizens as decided by the bank from time to time
  • Penalty for late payment of monthly instalments.
  • Nomination facility available
  • Premature Closure of RD Allowed
  • No TDS.
  • Loan facility available up to 90% of deposit amount.
  • RD Account can be transferred from one branch to another branch.

Mahabank Swarna RD Scheme:

  • A Gold Coin - Recurring Deposit Scheme for purchase of 2 gm, 5 gm, 8gm & 10 gm of Gold Coin through maturity proceeds.
  • All individuals either singly or jointly, Firms, Clubs, Associations and Corporate Bodies etc. can apply subject to compliance with KYC norms.
  • Monthly Installment: Minimum Rs.600 per month (for 2gm), Rs.1500 per month (for 5gm) & Rs. 3000 per month (for 10gm) without any maximum limit
  • Tenure: 12 months with no premature payment.
  • Installment for any calendar month must be paid on or before the last working day of that month
  • Rate of Interest: 9.10 % per annum for normal citizens. Senior citizens enjoy preferential rates of 9.85% per annum subject to variation in the ROI from time to time as per RD scheme.
  • On the date of maturity, the depositors will get Mahabank gold coins worth the maturity value after adjusting the cost of gold coins on the date of delivery of Gold Coin plus applicable taxes.
  • The balance, if any, will be paid to the depositor.
  • In case of shortfall, the amount will be recovered from customers' account.
  • The depositor also has an option to receive entire maturity value without buying Gold Coin.
  • No TDS applicable.

Bank of Maharashtra Recurring Deposit Interest Rates

Bank of Maharashtra RD interest rates are similar to rates offered for FD accounts. You can get the best rates for a Bank of Maharashtra Recurring Deposit by investing in any of its RD schemes. Following is an overview of Bank of Maharashtra RD interest rates including Bank of Maharashtra Short-Term RD Interest Rates. For the latest and accurate RD interest rates in Bank of Maharashtra, it is advisable to check with the bank directly.

Bank of Maharashtra recurring deposit interest rates 2015 – 2016

The current RD Interest rate ranges from 6% to 7% for normal Indian residents including minors and HUF. It is advisable to contact the bank directly for the revised and up to date interest rates as they fluctuate on a regular basis.

Bank of Maharashtra Senior Citizen RD Interest Rates

Senior citizens enjoy preferential rates, i.e., 0.50% more on the interest rate as applicable for normal customers. For the latest revised or updated interest rates, it is advisable to contact the bank directly.

Bank of Maharashtra RD FAQs

What is the eligibility criteria to open an RD account with Bank of Maharashtra?

An Individual, firm, minors, partners, clubs, societies, company, etc. can open recurring deposit account with Bank of Maharashtra.

What is the minimum amount required to open an RD with Bank of Maharashtra?

The minimum opening balance for a regular recurring deposit with Bank of Maharashtra is Rs. 50 and in multiples of Rs. 10 thereof.

What is the minimum deposit period?

The minimum deposit tenure is 6 months and can go up to as high as 120 months.

How do I apply for a regular recurring deposit?

If you are a new customer, you can start with opening a savings account, which can be linked with an RD account.

Alternately, you can visit your nearest branch and submit the Deposit Account form.

What is the documentation required to open an RD account?

You will require the following documents:

  • Filled-in application form
  • Passport size photograph
  • Proof of residence, PAN Card, ID Proof
  • Any other KYC documents as required by the bank