IndusInd Recurring Deposit Interest Rates

IndusInd Recurring Deposit Interest Rates

IndusInd Bank Recurring Deposit

A Recurring Deposit (RD) is a form of a term deposit which allows you to deposit a fixed amount on a regular basis with your bank, and earn interest income on it. It is similar to a Fixed Deposit (FD) where 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:

  • Ideal for people who cannot deposit a large initial lump sum, but want to deposit small amounts on a regular basis.
  • An RD account can be opened with small minimum amount.
  • Lump sum received at maturity, similar to an FD
  • The rate of interest is higher as compared to an ordinary saving bank account
  • Interest Rate earned is generally equal to that of an FD
  • 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.

IndusInd Recurring Deposit

An RD in IndusInd 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 fixed monthly installments to an IndusInd bank recurring deposit scheme either by a Standing Order, ECS mandate or by regular direct remittance.

Features of IndusInd RD Account

  • 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.
  • 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.
  • Secure from fluctuations.

Disadvantages:

The interest earned might be lower than other, riskier, forms of investment, say investing in mutual funds, etc. But the money is safe and secure from market fluctuations.

Types of Recurring Deposits Offered by IndusInd Bank:

Regular Recurring Deposit:

  • Minimum Opening Balance for IndusInd RD account: Rs. 500
  • Preferential interest rate for senior citizens
  • TDS on Interest is applicable
  • Deposit period: 12 months to 120 months
  • Nomination facility: Available
  • Premature Closure of RD Allowed

Young Saver Deposit:

  • Savings Bank Account linked with Flexi Recurring Deposit for minors.
  • Opened and operated by the guardian for the minor.
  • Balance in Savings Bank account will be transferred to a Flexi Recurring Deposit on the last day of every month, leaving Rs.100 in the minor’s account.
  • Minimum Opening Balance required: Rs. 11
  • Normal Interest Rate as applicable to term deposits in the case of Recurring Deposit
  • TDS in Interest applicable as per current Income Tax regulations
  • Deposit Tenure: 6 months to 120 months
  • Nomination facility: Available
  • Premature Closure of RD Allowed

Value-added Recurring Deposit – Holiday Saving Plan:

  • Collaboration between IndusInd bank and Thomas Cook to offer a savings plan for holiday goers.
  • Allows individuals to save a small amount of their income on a monthly basis to avail a vacation package to specified domestic/international destinations.
  • Flexibility to choose and book the type of holiday (domestic/international) and the holiday destination being offered by Thomas Cook
  • After the tenure of 12 months is over, the preferred holiday can be scheduled.
  • The value of monthly installment of RD is determined basis the cost of the package.
  • At the end of the RD period, the maturity amount will be paid to Thomas Cook for implementation of the holiday package.

IndusInd Recurring Deposit Interest Rates

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

IndusInd bank recurring deposit interest rates 2015 – 2016

Tenure
Interest Rate p.a. (%)
12 Months 7.15 %
15 Months 7.15 %
18 Months 7.15 %
21 Months 7.15 %
24 Months 7.15 %
27 Months 7.15 %
30 Months 7.00 %
33 Months 7.00 %
3 years - less than 5years 7.00 %
5 years - 10years 7.00 %

IndusInd Bank Senior Citizen RD Interest Rates

Tenure
Senior Citizen Rates p.a. (%)
12 Months 7.65 %
15 Months 7.65 %
18 Months 7.65 %
21 Months 7.65 %
24 Months 7.65 %
27 Months 7.65 %
30 Months 7.50 %
33 Months 7.50 %
3 years - less than 5years 7.50 %
5 years - 10years 7.50 %

IndusInd Bank RD FAQs

What is the minimum amount required to open an RD with IndusInd?

The minimum opening balance for a regular recurring deposit with IndusInd bank is Rs. 500.

What is the minimum and maximum deposit period?

The minimum deposit tenure is 12 months and the maximum period is 120 months.

How do I apply for a regular recurring deposit?

You can open a Regular Recurring Deposit online. You can visit the IndusInd website and apply through their site. Simply fill in your details in the online form and submit it. A bank representative will get in touch with you to process your request further.

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
  • Introduction letter from an existing customer of IndusInd Bank ( if required)
  • Any other KYC documents as required by the bank