Lakshmi Vilas Recurring Deposit Interest Rates
Lakshmi Vilas Bank 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.
Lakshmi Vilas Recurring Deposit
An RD in Lakshmi Vilas Bank 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 Lakshmi Vilas Bank recurring deposit scheme either by a Standing Order, ECS mandate or by regular direct remittance.
Key Features of Lakshmi Vilas Bank RD Account
An RD with Lakshmi Vilas Banks is ideal for Tax planning, Annual payment commitments like Insurance premium, long-term requirements like purchase of consumer articles/ durables, house construction, children's education etc. Following are the salient features:
- 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.
- Allows you to save a lump sum by making smaller periodic investments.
- 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.
- Is a safe, low-risk form of investment.
- Quick liquidity options and access to your funds when you need it at nominal penalty charges.
Types of Recurring Deposits Offered by Lakshmi Vilas Bank:
Regular Recurring Deposit:
- Minimum Opening Balance for Lakshmi Vilas Bank RD account: Rs. 100 and in multiples thereof
- No ceiling for the maximum deposit amount.
- Period of RD: 6 months to 120 months
- Monthly installments will be repaid on maturity along with the accrued interest.
- TDS on Interest is applicable
- Nomination facility available
- Premature Closure of RD Allowed
- Loan / Overdraft against deposit is available
- Individual Deposit/ Joint Deposit / Deposit in the name of Minors can be made.
Lakshmi Vilas Recurring Deposit Interest Rates
Lakshmi Vilas Bank RD interest rates are similar to rates offered for FD accounts. You can get the best rates for a Lakshmi Vilas Bank Recurring Deposit by investing in any of its RD schemes. Following is an overview of Lakshmi Vilas Bank RD interest rates including Lakshmi Vilas Bank Short-Term RD Interest Rates. For the latest and accurate RD interest rates in Lakshmi Vilas, it is advisable to check with the bank directly.
Lakshmi Vilas Bank recurring deposit interest rates 2015 – 2016
The current RD Interest rate ranges from 4% 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.
Lakshmi Vilas Bank Senior Citizen RD Interest Rates
Senior citizen interest rate benefit is not applicable for NRO deposit and Recurring Deposits. For the latest revised or updated interest rates, it is advisable to contact the bank directly.
Lakshmi Vilas Bank Recurring Deposit Calculator:
You can make use of any trusty online RD Calculator to compute the interest and the maturity earned on your invested amount. Using an RD Calculator is easy— you need to enter the instalment amount you want to invest monthly, the duration, the interest rate, method of compounding (monthly, quarterly, half-yearly or annually) and the calculator will provide the maturity amount that you get at the time of maturity of the Recurring Deposit. Using an RD calculator helps you find out how much you need to save. You can try various amount and opt for the one that helps achieve your financial goal and suits your budget.
Lakshmi Vilas Bank RD FAQs
What is the eligibility criteria to open an RD account with LVB?
Following are eligible to open an RD with LVB:
- Individual (singly or jointly) with others.
- Minor who have attained the age of 10 years and above in his/her own name (proof of age required)
- Minors below the age of 10 years under guardianship of Natural/legal guardian.
- Proprietorship/Partnership Firm, Commercial Organization, Company / Corporate Body
- Hindu Undivided Family
- Association, Club, Society, Trust or Religious/Charitable Educational Institutions,
- Municipality or Panchayat, Government or Quasi-Government body.
- Illiterate and blind persons can also open accounts.
What is the minimum and maximum amount required to open an RD with Lakshmi Vilas Bank?
The minimum opening balance for a regular recurring deposit with Lakshmi Vilas Bank is Rs. 100. There is no ceiling on the maximum amount.
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