Oriental Bank of Commerce Recurring Deposit Interest Rates
Oriental Bank of Commerce 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 each month with your bank for a fixed period of time, and on maturity the bank transfers the invested amount along with the interest earned.
An RD 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. It is ideal for those who earn a regular income and need to save for specific goals. You can utilize the maturity value for payment of educational fees for children, down payment for your favorite car, taking a luxurious vacation, etc.
Advantages to opening an RD account:
- Interest Rate earned is generally equal to that of an FD
- Safe and secure form of investment, free from fluctuations and volatility
- Ideal for people who cannot deposit a large initial lump sum, but want to deposit / save 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
- Loan / overdraft facility available with some banks.
Oriental Bank Recurring Deposit
An RD in Oriental Bank of Commerce 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 an Oriental Bank of Commerce recurring deposit scheme either by a Standing Order, ECS mandate or by regular direct remittance.
Key Features of Oriental Bank of Commerce 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 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;
Types of Recurring Deposits Offered by Oriental Bank of Commerce:
Regular Recurring Deposit:
- Minimum Opening Balance for Oriental Bank of Commerce RD account: Rs. 10 and in multiples thereof
- Period of RD: 6 months to 120 months
- Interest is compounded quarterly, payable up on maturity
- Preferential interest rate for senior citizens
- TDS on Interest is applicable
- Loan facility up to 95% of the deposit and accrued interest is available
OBC Aadhar Recurring Deposit Scheme
- Variable Progressive Deposit Scheme
- Core Monthly Installment: Rs.10 & Multiples thereof
- Ceiling amount: Rs. 50000 p.m.
- Amount of monthly Installment may vary subject to 5 times of the core amount or
- Rs. 50000 whichever is less
- Those who have opted for SI facility can deposit two times in a month
- Tenure of Deposit: 1 Year to 10 Years
- Loan Facility up to 95% of Accrued Value available
- Preferential rate of interest for senior citizens
- TDS Applicable
- Lump sum payment of maturity.
Oriental Bank Recurring Deposit Interest Rates
Oriental Bank of Commerce RD interest rates are similar to rates offered for FD accounts. You can get the best rates for an Oriental Bank of Commerce Recurring Deposit by investing in any of its RD schemes. Following is an overview of Oriental Bank of Commerce RD interest rates including Oriental Bank of Commerce Short-Term RD Interest Rates. For the latest and accurate RD interest rates in Oriental Bank, it is advisable to check with the bank directly.
Oriental Bank of Commerce 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.
Oriental Bank of Commerce 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.
Oriental Bank of Commerce Recurring Deposit Calculator:
You can make use of the OBC Interest Calculator to compute the interest and the maturity earned on your invested amount. Using the RD Calculator is easy and helps you arrive at a monthly installment amount depending on your financial goal. You can find out how much you need to save by using such a calculator. You can try various amount and opt for the one that helps achieve your financial goal and suits your budget.
Oriental Bank of Commerce RD FAQs
What is the eligibility criteria to open an RD account with OBC?
Following are eligible to open an RD with OBC:
Individuals, singly or jointly, 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, HUFs, proprietorship/partnership firm, commercial organization, company / corporate body, clubs, society, trust or religious/charitable educational institutions, etc.
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 recurring deposit?
You can download the Account Opening Form online from the OBC website or obtain it from your nearest branch, fill it up and deposit the same with the branch of your choice along with the requisite documentation.
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