Features of Indian Overseas Bank Recurring Deposit
1. Initial Investment: The minimum monthly installment is â‚ą50 and subsequent payments are in multiples of 5.
2. Limit: The maximum monthly installment amount has no upper limit.
3. Tenure: The term can be as short as six months (and then in increments of three months) or as long as ten years.
4. TDS Deduction: Yes, under the Income Tax Act of 1961, the interest generated on the RD account is taxable. If the total predicted interest exceeds â‚ą1000 in a fiscal year, TDS is deducted, i.e. 10% if the PAN information is given and 20% if PAN details are not given.
5. Set-Up Standing Instructions: Paying the monthly payments (for RD) is as simple as with a one-time standing instruction from your Indian Overseas Bank Savings Account.
6. Premature Withdrawals: Premature withdrawals from an Indian Overseas Bank RD are permitted. However, the bank doesn’t allow partial withdrawals.
7. Overdraft Facility: It offers Loan/Overdraft facility up to 95% of the deposit amount
Indian Overseas Bank (IOB) RD Interest Rates 2024
A recurring deposit plan from Indian Overseas Bank enables salaried or rural savers to make small investments and earn returns. With the help of this strategy, one can achieve financial objectives like getting married or sending their kids to college. The period of the investment and the number of installments are of the depositor’s choice. Additionally, lending facilities are provided by Indian Overseas Bank against recurring deposits.
Indian Overseas Bank is a major public sector bank that was nationalized by the Indian government in 1969. It has a significant presence, with 3,220 domestic branches, 4 overseas branches, a representative office, and two digital banking units. The bank offers a variety of financial goods and services, including recurring deposits. With Indian Overseas Bank’s RD interest rates, investing in recurring deposits is both profitable and safe.
Table of Content
- Indian Overseas Bank RD Interest Rates 2024
- Features of Indian Overseas Bank Recurring Deposit
- How to Open an RD Account in an Indian Overseas Bank?
- How to Calculate RD Interest Rates in Indian Overseas Bank?
- Eligibility Criteria to Start RD Account with Indian Overseas Bank
- Documents Required for Starting an RD Account
- Types of Indian Overseas Bank RD Accounts
- Indian Overseas Bank RD Premature Withdrawal Rules
- Indian Overseas Bank RD Penalty
- Frequently Asked Questions (FAQs)