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A Recurring Deposit or cumulative deposit account is a variation of Savings Bank account. It is an account intended to develop habits of savings on regular basis by the depositor with limited means. In this account type the depositor commits to deposit a fixed amount for a fixed period of time (for example Rs 100 every month for 12 months) and gets a lump-sum amount at the end of such period. The depositor does not get any interest in the intervening period. The terms i.e. fixed amount, interval and fixed time period that is decided at the time of opening the deposit can not be altered. |
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| Eligibility | All types of customers. | ||
| Minimum Amount | Amount: Rs 10 and in multiples of Rs 5 thereof. | ||
| Maturity Period | 12, 24, 36, 48,60,72,84,96,108 and 120 months | ||
| Payment of Installment | The installment of any calendar month shall be paid on or before the last working day of that month Standing instructions are accepted for transfer of monthly installment from the depositor's SB or Current Account The depositor can pay any number of installments in advance. |
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