Recurring Deposit Interest
- IWish Flexible Recurring Deposit: Interest Rates, Tax Benefits & Advantages. IWish Flexible Recurring Deposit: Check out the benefits, features, and advantages of the iWish flexible RD account from ICICI. It offers you all the benefits of a regular RD account with added flexibility, helping you.
- Recurring Deposit Interest Rates for 1 Year (as on 02 Mar 2021) The highest interest rate is offered by North East Small Finance Bank Limited (for 12 months) at 7.5% and Utkarsh Small Finance Bank (for 12 months) at 7.25% followed by Suryoday Small Finance Bank (for 12 months) at 7.25%.
- Recurring Deposit Interest Calculator
- Best Recurring Deposit Interest Rates
- Recurring Deposit India
- Recurring Deposit Interest Formula
- Recurring Deposit Interest Rates 2020
More Calculators:
A recurring deposit is a type of term deposit offered by banks / financial institutes which assist people with regular incomes to deposit a fixed amount every month into their RD account and earn interest at the rate applicable.
Recurring deposits: Consider the advantages and benefits. Recurring deposits are as old as savings for the banking customer. Before the country was taken over by systematic investment plans (SIP) of mutual funds, a recurring deposit was the most popular way of saving money regularly for a guaranteed interest rate.
Recurring deposit (RD) allows customers an opportunity to build their savings via regular monthly deposits of a fixed sum over a fixed period of time.
Recurring deposit matures on a specific date in the future along with all the deposits made every month
It is similar to a fixed deposit of a certain amount in month-to-month installments.
The minimum tenure of this deposit is six months and maximum is ten years.
Compound interest is added to recurring deposit at the end of every financial quarter.
Rate of interest of 5% to 7.25% is offered on RD by various financial institutions.
M =R[{(1+i)^n} – 1] ÷ 1-{(1+i)^(-1/3)}
M = Maturity value of the RD
R = Monthly RD installment to be paid
Recurring Deposit Interest Calculator
n = Number of months (tenure)
i = Rate of Interest / 400
Let’s consider an example to understand this better,
You invest a principal amount of 500 for a period of 60 months at an interest rate of 6% and it is compounded quarterly.
M =R[{(1+i)^(n/3)} – 1] ÷ 1-{(1+i)^(-1/3)}
M =500[{(1+(6/400))^(60/3)} – 1] ÷ 1-{(1+(6/400))^(-1/3)}
M =500[{(1+(0.015))^(20)} – 1] ÷ 1-{(1+0.015)^(-1/3)}
M =500[{(1.015)^(20)} – 1] ÷ 1-{(1+0.015)^(-1/3)}
M= 35,031.78
Maturity amount in this case at the end of 30 months will be 35,031.78.
Banks / Financial companies | Normal Interest Rates | Senior Citizen Interest | ||
less than 5 Years | More than 5 Years | less than 5 Years | More than 5 Years | |
State Bank of India | 5.30% | 5.80% | 5.40% | 6.20% |
AXIS Bank | 5.50% | 6.00% | 5.50% | 6.00% |
ICICI Bank | 5.35% | 5.85% | 5.50% | 6.30% |
HDFC Bank | 5.35% | 5.85% | 5.50% | 6.00% |
Union Bank of India | 5.45% | 5.95% | 5.45% | 5.95% |
IDBI Bank | 5.30% | 5.90% | 5.30% | 5.90% |
Kotak Mahindra Bank | 4.90% | 4.50% | 5.40% | 5.00% |
Yes Bank | 7.00% | 6.75% | 7.75% | 7.25% |
Federal Bank | 5.35% | 5.50% | 5.85% | 6.00% |
IndusInd Bank | 6.75% | 6.65% | 7.25% | 7.15% |
Punjab National Bank | 5.30% | 5.30% | 6.05% | 6.05% |
Bank of Baroda | 5.30% | 5.30% | 5.80% | 6.30% |
Bank of Maharashtra | 5.00% | 5.00% | 5.50% | 5.50% |
Indian Overseas Bank | 5.45% | 5.45% | 5.95% | 5.95% |
IDFC Bank | 6.75% | 6.25% | 7.25% | 6.75% |
Note: Please refer to the respective bank websites and confirm the interest rates before investing. The above chart is updated in August 2020.
High Interest rates.
Useful for short term goals.
A Flexible amount can be invested.
Loan on Recurring deposit
Penalty / Charges vary from bank to bank. However, it is observed that maximum of 2% of agreed upon interest rate is charged on premature withdrawing.
Please refer the below links for detailed chart on interest rates:
SBI – https://www.sbi.co.in/web/personal-banking/investments-deposits/deposits/recurring-deposit
Axis – https://www.axisbank.com/retail/calculators/recurring-deposit-calculator
Best Recurring Deposit Interest Rates
ICICI – https://www.icicibank.com/Personal-Banking/account-deposit/recurring-deposits/index.page
Recurring Deposit India
HDFC – https://www.hdfcbank.com/personal/resources/rates
Union Bank – https://www.unionbankofindia.co.in/english/personal-recurring-deposit-scheme.aspx
IDBI Bank – https://www.idbibank.in/interest-rates.asp
Kotak Mahindra Bank – https://www.kotak.com/en/personal-banking/deposits/recurring-deposits/interest.html
Yes Bank – https://www.yesbank.in/personal-banking/yes-individual/deposits/recurring-deposit
Federal Bank – https://www.federalbank.co.in/deposit-rate
IndusInd Bank – https://www.indusind.com/in/en/personal/rates.html
Punjab National Bank – https://www.pnbindia.in/Interest-Rates-Deposit.html
Bank of baroda – https://www.bankofbaroda.in/interest-rates-charges.htm
Bank of Maharashtra – https://www.bankofmaharashtra.in/domestic_term_deposits
Recurring Deposit Interest Formula
Indian OverSeas Bank – https://www.iob.in/Domestic_Rates
Recurring Deposit Interest Rates 2020
IDFC Bank – https://www.idfcfirstbank.com/content/dam/IDFCFirstBank/Interest-Rates/Interest-Rate-Retail.pdf