What is difference between RD and Flexi RD?
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What is difference between RD and Flexi RD?
Normal recurring deposit is a term deposit in which you need to make fixed monthly instalments for a certain period of time. Flexi RD, on the other hand, allows customers to choose the number of monthly instalments according to their convenience.
Which recurring deposit is best?
Best Recurring Deposit Scheme in India with Highest Interest Rates
- For 2-year tenure, one of the best highest interest rates are offered by Lakshmi Vilas Bank at 7.50\% p.a. and then by Yes Bank at 7.50\%.
- For 3-year and 4-year tenures, you earn the best RD interest rates with Lakshmi Vilas Bank at 7.50\% p.a.
Which is the best deposit scheme in SBI?
There is a competitive and higher interest rate on FD in SBI ranging from 2.90\% to 4.40\% per annum on the investment tenures between 7 days and 365 days, for the general category….FD Reinvestment Plan by SBI.
| Criteria | Specification |
|---|---|
| Scheme tenure | Minimum 6 months Maximum 10 years |
| Deposit (Minimum) | Rs.1,000/- |
What is SBI Flexi Deposit Scheme?
The Flexi Deposit Scheme offered by State Bank of India is a variant of a Recurring Deposit. Under the scheme, you can deposit money in variables rather than a fixed instalment. It can be opened for 5 years, and a maximum tenure of 7 years. The interest offered on this flexi deposit scheme is 5.40\% p.a.
Is recurring deposit flexible?
A Flexi Recurring Deposit offers convenience and complete flexibility to depositors, where lump sums can be invested as and when available. Every Flexi Recurring Deposit has to be opened with a core amount for a particular tenure. This amount changes depending on the bank where the RD is being held.
What happens if SBI RD installment is not paid?
i) Penalty in case of delay in payment of installment of RD of 5 years or less shall be Rs 1.50 for every Rs 100 per month. ii) Such penalty shall be Rs 2.00 for every Rs. 100 per month for the account on more than 5 years.
What is the interest rate of RD in SBI?
SBI Recurring Deposit Interest Rates 2021
| Tenure | Interest Rates (p.a.) for Public | Interest Rates (p.a.) for Senior Citizens |
|---|---|---|
| 1 year to less than 2 years | 5.00\% | 5.50\% |
| 2 years to less than 3 years | 5.10\% | 5.60\% |
| 3 years to less than 5 years | 5.30\% | 5.80\% |
| 5 years to 10 years | 5.40\% | 6.20\% |
Is SBI recurring deposit tax free?
Tax Benefits on SBI Recurring Deposit Recurring deposit accounts are subject to tax deducted at source (TDS). The TDS will be applied based on the Customer Information File (CIF) value, and the amount cannot be ascertained beforehand in the case of SBI Holiday Saving Account.
Is Recurring Deposit flexible?
Can I extend RD in SBI?
The SBI RD interest rates offered by the bank on deposit less than Rs. 2 crores is 5.00\% and 5.40\%….SBI RD Interest Rates 2021 (Below Rs. 2 Crore)
| Tenure | RD Rates for General Citizens | RD Rates Senior Citizen |
|---|---|---|
| 2 years – 2 years 364 days | 5.10\% | 5.60\% |
| 3 years – 4 years 364 days | 5.30\% | 5.80\% |
| 5 years – 10 years | 5.40\% | 6.20\% |
What is the difference between a fixed deposit and recurring deposit?
Both the fixed deposit and recurring deposit are risk-free investments. A fixed deposit will earn you more than a recurring deposit but some individuals also prefer a recurring deposit over a fixed deposit as they do not have enough money to invest at one go. Therefore, decide as per your affordability.
What is the difference between SIP and recurring deposit?
In a SIP, the investor has to set aside small amounts of money either monthly or quarterly rather than having to invest a lump amount. In a Recurring Deposit scheme, a person deposits a fixed amount every month for a predefined period of time.
What is the difference between core deposit and flexible deposit?
The interest rate for the core amount is as per applicable rates for the recurring deposit tenure, while the flexible portion carries an interest rate from the deposit date. The core amount has to be deposited on the pre-determined date or a penalty will be imposed by the bank.
What is the difference between recurring deposit and systematic investment plan?
In a Recurring deposit scheme, the investor has to deposit a fixed amount every month. Systematic Investment Plan is a way to put your money on mutual funds. Investment can be done on a periodic basis – daily, weekly, monthly or quarterly.