Opening of Recurring Deposit Accounts:
1.
Any person approved by the Bank may open a Recurring Deposit Account upon
agreeing to Comply with the rules governing such accounts.
2. A
person intending to open Recurring Deposit Account must call at the Bank and
sign an Application for opening such an account and declare therein that he/she
has agreed to accept the Rules for the conduct of Recurring Deposit Account No.
entrance fee or any special charge for the Pass Book will be levied.
Who may open Recurring Deposit Account?
3. A
Recurring Deposit account may be opened:
a) By
a person in his own name or jointly with other persons payable to any one or
more of them or survivors. More than one account in the name of a person singly
or jointly may also be opened.
b) By
a natural guardian, i.e. father or mother on behalf of a minor, by guardian
appointed by Court. In such a case a declaration of the date of birth of the
minor will have be oe be furnished To the Bank at the time of opening the
account.
c)
Account as minors may be opened in their names singly provided he/she has
attained the Age of 10 years and can read and write.
D)
In the name of clubs, societies, associations, educational institutions, trust,
firm partnership provided they are register and joint stock companies.
e)
Amount of minimum monthly installment should be Rs. 50/-.
4.
The Bank will not open an account which is to be operated under a cross mark,
or signature by the Hand of another person.
5.
The number of installments would usually be 12, 24, 36, 39, 63, 72, 84, 96 and
120 though any Installment in multiple of 3 (Minimum 12, Maximum 120) may be
chosen. The interest rates on such deposit will be the same as applicable to
other terms deposits under reinvestment plan for the corresponding period.
6.
The installment is payable once every month. Every depositor shall pay, the
deposit amount for any Month on or before the last working day of the month,
failing in which a penalty will be charged on the arrear of installments @ 7.5 paisa
for every Rs. 5/- per month for Recurring Deposit accounts For less than 60
months and @ 10 paisa for every Rs. 5/- per month for accounts of 60 or More
months. A part of a month will be treated as full month and the amount will be
rounded to Higher 5 paisa, when necessary.
7.
All deposits by a local depositor should be accompanied by paying-in-slip which
will be Supplied free of charge.
8.
If the depositor wishes to close the Recurring Deposit account and withdraw the
deposit before the expiry of the period agreed upon, interest would be allowed.
9.
The period agreed upon when opening a Recurring Deposit account cannot be
altered subsequently.
10.
Recurring Deposit Accounts can be transferred from one branch of the bank to
another.
11.
Monthly installments will be accepted at one branch of the bank for remittance
at par for credit of the Recurring Deposit Account at another branch of the
Bank.
12.
Nomination facilities are available on Recurring Deposit Accounts.
13.
Simple loan may be granted on the security of Recurring Deposits up to a
maximum of 75% of the amount act credit in the Deposit account with a minimum
of Rs. 100/-.
14.
The application for a loan shall be made in the prescribed form, the Pass Books
should be sent to the Bank along with the application and the applicant shall
execute a promissory note in the prescribed form supplied by the Bank. The
Recurring Deposit Pass Book will be returned to the borrower after the loan is
adjusted.
15.
The loan of an account in joint names will be given on an application after
execution of documents by all the parties to the account, unless any
instruction to the contrary is being given at the time of opening the account.
16.
No further loan on the security of the same deposit account will be granted
while a previous loan is existing. But a new loan on the security of the same
account may be granted under the following conditions.
a)
The previous loan should be discharged by the new loan.
b)
Interest will be charged both for the balance of previous loan discharged and
for the amount of the new loan for the month in which the transaction takes
place, provided however, that when the amount of the new loan exceeds the
balance of the previous loan discharged by not less than Rs. 200/- no interest
will be levied for the balance of the previous loan discharged for that month.
17.
The Bank reserves to itself the right to refuse or close any account without
assigning any reason there for.
18.
The Bank reserve to itself the right to delete, add to or after these rules at
any time without giving a specific and separate notice to every account holder
and an announcement of the change in the rules pasted on the Notice Board in
the Bank or given in the press will be considered as sufficient notice.
19. Premature Repayment: If a Recurring
Deposit is required to be paid before maturity, interest payable will be one
per cent less than the interest applicable for the period for which the deposit
remained with the bank, interest as permissible shall be at simple rate.
Thanks!!!
“People
who have achieved great success are not necessarily more skillful or
intelligent than others. What separates them is their burning desire and thirst
for knowledge. The more one knows the more one achieves.”
~
Robin Sharma
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