State Bank of India (SBI) offers Flexi Deposit Scheme for customers. This product is similar to recurring deposit (RD) but instead of a single fixed instalment every month, user can decide to vary his/her instalment amount and even the number of monthly within the annual sum defined, as mentioned on the official website of SBI- sbi.co.in. The minimum instalment amount is Rs. 500. For a financial year, the minimum deposit amount is Rs. 5,000 and maximum deposit amount is Rs. 50,000.
10 things to know about SBI’s Flexi Deposit Scheme:
- The minimum tenor is 5 years and maximum is 7 years.
- The rate of interest is same as applicable to term deposits. Quarterly compound interest is also applicable. (Also read: SBI Recurring Deposit Account: Interest Rate, Features, Conditions And Other Details)
- Premature withdrawal is also allowed. The rate applicable in case of premature withdrawal shall be 0.50% below the rate applicable for the period the deposit has remained with the bank, said SBI.
- Tax deducted at source is also applicable, stated SBI. (Also read: SBI Loyalty Car Loan Scheme: Things You Should Know Before You Apply)
- According to country’s largest lender, Rs. 50 penalty charge is charged for non-deposit of monthly instalments.
- Loan and nomination facilities are also applicable.
- Minimum instalment in a year is priced at Rs. 500 to continue the account. (Also read: SBI ATM-Cum-Debit Card: SBI’s Safety Message To Customers, Withdrawal Limit, Other Details)
- Deposits can be made anytime during a month and any number of times.
- The minimum tenure is 5 years and maximum is 7 years.
- Passbook is also available for this, informed SBI on it’s official website.
Source by ndtv