Few Facts on 5-Year Post Office Recurring Deposit Account

Posted By:
Subscribe to GoodReturns
For Quick Alerts
ALLOW NOTIFICATIONS  
For Daily Alerts

    Post office recurring deposits account can be opened by any individual in either single or joint account. Minor's accounts can be opened through guardians. Click to know the difference between Recurring and Fixed deposits.

    Minimum amount to be deposited is Rs 10 and maximum amount should be in multiples of Rs.5/- Maturity period is 60 Months. Interest rates from 01.04.14 is 8.40% per annum.

    Few Facts on 5-Year Post Office Recurring Deposit Account
    1. If subsequent deposit is not made up to the prescribed day, a default fee is charged for each default, default fee @ 5 paisa for every 5 rupee shall be charged. 
    2. After 4 regular defaults, the account becomes discontinued and can be revived in two months but if the same is not revived within this period, no further deposit can be made
    3. In any RD account, there is monthly default(s) the depositor has to first pay the defaulted monthly deposit with default fee and then pay the current month deposit. This will be applicable for both CBS and non CBS Post offices.
    4. There is a rebate on advance deposit of at least 6 installments.
    5. Full maturity value allowed on R.D. Accounts restricted to that of INR. 50/- denomination in case of death of depositor subject to fulfilment of certain conditions.
    6. In case of deposits made in RD accounts by Cheque, date of credit of Cheque into Government accounts shall be treated as date of deposit.
    7. After maturity of the account, it can be continued for a further period of 5 years with or without further deposits.
    8. Part withdrawal facility available.
    9. Premature closure is allowed on completion of three years from the date of opening.
    GoodReturns.in

    Read more about: recurring deposit post office
    Story first published: Wednesday, January 28, 2015, 11:12 [IST]
    Company Search
    Enter the first few characters of the company's name or the NSE symbol or BSE code and click 'Go'

    Find IFSC

    We use cookies to ensure that we give you the best experience on our website. This includes cookies from third party social media websites and ad networks. Such third party cookies may track your use on Goodreturns sites for better rendering. Our partners use cookies to ensure we show you advertising that is relevant to you. If you continue without changing your settings, we'll assume that you are happy to receive all cookies on Goodreturns website. However, you can change your cookie settings at any time. Learn more