Customers can now open Fixed Deposit accounts with PayTM Payments Bank. By contributing an initial amount of 100, one can start a Paytm Payments Bank FD account. Paytm Payments Bank Limited (PPBL) has partnered with IndusInd Bank to provide customers with the option of opening an FD account online. Customers who want to break their FD prematurely will not be penalised by PPBL. According to Paytm Bank's website, as per RBI licensing and operating regulations for Payments Banks, a customer's overall balance at the end of the day should not surpass Rs 2 Lakh. Let's know about the features of the scheme below:
Features of Paytm Payments Bank’s fixed deposit
- The maturity period of 356 days will be applied while booking FDs.
- An interest rate of 6% will be provided upon maturity.
- An auto-renewal option on maturity will also be provided.
- You can redeem your FD at any time, and the principal amount plus interest, minus any Tax Deduction at Source (TDS), will be paid to your account instantly.
- No interest will be paid if your FD is closed prematurely before the minimum period of 7 days has elapsed.
- On maturity, the Fixed Deposit will be automatically renewed.
- If you redeem your fixed deposit before it matures, you won't be penalised.
- TDS will be withheld from interest payables, if applicable, according to Income Tax rules.
- Non-furnishing of PAN would result in higher TDS deduction.
- In the scenario of renewed deposits, the new deposit amount consists of the initial deposit amount including interest minus any Tax Deducted at Source (TDS).
- If the customer has been or will become a senior citizen on renewal day, Paytm Bank shall automatically renew the FD both principal including interest on the senior citizen scheme rather than the scheme under which it was previously registered.
Key details of Paytm Payments Bank’s fixed deposit
|Maturity Period||356 days|
|Interest on Maturity||6%|
|Charges when redeemed before maturity||Zero charges (No penalty)|
|FD details||Available in passbook|
Fixed deposit interest rates of Paytm Payments Bank
The interest income is determined using the IndusInd bank's fixed deposit rate in effect at the time the FD was opened.
|Tenure||Regular FD Rates in %||Senior Citizen FD Rates in %|
|7 days to 14 days||2.75||3.25|
|15 days to 30 days||2.75||3.25|
|31 days to 45 days||3.00||3.50|
|46 days to 60 days||3.50||4.00|
|61 days to 90 days||3.75||4.25|
|91 days to 120 days||4.00||4.50|
|121 days to 180 days||4.50||5.00|
|181 days to 210 days||5.00||5.50|
|211 days to 269 days||5.25||5.75|
|270 days or 354 days||5.50||6.00|
|355 days or 364 days||5.50||6.00|
|1 Year to below 1 Year 6 Months||6.00||6.50|
|Source: IndusInd Bank|