RD Rates: This SFB Makes Interest Rate Revision & Now Offer Up To 6.5%

Published: Friday, March 25, 2022, 10:13 [IST]

A recurring deposit (RD) is a safe debt instrument that offers a flexible maturity period, deposit safety, fixed interest rates, and other benefits. The one thing that distinguishes RD from fixed deposits is that, unlike fixed deposits, which need a lump sum deposit, investments in RD can be made on a regular or monthly basis, putting the convenience of deposit in your hands. Deposits in RD can be begun with as little as Rs 1000, which is equal to mutual fund SIPs, making this investment product ideal for salaried folks. While we're on the subject of RDs, Equitas Small Finance Bank (SFB) has revised its interest rates on recurring deposits of less than Rs. 2 crores, effective March 21, 2022.

Equitas Small Finance Bank RD

Recurring deposit interest rates are similar to fixed deposit interest rates, and one can invest minimal amounts on a regular basis by creating a Recurring Deposit (RD) account with Equitas SFB. One can invest in small amounts starting at Rs. 1000/- per month for terms ranging from 12 months to 10 years. Senior folks will receive an additional rate of 0.50 percent on all tenors. Equitas Small Finance Bank RD also has a nomination function, and TDS (Tax Deducted at Source) is applicable on RD, with a 10% deduction on interest earned over Rs. 40,000 for non-senior citizens and Rs. 50,000 for senior citizens.

Equitas Small Finance Bank Regular RD Interest Rates

With effect from March 21, 2022, the bank is giving a 6.10 percent annual interest rate on recurring deposits of less than Rs 2 Cr maturing in 12 to 18 months. The general public will now get a 6.50 percent interest rate on deposits maturing in 21 to 36 months. Whereas on recurring deposits maturing in 48 to 120 months, the bank is currently giving a 6% interest rate to the general public.

Tenors	Interest rate p.a.
12 months	6.10 %
15 Months	6.10 %
18 Months	6.10 %
21 Months	6.50 %
24 Months	6.50 %
30 Months	6.50 %
36 Months	6.50 %
48 Months	6.00 %
60 Months	6.00 %
90 Months	6.00 %
120 Months	6.00 %

Source: Bank Website

Equitas Small Finance Bank RD Interest Rates For Senior Citizens

On domestic recurring deposits (excluding NRE/NRO), senior citizens will receive a 0.50 percent additional rate.

Tenors	Interest rate p.a.
12 months	6.60%
15 Months	6.60%
18 Months	6.60%
21 Months	7.00%
24 Months	7.00%
30 Months	7.00%
36 Months	7.00%
48 Months	6.50%
60 Months	6.50%
90 Months	6.50%
120 Months	6.50%