Product Specifications:
This product is basically a Flexible Recurring Deposit a/c with feature of Flexible Monthly Installment mode.
Eligibility:
Duration: Minimum 12 Months and Maximum 60 Months. i.e. Term of FRD can be for 12,15,18,21,24…………60 months.
Maturity of Deposit: One month after payment of last installment OR Due date, whichever is later.
Rate of Interest:
Nomination facility: Nomination facility will be available as per extant guidelines.
Tax Deduction at Source: TDS will be deducted on interest payments as per extant guidelines.
PREMATURE PAYMENT: Premature payment facility will be available as per extant guidelines.
Availability of Loan/Overdraft against security of Deposits:
Loan / overdraft facility is permitted up to 95% of outstanding balance at interest rate as per MTS’s existing guidelines issued from time to time for LABOD/ODBOD.
At present the applicable rate of interest on LABOD/ODBOD is 1.00% over interest rate on Fixed Deposit. In case of LABOD/ODBOD against third party FDRs, the applicable rate is 1.00% over interest rate on Deposit rate or Base Rate +0.25% whichever is higher.
In the event of delayed payment of installment/s: No penalty.
Other Terms and conditions:
All other terms and conditions as applicable to Recurring Deposit shall be applicable under these products.