Corporation Bank Recurring Deposit Rate

Corporation Bank Recurring Deposit Schemes

A Recurring Deposit in the Corporation Bank enables one to save at periodic intervals. There are two Recurring Deposit schemes that are offered to the customers by Corporation Bank. They are Recurring Deposit and Flexible Recurring Deposit.

Features of Recurring Deposit

• One can deposit a minimum amount of Rs.50/- per month in rural and semi-urban branches and a minimum amount of Rs.100/- in all other bank branches.
• There is no maximum limit on the deposit amount
• Deposits must be made in Rs.25/- and multiples thereof.
• The period of investment for the Recurring Deposit ranges between 1 year to 10 years.
• The interest is compounded quarterly and is paid on maturity of the deposit
• Nomination facility is available
• Loans can be taken against this Recurring Deposit up to 90% on the deposit.
• Penalty of Rs.1.50/- per Rs.100 is chargeable if an instalment is not paid for a month.
• TDS applies

Features of Flexible Recurring Deposit

• In this, one can remit up to ten times the stipulated monthly instalment for a month
• One can also withdraw a part of the deposit towards the end of the 1st and the 2nd year
• It is fixed for a duration of 3 years
• The minimum amount that can be deposited is Rs.500/- per month. Multiples of Rs.100/- can be deposited thereafter
• There is no maximum ceiling
• Interest is compounded quarterly and is paid on maturity of the deposit.
• Penalty of Rs.1.50/- per Rs.100 is chargeable if the base amount is not paid for one month.
• TDS applicable
• Nomination facility is available
• Loan facility of up to 90% is available on the deposit.

Benefits of Corporation Bank Recurring Deposit Account

• It allows one to safely deposit a certain amount of money at periodic intervals rather than a making a large deposit as in the case of a Fixed Deposit.
• It is suited for salaried people with a regular monthly salary who may not be able to spare a large sum of money to open a Fixed Deposit
• It has tenures that vary from 1 year to 10 years
• It is a safe, low-risk form of investment
• It is safe from market fluctuations
• The interest is paid only on maturity of the deposit
• Nomination facility is possible
• Loans can be taken against these Recurring Deposits

Corporation Bank Recurring Deposit Interest Rates

Corporation Bank Recurring Deposit interest rates are similar to the rates offered for Fixed Deposit accounts. Following is an overview of Corporation Bank RD interest rates. For the latest and accurate RD interest rates in Corporation Bank, it is advisable to check with the bank directly.

Following is an overview of Corporation Bank’s Fixed Deposit Rates as of 11.12.2018

(Do keep in mind that these rates can change at any time and can be changed at the sole discretion of the bank. For the latest rates, it is advisable to check with Corporation Bank directly.)

Term Deposits (Other than NRE):

NRE Term Deposits:

Corporation Bank Fixed Deposit Interest Rate for Senior Citizens

There is an additional interest benefit for senior citizens of 0.50% for deposits of less than Rs.1 crore effective from 25.04.2012 for all maturities of 91 days and above. However, deposits of Senior citizens opened under NRO, NRE and HUF are not eligible for this benefit.

Corporation Bank Recurring Deposit Calculator

You can make use of the Corporation Bank Recurring Deposit Calculator to compute the interest and the maturity that is acquired on your invested amount. Using an RD calculator is easy as you just need to enter the amount you want to invest on a monthly basis, mention the date of opening of RD, the duration and due date of RD. The calculator will then provide the maturity amount that you get at the time of maturity of the Recurring Deposit.

Using a Recurring Deposit calculator gives you the maturity amount and you can accordingly decide how much you want to invest. You can try various investment amount options and opt for the one that is most suited to your budget and helps achieve your financial goals.

Who can open an Recurring Deposit account with Corporation Bank?

• An individual in his/her name
• Joint names
• Minor represented by parents
• Clubs
• Societies
• Associations
• Educational Institutions
• Trusts
• Firms
• Partnerships
• Joint Stock Companies
• Executors
• Administrators
• HUFs
• Government departments

Advantages of opening a Recurring Deposit account

• Ideal for customers who cannot deposit a big amount of money at the start for a fixed deposit but want to deposit small amounts at regular intervals.
• A Recurring Deposit account can be opened with small minimum amount.
• A large amount of money is gotten at maturity, along with the interest amount that is earned on it.
• The rate of interest is much higher in comparison to an ordinary savings bank account
• The interest earned is generally the same as that of a Fixed Deposit
• Flexible tenures are given for the customer to choose from
• Recurring Deposit Interest Rates are fixed so you are guaranteed of a return on the same
• Loan facility and nomination facility is available.
• It is more liquid than most financial investment instruments

Disadvantages of opening a Recurring Deposit account

• If you need to take money from your Recurring Deposit due to a financial emergency, you will need to pay a penalty for the same.
• The interest earned might be lower than other, riskier forms of financial investment, say investing in mutual funds, etc.

Corporation Bank Recurring Deposit FAQs