NO AUTOMATIC RENEWAL OF FIXED DEPOSIT

No Fixed Deposit will be renewed automatically.

:-RBI

As per the Circular of RBI, No Fixed/Term deposit will be renewed automatically. Once the Fixed Deposit will be matured and unpaid/unclaimed by the investor, the bank shall attracts rate of interest of Saving Account or Rate of Contracted Interest on fixed deposit (whichever is lower).

Earlier, Fixed Deposit renews automatically on the date of maturity and Rate of Interest of Fixed Deposit applies also on maturity value. But now the system has been changed after publishing the circular of RBI.

Hence, Note down the due date of all the Fixed/term Deposit and get the renewal of these deposits with the bank on maturity date to avoid loss of interest.

2 thoughts on “NO AUTOMATIC RENEWAL OF FIXED DEPOSIT”

  1. Very unfair,
    FDR form is an agreement between two parties, Bank and Customer, and from it’s conditions it is very much clear that on maturity It will be auto renewed at the same terms and conditions and at applicable rate on Fixed deposit,
    However, terms/form may be changed for FDRS to be purchased in future but for old FDRs old policy should be applied as per agreement.This is my view

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