SBI's Holiday Savings Recurring Deposit Account: Interest Rate, Maturity And All Details

NDTV Profit Team

15 Aug 2018, 05:11 PM IST

SBI's Holiday Savings Account: Premature closure of this e-RD account is allowed.

This e-recurring deposit (RD) account is opened for enrolling in Holiday Savings Account scheme of Thomas Cook and therefore information on this account is shared with Thomas Cook.
This e-RD account is generated in the name(s) of the account holder(s) as the account from which it is funded.
If SBI's Holidays Savings account is closed prematurely, the proceeds are credited to the account from which the e-RD account was initially funded.
e-RD account with additional rate of interest for senior citizens will be issued if option for 'Senior Citizen' is selected by the customer and age of customer is 60 years or above, on the date of creating the recurring deposit, as per date of birth recorded with the bank.
Premature closure of this e-RD account is allowed and SBI's applicable premature withdrawal penalty is applied, said SBI.
Penalty in case of delay in payment of instalment of RD is Rs 1.50 for every Rs. 100, per month.
On maturity of e-RD account, the maturity instruction set for the account is executed and the proceeds is transferred to Thomas Cook unless customer changes the maturity instruction to be credited to the Savings Account from which the e-RD account was funded, mentioned SBI.
The bank is not liable for any issues/ complains/ loss arising due to non-fulfilment of terms by Thomas Cook India, noted SBI.
This e-RD account is subject to TDS (Tax Deducted At Source). The TDS is applicable on the Customer Information File (CIF) value and the amount of TDS applicable cannot be ascertained beforehand.
The application of TDS may reduce the amount of funds transferred to Thomas Cook at the time of maturity. It is the responsibility of the depositor to pay the difference to Thomas Cook, SBI further said.