Navabharat Reinvestment Plan
Navabharat Reinvestment Plan earns interest on interest since interest is undrawn and reinvested till maturity.
Eligibility
- Resident individuals singly or jointly, Minors through their Guardians, Karta of HUF, Firm, Company, Local Bodies and Any Government Departments can invest in Navabharat Reinvestment Plans.
Features
- Minimum period of deposit: 6 months
- Maximum period of deposit: 10 Years
- Minimum Deposit :Rs.1,000 and in multiples of Rs.100 thereafter
- Maximum Deposit :No Upper Limit
- Interest on a Fixed Deposit is payable to the depositor quarterly from the date of issue; Depositors can opt for monthly interest too on discounted rate.
- Interest can also be paid at Calendar quarter basis.
- Nomination Facility is available; in favour of individuals.
- Transferable among branches
- TDS is applicable as per Income Tax (IT) Rules.
- Exemption from IT deduction can be availed as per IT Rules.
- Depositors can submit Form 150/15H to avail exemption from IT Deduction.
- Margin for Loans or ODs: 15% for Deposits with residual tenor of > 60 months.
- Margin for Loans or ODs: 10% for Deposits with residual tenor of 36 to 60m.
- Margin for Loans or ODs: 5% for Deposits with residual tenor upto 36 months.
- A deposit of >Rs.15,00,000 is classified as bulk deposit that is entitled for additional interest.
- Deposits including interest of Rs.20000 and above will not be paid in cash.
- Premature closure is allowed.
- Penalty for premature withdrawal is @1% pa. Interest will be paid 1% below the rate applicable for the period Deposit remained with the Bank or 1% below the contracted rate, whichever is lower.
- However, no interest will be paid on Deposits which remain for a period of less than 7 days.
