Lakhs of rupees can be made in just a few years by adding a few thousand rupees every month. This facility is more available in Recurring Deposit (RD) plans. Banks run many plans for their customers, but RD has special importance in them. Both government and private banks give good interest to the customers on the money deposited in RD. How many banks are providing online facilities to open RD accounts? Customers can open this account from their mobile or laptop sitting at home and start investing.
The ICICI Bank mobile app allows you to open an RD account and invest through iMobile. This app has to be downloaded on a mobile phone. Money will be automatically deducted every month from the amount deposited in the account and investment will happen. Similarly, customers also get this facility in Internet Banking. Similarly, ICICI Bank also offers the facility of Flexible Recurring Deposit.
How to invest
If you are a normal customer and not a senior citizen, then you can open a normal RD account. You can start investing in this account with as little as Rs 5,000. Suppose you have started an RD account for 6 years. Assuming an interest of 5.5 percent on this, then by the time its maturity is in July 2027, a substantial amount will be collected. After 6 years, interest of Rs 66,975 will be earned on this deposit. In this way a total of Rs 4,26,975 will be collected in 6 years. That is, by paying Rs 5,000 every month, a customer will comfortably collect Rs 4,26,975.
Interest Rate on RD
ICICI Bank gives interest according to the tenure of the RD. For the minimum 6 months, interest is given to the general people at the rate of 3.50 percent and senior citizens at the rate of 4 percent. If the RD account is opened for 3 years to 5 years, then 5.36% interest is given to normal people and 5.85 percent to senior citizens. On RD of 5 years to 10 years, interest of 5.50 is given to general people and 6.30 percent to senior citizens. Recurring deposit accounts can be opened for a minimum period of 6 months. The tenure of this account can be extended in multiples of 3 months. The RD account can be operated for a maximum period of 10 years.
What will happen
if the premium is not paid on time, if the premium is not paid on time, then a penalty of Rs 12 per thousand is charged on monthly interest. When it comes to calculating interest on behalf of the bank, it counts some days of the month as a whole month. Recovery of money in the form of penalty is deducted from the interest money accumulated at the time of maturity.