State Bank of Bikaner & Jaipur RD Interest Rates

State Bank of Bikaner & Jaipur RD Interest Rates

State Bank of Bikaner & Jaipur offers RD schemes that are suitable to salaried people, small business people, and children. You need to deposit at least Rs. 100 per month in multiples of Rs. 10 after. You will earn interest in the range of 6.75% to 9.25% per annum depending on your age, residence, tenure, and size of the deposit. Interest is compounded on a quarterly basis. With an SBBJ recurring deposit, you can also avail of a loan against the deposit.

State Bank of Bikaner & Jaipur Recurring Deposit Features

There are many features associated with the Recurring Deposit of State Bank of Bikaner & Jaipur. Following are some important among them-

• A nomination facility is available
• No penalty in case of premature withdrawal of deposit amount
• No penalty for delayed payments of installments
• Visit any State Bank of Bikaner & Jaipur branch to avail of this service

State Bank of Bikaner & Jaipur RD Interest Rates 2021

State Bank of Bikaner & Jaipur Recurring Deposit Schemes

Based on the tenure Union Bank of India Recurring Deposit can be classified into three types, these are:

Short-Term RD

Under this type of State Bank of Bikaner & Jaipur Recurring Deposit, your deposit’s tenure ranges between 6 months to 3 years. Such RD is best suited for those who are looking to develop the habit of savings. 

Medium-Term RD

When you are not willing to commit for the long tenure and are not sure how much benefit you can get from RD, then opting for a medium-term recurring deposit is a good decision. It provides the right balance of flexibility and commitment to invest so that you can assess its benefits. The tenure ranges from 3 years to 7 years.

Long-Term RD

The long-term RD is best suited when you want to earn the return on your investment but do not have the lump sum amount to invest in a fixed deposit. By investing in recurring deposits you get the flexibility of making monthly investments and earn a return similar to FD. The tenure ranges from 7 years to 10 years.

Documents required to open Recurring Deposit Account in State Bank of Bikaner & Jaipur

State Bank of Bikaner & Jaipur Recurring Deposit Rates – Premature Withdrawal

The minimum lock-in period is 3 months and if the depositor requests a premature withdrawal before that, he earns zero interest and only the principal amount will be refunded to him. Apart from canceled interest, any incentives offered are also withdrawn.

Calculation of State Bank of Bikaner & Jaipur Recurring Deposit Interest Rates

Some factors affect the calculation of interest rates. Following are some of them- 

• Policies Framed by RBI: The change in Cash Reserve Ratio (CRR) and repo rate as directed by the RBI affect the interest rate of all banking instruments including the recurring deposit.
• Recession – In times of recession, RBI releases funds in the market and hence injecting liquidity in the market. As a result of high liquidity and low credit demand, banks reduce the rates on RD.
• Inflation – Inflation has a positive effect on a fixed deposit interest rate. Hence, RD rates tend to be higher in a period of rising inflation.
• Current State of Economy – In a booming economy, people take larger credit to meet their personal and business requirements. In periods of high credit demand, banks offer a higher interest rate to garner more funds through recurring deposits.

RD Account Opening Process at State Bank of Bikaner & Jaipur

Following methodologies should be added to open a Recurring Deposit account in a leading banking institution in the country-

• Approach the banking institution with an account-opening form
  • Two passport size photographs
  • Address and identity proof such as the Aadhaar card, passport, PAN (permanent account number) card or declaration in Form 60 or 61 as per the Income Tax Act, 1961, driving license, voter’s identity card, or ration card.
• Carry original identity proof for verification at the time of account opening. Physical Verification is a very important step in the account opening process. 
• Choose a nominee and get a witness signature to complete the formalities and get started. After obtaining the requisite signature your account becomes valid and active.

Nomination Facility on State Bank of Bikaner & Jaipur RD

Nomination facility is available in Union Bank of India recurring deposits. Whether you open it in a single name or joint name, only one nominee per account is permissible. You should ensure that the nomination is followed as per RBI rules. You can change the nominee through declaration in appropriate form.

Tax Benefits on State Bank of Bikaner & Jaipur Recurring Deposit

No tax exemption is allowed on RDs. These are subject to TDS (tax deducted at source) for an interest income exceeding ₹ 10,000. Tax deductions are maximized by the depositors to avail the benefits offered through investment analysis. Therefore tax deduction is an important consideration.

State Bank of Bikaner & Jaipur News Snippets

All Private Banks to Participate in Govt-Related Business

The government last year consolidated 10 public sector banks into four and as a result, the entire number of PSBs decreased to 12 from 27 in March 2017.

As per the amalgamation plan, the United Bank of India and Oriental Bank of Commerce were merged with Punjab commercial bank, making the proposed entity the second-largest PSB. Syndicate Bank was merged with Canara Bank, while Allahabad Bank was subsumed in Indian Bank. Andhra Bank and Corporation Bank were amalgamated with the Union Bank of India.

In a first three-way merger, Bank of Baroda merged Vijaya Bank and Dena Bank with itself in 2019. SBI had merged five of its associate banks – depository financial institution of Patiala, State Bank of Bikaner & Jaipur, State financial institution of Mysore, depository financial institution of Travancore and State Bank of Bikaner & Jaipur – and also Bharatiya Mahila Bank effective April 2017.

State Bank of Bikaner & Jaipur Recurring Deposit Interest Rates – FAQs

✅ Is partial withdrawal of RD accounts allowed by the State Bank of Bikaner & Jaipur?

Partial withdrawal of recurring deposits isn’t allowed by the State Bank of Bikaner & Jaipur However, some banks offer the power to get a Loan or Overdraft by keeping your RD as collateral. On the opposite hand, premature withdrawals are allowed by post offices if you’ve got an RD account with them for a minimum of a year. The withdrawn amount is taken into account a loan, which has got to be paid in payment.

✅ What exactly happens on maturity of RD account?

On maturity of your RD account, you can ask the bank to transfer the principal amount and therefore the accumulated interest component directly into your linked bank account. You can also invest your RD amount in fixed deposits after maturity.

✅Is nomination facility available in the State Bank of Bikaner & Jaipur RD account?

The nomination facility is out there in SBI recurring deposits. Whether you open it in a single name or joint name, just one nominee per account is permissible. You have to make sure that the nomination is followed as per RBI rules. You can change the nominee through declaration in appropriate form.