Bank interest
yash007
(Querist) 31 March 2012
This query is : Resolved
HELLO SIR,
I have fixed deposit with bank of maharashtra
it was due for renewal 6 months before but i could not gone to bank for renewal thought it would automatically gets renewal after 15 days.
but banks said it is as your saving deposit after maturity we will pay you saving interest ? instead of F.D (i.e. for after maturity period till date)
what does RBI master circular says?
Sailesh Kumar Shah
(Expert) 31 March 2012
Bank contention is wrong.
Make complain before Banking ombudsmen.
you can Make complain at following Link:-
http://www.rbi.org.in/scripts/AboutUsDisplay.aspx?pg=BankingOmbudsmen.htm
R.K Nanda
(Expert) 31 March 2012
Make complaint to head office of ur bank.
Y V Vishweshwar Rao
(Expert) 31 March 2012
Renew at least for a period of 15 days from today - wef date of last due date! you will get the total period applicable interest!
ajay sethi
(Expert) 31 March 2012
generally your fixed deposit contains a clause that renewal is to be done within 15 days of your fixed deposit maturing . you have woken up from your slumber after 6 months . bank is not bound to paty you fixed deposit rates after maturity
ajay sethi
(Expert) 31 March 2012
RBI/2011-12/54
DBOD.No.Dir.BC. 9 /13.03.00/2011-12
July 1, 2011
Ashadha 10,1933 (Saka)
All Scheduled Commercial Banks
(excluding RRBs)
Dear Sir / Madam
Master Circular on Interest Rates on Rupee Deposits held in Domestic, Ordinary Non-Resident (NRO) and Non-Resident (External) (NRE) Accounts
Please refer to the Master Circular DBOD No. Dir. BC. 10/13.03.00/ 2010-11 dated July 1, 2010 consolidating the instructions/guidelines issued to banks till June 30, 2010 relating to Interest Rates on Rupee Deposits held in Domestic, Ordinary Non-Resident (NRO) and Non-Resident (External) (NRE) Accounts. The Master Circular has been suitably updated by incorporating the instructions issued up to June 30, 2011 and has been placed on the RBI website (http://www.rbi.org.in). A copy of the Master Circular is enclosed.
Yours faithfully
(P.R.Ravi Mohan)
Chief General Manager
Encls: as above
2.3. Payment of interest on fixed deposit - Method of calculation of interest
The Indian Banks’ Association (IBA) Code for Banking Practice has been issued by IBA for uniform adoption by the Member Banks. The Code is intended to promote good banking practices by setting out minimum standards, which Member Banks should follow in their dealings with customers. IBA, for the purpose of calculation of interest on domestic term deposit, has prescribed that on deposits repayable in less than three months or where the terminal quarter is incomplete, interest should be paid proportionately for the actual number of days reckoning the year at 365 days. Some banks are adopting the method of reckoning the year at 366 days in a Leap year and 365 days in other years. While banks are free to adopt their methodology, they should provide information to their depositors about the manner of calculation of interest appropriately while accepting the deposits and display the same at their branches.
If a Fixed Deposit Receipt matures and proceeds are unpaid, the amount left unclaimed with the bank will attract savings bank rate of interest.
.13. Renewal of Overdue deposits
All aspects concerning renewal of overdue deposits may be decided by individual banks subject to their Board laying down a transparent policy in this regard and the customers being notified of the terms and conditions of renewal including interest rates, at the time of acceptance of deposit. The policy should be non-discretionary and non-discriminatory.
V R SHROFF
(Expert) 31 March 2012
Usually, Bank continue FDR, and get your renewal form, extending date. As Suggested by Shri Rao, extend it till next 15 days, or a month, and it may automatically be paid as FDR int wef last dt.
prabhakar singh
(Expert) 31 March 2012
DEPENDS ON POLICY OF BANK. LEGALLY YOU ARE SLIPPER WITH YOUR RIGHTS.
