RECURRING DEPOSIT - OPENING OF ACCOUNTS
Recurring Deposit (RD) account can be opened for a period of 5 years. Monthly deposits can be made in multiples of Rs.10 with a minimum amount of Rs.100. The amount of deposit made at the time of opening an account cannot be varied during the currency of the account.
(2). A depositor can have more than one account in his/her own name or jointly with another.
(3) A RD account can be opened by cheque with or without advance deposits. In case of advance deposits for six months or one year or more, the cheque will be for the net amount i.e. total amount of advance deposits less amount of rebate admissible.
(4) RD accounts can be opened through POSB Net banking as well as POSB Mobile banking application by transferring deposits from their SB accounts.
(5). The amounts deposited are repayable in lump sum at the end of the period of 5 years from the date on which the first deposit was made along with interest as prescribed from time to time.
NOTE
All transactions of recoveries, withdrawals, repayments etc under Recurring Deposit scheme shall be rounded off to the nearest rupee and for this purpose any amount of fifty paise or more shall be treated as one rupee and any amount less than fifty paise shall be ignored.
The default fee, if collected and rebate if any paid, should be entered manually in the passbook by the Counter PA and signed.
TYPE OF ACCOUNTS:
Following types of accounts can be opened under the scheme:
(1). Single Account: A single account may be opened by a single adult.
(2). Joint Account: A joint account may be opened by up to three adults. on the basis of mode of operation, Joint Accounts shall be of two types, namely: -
(i) Joint 'A' type, to be operated by all the depositors or the surviving depositors; and
(ii) Joint 'B' type, to be operated by any of the depositors or the surviving depositors severally.
(3) Minor Account:
On attaining majority, the depositor may: -
(a) continue the account for full maturity period, or the maturity period as extended under sub-paragraph (1) of paragraph 6 of NSRD Scheme 2019, or for a further period as given under paragraph 10 or paragraph 11 of NSRD Scheme 2019, as the case may be; or
(b) If he does not want to continue the account any longer, can claim proportionate amount as specified in sub- paragraph (1) of paragraph 9 of NSRD Scheme 2019 on expiry of maturity period, or the amount due under sub-paragraph (2) of paragraph 10 or sub-paragraph (2) of Paragraph 11 of NSRD Scheme 2019, as the case may be
(c). If it is Minor account, the minor has to exercise an option to continue the account ny submitting fresh account opening form and KYC documents as required at the time of opening new RD account with a declaration as follows:
"l hereby declare that the Government Savings Promotion General Rules-2018 and the National savings Recurring Deposit scheme,2019 have been read by/to me and l accept the said rules and the scheme and all such amendments thereto as may be issued from time to time as binding on me."
(d) Claim the proportionate amount payable on the maturity of the account, if the account got discontinued.
(4). Account opened by guardian in the name of person of unsound mind: -
Provisions of Rule 13(iii) shall be applicable for RD Accounts also.
As per SB Order No. 22/2022, mobile number seeding in CIF is mandatory but for effective implementation of this order in respect of RD accounts opened/operated through MPKBY agents, a facility is needed to be introduced in Agents Portal. As per Department of Posts, FS Division letter No. CBS-25/4/2023-FS-DOP-Part-(1) dated 14.6.2024, the above facility is being introduced in Agents Portal.
MPKBY agents can generate a list of RD accounts which are not linked with any Mobile Number. Before 31.07.2024, agents should collect the mobile numbers of RD depositors and link it to their CIF ID. With effect from 1.8.2024, RD bulk list of MPKBY agents shall not be allowed to be created if any RD account number to be included in the RD list is not linked with mobile number.
