Terms & Conditions - Deposits & 15G/H
General Instructions and Terms and Conditions for opening of Resident & NRE Term Deposits via FedMobile.
- Only NRE & Resident Term Deposits can be opened online.
- Debit Account should be a Savings, Current or Overdraft account.
- Deposit can be opened only in the name of the primary account holder of the debit Account.
- Online requests received after 7 PM are likely to be opened with effective date as next working day.
- All the fixed deposit transactions executed through FedMobile on a bank holiday will be processed on next working day only.
- FSF – Monthly/Quarterly/Half Yearly /Yearly: Recurring deposit where Monthly/Quarterly/Half Yearly /Yearly denote the periodicity of the recurring instalments to be remitted.
- Cash Certificate: Term deposit where interest is compounded quarterly and reinvested on maturity. It is suited for a depositor who does not require interest to be paid every month/quarter etc.
- FD – Monthly/Quarterly/Half yearly/yearly/Int on maturity: Deposit scheme where interest will be paid monthly/quarterly/half yearly/yearly/on maturity. Except in the case of FD – Interest on maturity, interest will be transferred to the account from which the deposit was funded in the selected periodicity of the deposit.
- Minimum amount for FSF: Rs.50/- and in multiples of Rs.10/-
- Minimum amount for Cash Certificate and FD: Rs.1000/-
Resident FSF: For FSF-Monthly, minimum period is 6 months.
In all other cases, minimum period will be 3 times of the periodicity of instalments, i.e. for a Resident FSF–Quarterly, the minimum period should be 9 months. Likewise, for Resident FSF Half Yearly, the minimum period should be 18 months.
NRE FSF: For NRE FSF Monthly & Millionaire FSF, minimum period is 1 year. In all other cases, minimum period will be 3 times of the periodicity of instalments subject to a minimum period of 1 year i.e. for an NRE FSF- Quarterly, the minimum period should be 12 months. Likewise, for NRE FSF Half Yearly, the minimum period should be 18 months.
Resident Cash Certificate: Minimum period – 6 months.
NRE Cash Certificate: Minimum 1 year
Resident FD group: Minimum period – 7 days.
NRE FD Group: Minimum period 1 year.
Maximum period will be 10 years in all cases (120 months)
Interest rates for Senior citizen/ Staff in Resident deposits
- If the primary account holder of the debit account is a senior citizen, the term deposit will be opened with interest rate applicable to senior citizens.
- If the primary account holder is staff, term deposit will be opened with interest rate applicable to staff.
- However, presently term deposit/FSF cannot be opened with an additional rate of interest for staff + Senior citizens (Sr. Citizen Staff). In this case he / she will have to apply at branch for the same.
- No additional benefit is applicable for senior citizen and staff in case of NRE deposits.
Scheduling recurring deposit instalment through FedMobile
Customer can schedule recurring payment for FSF by selecting the SI date during creation of the deposit. SI will be registered in the debit account only.
Deposit Receipt /Passbook
Normally physical deposit receipt/passbook is not issued for term deposit/FSF opened through the app. However, a customer who wishes to get a deposit receipt may approach his branch for the same.
Closing of Resident/NRE Term Deposit opened online
Offline Request can be submitted through FedMobile for closing term deposit opened online through FedMobile. Term Deposit accounts opened through the app and where Deposit receipts are not printed only can be closed through FedMobile offline request. For closing accounts where deposit receipts are already printed, customers have to approach the branch and submit the same. The proceeds of the term deposit will be transferred only to the debit account from which it was funded.
Term Deposits will be automatically renewed on maturity for a similar Term on same terms and conditions (except rate of interest). Rate of interest payable on the deposit thus renewed will be the rate prevailing on the date of renewal.
The deposits will be automatically renewed on maturity for similar terms and conditions (except rate of interest) only if required KYC formalities are not complied with the customer, Bank may at its sole discretion discontinue the autorenewal of the term deposit.
Interest rate applicable to the term deposit will be the interest rate prevailing as on the date of opening the term deposit.
Federal Tax Saving Deposits
The term of tax savings deposit is five years commencing from the date of opening the deposit and premature withdrawal is not allowed. Auto renewal/renewal facility is not available on Tax savings deposits/Deposit plus accounts and the proceeds will be transferred to the operative account upon maturity.
- Interest payable for premature closure of Resident/NRE Term Deposit / FSF will be the deposit rate applicable as on the date of opening of the deposit for such period that the deposit has remained with the Bank. For NRE deposits no interest will be paid if closed before completion of 1 year.
- No interest is payable if NRE Term deposit is closed before completion of 1 year. Pre-payment penalty is not applicable to NRE Term deposits closed before completion of 1 year.
- Structure for penalty on premature withdrawal of Single Rupee Term Deposit of less than ₹2 Crores opened/renewed effective from 21.10.2022 is as follows:
Period of Deposit* Penal Interest Single deposit of less than ₹2Crores Single deposit of ₹2Crores and above Up to and including 15 days 0% 1% Above 15 days to 90 days 1% 1% Above 90 days 1% 1%
* Period for which the deposit is maintained with the Bank, irrespective of the contracted tenor.
The revised penal structure shall be applicable for all rupee resident term deposits (Domestic/ ONR). Penal interest of 1% is also applicable for NRE term deposits which are withdrawn prematurely after completion of the minimum period of 1 year. The penal interest for premature withdrawal shall be applicable only if the deposit has run the minimum period for the deposit to be eligible for interest. It shall be noted that the above revision is applicable for all rupee term deposit schemes, except the Bespoke Savings Deposit Scheme.
However, for the Smart Deposit Scheme, the penal interest rate structure shall continue to be as follows:
Period of Deposit Penal Interest Up to and including 90 days 0% Above 90 days 1%
- Recurring deposits Charges If instalment not paid within due date plus grace period of 10 days ₹ 1 per ₹100 per month subject to a min of ₹ 10
- Premature closure of RD within 1 year of opening is ₹ 150 (Free for NRIs)
The Bank may at its sole discretion provide a facility (“Facility”) to its resident Customers [i.e. Individuals (including Senior Citizens) and resident in India who have availed FedMobile Mobile Banking services (“FedMobile”) of the Bank, to submit Form 15 G / Form 15 H, as may be applicable, through FedMobile in order to avail exemption from TDS on interest earned on fixed deposits and recurring deposits (“Deposits”) maintained with the Bank by such Customers, in a financial year. The Customers shall be bound by these terms while availing the Facility.
The Customer shall, prior to submission of Form 15 G / Form 15 H, ensure that the Estimated Total Income of the Customer for the particular financial year, including the estimated income earned on deposit(s) is less than or equal to the basic exemption limit for Income Tax as may be specified by the Finance Act, for the respective financial year.
The Customer shall follow the process flow provided below for
Submission of Form15G/ Form15H as may be applicable, through FedMobile.
- Customer logs into FedMobile using his MPIN.
- Customer selects the ‘15G/H’ option from FedMobile -> More -> 15G/H Registration.
- Customer enters the following details in the field:
- PAN card number (optional field).
- Date of Birth as per PAN card (optional field).
- Last year of filing Income Tax return – Under this field, the customer shall select the applicable option from the drop-down box displayed.
- Estimated income for Current Financial Year.
- Customer shall accept the terms and conditions and clicks on validate button.
- A set of validations prescribed by the Bank will be implemented to check the details entered by the customer.
- If the validations are successful, a confirmation page with following details shall be displayed:
- Form Type (15 G / 15H)
- PAN Number
- Estimated Income
- Customer shall confirm the details and thereafter submit the request by entering the FedMobile MPIN (Mobile Banking PIN).
- The Customer shall receive an instant notification in FedMobile on updating the Form 15G/H in Bank’s records upon successful submission of the relevant form.
- This registration details can be viewed in More -> 15G/H Download
Updation of Form15G/ Form15H as may be applicable, through FedMobile
In cases of existing 15G/15H Registered customers, the same needs to be updated at the time of opening a new deposit.
- Customer selects the option for opening of a new Term Deposit through FedMobile.
- After entering the details of the deposit to be opened, the status of the customer will be checked by the system for any existing 15G/15H registrations.
- Since the customer is already registered for 15G/H, then the Estimated Income & Last Year of Filing IT Return will be asked to be entered by the customer.
- The details entered by the customer & the assessment by the bank will be processed by system.
- If the customer is eligible for tax exemption after opening of the proposed deposit:
- Then the following screens will be shown:-
- Customer shall confirm the details and by entering the FedMobile MPIN (Mobile Banking PIN).
- Deposit will be opened & marked with the 15G/15H registration.
- Updated registration details can be viewed in More> 15G/H Download
- If the customer is not eligible for tax exemption after opening of the proposed deposit:
- Suitable message will be displayed regarding not eligible for tax exemption after opening the deposit & to deregister existing registration if a new deposit has to be opened.
Deregistration of Form15G/ Form15H as may be applicable, through FedMobile.
- Customer logs into FedMobile using his MPIN (Mobile Banking PIN).
- Customer selects the ‘15G/H’ option from FedMobile -> More -> 15G/H Deregistration.
- Confirmation message is shown to the customer & customer must accept the same before deregistration.
- Customer shall confirm the details and submit the request by entering the FedMobile MPIN.
- The decision of the Bank’s Back office Team regarding approval/rejection of the Form 15G / Form 15 H, shall be final and binding on the Customer.
- Once the Form 15 G / Form 15 H is approved by the Bank’s Back office Team, the Bank shall not deduct TDS from the fixed deposits/recurring deposits of the Customer for the particular financial year. Customer agrees and undertakes that the Customer shall be solely responsible for verifying the correctness of the details filled up in the Form 15 G / Form 15 H.
- The Customer further indemnifies the Bank against any claims, losses, damages or penalties that may be incurred, sustained or levied on the Bank on account of non-deduction of TDS from the fixed deposits / recurring deposits of the Customer, based on the Form 15 G / Form 15 H filed by the Customer through FedMobile. The Customer alone shall be liable for claims of any nature, loss and any damages that may be caused to the Bank or the Customer due to misuse or otherwise of the Facility either by the Customer, its staff, agents, authorized signatories, by any person making an unauthorized access to the Customer’s accounts or on account of any error, mistake or omission in the Form submitted by the Customer.
- The Customer further understands and agrees that:
- Fresh Form 15 G / Form 15 H, as may be applicable, needs to be submitted every Financial Year for getting exemption from TDS.
- Fresh Form 15 G / Form 15 H, as may be applicable, needs to be submitted for new deposit(s) opened.
- The Bank shall not be liable for any consequences arising due to non-submission or delayed submission of Form 15 G / Form 15 H.
- Tax which has already been deducted cannot be refunded back and has to be claimed from Income Tax Department by filing the returns.
- THE FACILITY IS PROVIDED BY THE BANK ON A BEST EFFORTS BASIS AND THE BANK DOES NOT WARRANT THAT FACILITY SHALL BE UNINTERRUPTED OR ERROR FREE. TO THE EXTENT PERMITTED BY LAW, THE BANK DISCLAIMS WARRANTY OF ANY KIND, WHETHER EXPRESS, IMPLIED, STATUTORY, OR OTHERWISE RELATING TO THE FACILITY PROVIDED TO THE CUSTOMER INCLUDING FITNESS FOR A PARTICULAR PURPOSE AND NONINFRINGEMENT.
- The Customer also agrees that, the Bank may at its sole discretion discontinue the Facility provided to the Customer without any prior notice.
- These Terms are supplemental to and are to be read in conjunction with FedMobile Terms and Conditions
Federal Tax Saving Deposits
The term of tax savings deposit is five years commencing from the date of opening the deposit and premature withdrawal is not allowed. Auto renewal/renewal facility is not available on Tax savings deposits/Deposit plus accounts and the proceeds will be transferred to the operative account upon maturity