Recurring Deposit

Introduction

This product paper states and defines “Recurring Deposit” targeted primarily to individuals (singly or jointly) and is fixed in nature.
The product is one more attempt in our mission of providing the individual depositors with consistent/higher return and increases our individual deposit base. This product targets every class of individual of Nepal.

Type of Deposit

Recurring Deposit

Purpose of the Deposit

  • To attract and accumulate sustainable deposits from individual clients.
  • To be used as an effective marketing tool by our branches.
  • To mobilize relatively sustainable (as fixed nature) for bank’s long term liquidity needs.
  • To encourage gradual but steady savings.

Eligibility/Target Group

  • Salaried Employees, Housewives, Professionals (different individuals), kids, students, etc

Pricing/Amount/Features

  • Minimum Balance to be maintained : 
    NPR 1,000- 3 year scheme
    NPR 3,000 - 4 year scheme
    NPR 5,000 - 5 year scheme.
  • Interest Rate : As per timely Interest Published by the Bank
  • Tax on interest shall be levied as per prevailing income tax act.
  • Interest is payable quarterly and debit is restricted.
  • The interest is also accumulated in the principle amount and could be withdrawn after the maturity only.
  • A minimum amount of NPR 500/- needs to be deposited every month. Whereas, a bulk amount in multiple of NPR 500/- also could be placed before hand

Benefits

  • Free ABBS Facility
  • Free on demand account statement once a month.
  • Other charges as per STC
  • Minimum deposit of NPR 500/- is required each month. However, any amount with multiple of NPR 500/- could be deposited.
  • Standing instruction from any account could be given for the transfer of fund to this particular account

Documentation

  • Application form/Covering letter.
  • Other legal documents-Citizenship Certificate, 2 pcs of passport size photographs.
  • Standing Instruction, if any