What is RBI's new rule on FD?...

If you also keep investing in Fixed Deposit (FD) from time to time, then this news is of your use. The rules related to FD have been changed by the bank OF INDIA' target='_blank' title='reserve bank of india-Latest Updates, Photos, Videos are a click away, CLICK NOW'>reserve bank of india (RBI). In such a situation, these rules have come into force and if you do not know the rules, then you can be harmed.

What is RBI's new rule on FD?

RBI has made this change in the rules of Fixed Deposit (FD) that if you do not claim your amount after maturity, then you will get less interest on it. This interest will not be FD but will be equal to the interest received on the savings account. At present, more than 5 percent interest is given by banks on FDs of 5 to 10 years. At the same time, the interest rates on the savings account range from 3 to 4 percent.

What are the new rules of RBI?

According to the information given by the RBI in the last days, if the FD matures and the amount is not paid or claimed, then the interest rate on it is determined on the basis of savings accounts or on the matured FD. The interest rate, whichever is lower, will be available. This rule will be applicable on deposits in all commercial banks, small finance banks, cooperative banks, local regional banks. These were the old rules.

Earlier on the maturity of your FD, if you did not withdraw or claim it, then the bank used to extend your FD for the same time for which you had made a fixed deposit earlier, but now if you do not withdraw money on maturity, then FD interest will not be available. In such a situation, now if the maturity of your FD is complete, then you immediately withdraw that amount, otherwise you may suffer loss in this investment.