Long Term Subordinated Deposits
Open a long term investment account today & earn higher rate of interest than what our other scheme offers as half yearly interest for next 5 years and have your principal amount back intact on maturity.
Eligibility :
- Resident Individuals (either singly or jointly)
- Associations
- Trusts
- Hindu Undivided Families (HUFs)
- Clubs
- Societies
- Firms (proprietorship / partnership)
- Public / Private limited company
- Institutions specially permitted by RBI (Excluding: Urban Co-operative Banks)
Features :
- AMOUNT OF DEPOSIT
- Minimum : ₹10,000/- & thereafter in multiples of ₹ 5,000/-
- Maximum : ₹ 25 lakhs for Individual / s
₹ 50 lakhs for other than Individual / s - PERIOD OF DEPOSIT
- Fixed period of 60 months
- PAYMENT ON MATURITY
- On maturity, Submit your self-discharged deposit receipt at home branch. After signature verification, bank officials will credit the maturity amount of said Deposit Receipt to customer’s account with us or will be paid through NEFT / RTGS / Pay Order / Demand Draft.
- On maturity, if option is given, the TDR receipt will get renewed automatically if amount is below 15 lacs & will be as per applicable rules.
- PREMATURE PAYMENT
- The deposit cannot be withdrawn prematurely.
- LOAN AGAINST TDR
- The term deposit cannot be pledged to secure loan/overdraft or as security to locker or any other asset.
- INSURANCE COVERAGE
- Non applicable for DICGC Cover
Documentation :
In case of new customers
- Term Deposit Form (TDF)
- Customer Information Form (CIF)
- Identity & Address proof as per KYC norms
- 2 Passport size photos of applicant
- Related documents in case of Associations, HUF, Clubs, Trust, Society, etc.
- Other related documents as per RBI guidelines (If any)
- Long Term Deposit Form (LTDF)
- Related documents in case of Associations, HUF, Clubs, Trust, Society, etc.
- Other related documents as per RBI guidelines (If any)
In case of existing customers
ROI :
- Please click here to know our latest interest rates
TDS :
- The tax on interest earned is deductible in accordance with the provisions of the Income Tax Act 1961.
- 15H / 15G required to be submitted for exemption of TDS
Benefits :
- NOMINATION FACILITY
- Available to eligible persons as per rules
- DEPOSIT RECEIPT & RENEWAL PROCESS
- After depositing the amount customer will be issued a printed certificate (TDR) with full particulars filled in such as customer number, name of depositor / s, date of deposit, amount of deposit, deposit account number, period of deposit, due date of deposit & rate of interest rate, etc.
- The deposit cannot be auto renewed.
- You may check the details of term deposit account through Internet banking as well as our Mobile Banking (Kalyan Klick) option. The term deposit account will reflect in your Internet Banking / Mobile Banking within 2 working days from term deposit account opening date.
- Further, once the term deposit is created, funds will be debited from your savings / current account by mentioning the term deposit account & receipt number.
- For term deposits, TDS on interest earned on term deposit will now be deducted at 7.5% instead of the previous 10% as per Income Tax Act 1961.
- All customers, other than company, firm, co-operative society or Non Resident who do not have taxable income can submit a self-declaration in the prescribed Form 15G / 15H for the purposes of availing TDS exemption in accordance with the provisions of Income Tax Act 1961.
- The customer can visit the nearest Kalyan Janata Bank branch to collect & submit Form 15G / 15H. Such form or tax exemption certificate has to be submitted every financial year for each term deposit held and on each renewal of the deposit.
- In case of trust accounts, the exemption or reduction in TDS percentage is allowed to those trusts, who have furnished letter from competent authority mentioning about the same.
- Form 15 G
- When a depositor’s annual income is less than ₹ 2.5 lakh (or ₹ 3 lakh for senior citizens) and tax due is nil, the depositor must file Form 15G or Form 15H with the bank requesting the bank to not to deduct TDS on interest income from FDs exceeding ₹ 40,000 or, in the case of senior citizens, ₹ 50,000.
- Form 15H
- Form 15H is similar to Form 15G, except that Form 15H is exclusively for senior citizens who are 60 years and above in age.
- Conditions For Form 15H
- The depositor should be 60 or above of age
- Annual income should be less than ₹ 3 lakh in case of senior citizens.
- Should be a resident Indian.
- If your total taxable income during the financial year is not likely to exceed the maximum amount which is not chargeable to income tax, then you can submit self-declaration in Form 15G or 15H (for senior citizens only) to the bank to ensure non deduction of tax at source. The declaration has to be given in prescribed format only wherein the valid 10 digit PAN is also required. It may be noted that if the interest payable by the bank on time deposits, during the financial year is likely to exceed the maximum amount which is not chargeable to income tax, then the Form 15G submitted will be treated as invalid. In case of Senior Citizens, if the interest payable by the bank during the financial year on time deposits is likely to exceed the maximum amount which is not chargeable to tax and deduction(s) under chapter VI (A), if any, for which declarant is eligible, then the Form 15H submitted will be treated as invalid. For more information regarding taxation criteria you may visit official website of Income tax - https://www.incometaxindia.gov.in
- Yes, depositor can redeem money by submitting self-discharged deposit receipt at home branch with the instructions of premature closure. After signature verification, bank officials will credit the maturity amount of said deposit receipt to customer’s account with us or will be paid through NEFT / RTGS / Pay Order / Demand Draft.
- Payment before maturity will be available as per the prevailing rules. Also penal interest will be charged as per bank’s rule on premature withdrawal of deposit receipt.
- Yes, an additional interest rate offered to senior citizens on term deposits. This mark-up is subject to change at the discretion of the Bank. You may refer to the interest rates hosted on our website www.kalyanjanata.in
- No, on the date of maturity of term deposit depositor has to visit home branch & submit self-discharged deposit receipt. After signature verification, bank officials will credit the maturity amount of said deposit receipt to customer’s account with us or will be paid through NEFT / RTGS / Pay Order / Demand Draft.