Term Deposit

Term deposit or fixed deposits are deposits, where the depositor makes a lump sum deposit at our time for a fixed term and receives payment thereof on maturity. Bank of Baroda provides term deposits for 7 days to 120 months.

The bank categorises term deposits as less than 12 months (short term deposits), more than 12 months (long term deposits) and recurring deposits. The bank offers a choice of term deposits for you to choose from. Visit https://www.bankofbaroda.in/personal-banking/accounts/deposits to apply to the most suitable.

While term deposits come with attractive returns, they have low risks and higher term interests than saving accounts, and if you are a senior citizen, your returns are higher. Bank of Baroda offers a choice of deposits with high returns in short periods. The choice of term deposits depends on your capacity to invest and the term of investment you choose. Read each scheme carefully to decide which scheme suits your investment portfolio.

Interest rates varies depending on the tenure for which the Term deposit is opened.

For more insight click: https://www.bankofbaroda.in/interest-rate-and-service-charges/deposits-interest-rates

Interest payment is subject to Tax Deducted at source (TDS) as per prevailing Income Tax ACT. However, TDS on deposits that earn interest more than the maximum cap in a financial year as per income tax guidelines.

The Bank on request from the depositor, at its discretion may allow withdrawal of Term deposit before completion of the period of the Deposit agreed upon at the time of placing the deposit. The Bank shall declare their penal interest rates, policy for premature withdrawal of Term Deposit from time to time. Penalty will be deducted as per Bank’s extant guidelines.

Fixed deposits are profitable as they generate better returns over regular savings account Therefore, in terms of interest rates, a term deposit will multiply your principal fund at a healthy rate. You can access the Savings Account at whatever time you require. It is a good practice to maintain a Savings Account, and at the same time, invest in term deposits according to your saving capacity.

The Bank on request from the depositor, at its discretion may allow withdrawal of Term deposit before completion of the period of the Deposit agreed upon at the time of placing the deposit. The Bank shall declare their penal interest rates, policy for premature withdrawal of Term Deposit from time to time. Penalty will be deducted as per Bank’s extant guidelines.