Recurring Deposit - Jan Yojana Urban Credit Cooperative Society Ltd.
A Recurring Deposit (RD) is a savings product that allows members to save a fixed amount of money regularly for a fixed tenure, earning interest at maturity. This product is ideal for individuals who want to build savings gradually by depositing a fixed sum every month.
Key Features:
- Regular Deposits : Members must deposit a fixed amount every month for the agreed tenure.
- Fixed Interest Rates : The interest rate is fixed at the time of account opening and remains unchanged throughout the term.
- Flexible Tenure : The tenure typically ranges from 6 months to 5 years.
- Loan Against RD : Members can take loans against their recurring deposit.
Advantages:
- Encourages disciplined savings.
- Fixed interest rate provides guaranteed returns.
- Ideal for those who cannot invest large sums upfront.
