To celebrate 75 years of India’s independence, the public sector lender Bank of Baroda (BoB) on August 16, 2022, has launched the ‘Baroda Tiranga Deposit Scheme’ for a limited time period i.e. till December 31, 2022. It applies to retail deposits under Rs 2 crore.
- It is a Special Fixed Deposit (FD) scheme offering a higher interest rate for subscribers.
- It is available in two tenor buckets offering interest rates of 5.75% per annum for 444 days and 6% per annum for 555 days.
Key Points:
i.Under this scheme, senior citizens will earn an additional interest rate of 0.50% per annum.
ii.Non-Callable Deposits will also get 0.15% per annum extra.
- This means senior citizens opening a non-callable deposit under this scheme can get up to 6.65% interest in 555 days.
- Other investors can get 6.15% interest in non-callable for a 555 days tenure.
What is Callable FD & non-Callable FD?
In Callable FD, customers are allowed premature money withdrawal, while in non-Callable FD, customers are not allowed to withdraw money before the end of maturity due date with some exceptions like bankruptcy, winding up of business, death etc.
- Hence, a non-Callable FD carries a higher interest rate.
- The amount required to be deposited in a non-callable fixed deposit is generally higher than callable term deposits.
Baroda Tiranga Deposit Scheme Details:
For 444 Days (Callable)
In this category, Tiranga FD will provide customers in the general (ordinary citizens), non-resident external account (NRE), and non-resident ordinary account (NRO) categories an interest rate of 5.75%, while senior citizens will get 6.25%.
For 444 Days (Non-Callable)
In this, general/NRE/NRO customers will get an interest rate of 5.9%, while senior citizens will get 6.4%.
For 555 Days (Callable)
In this category, BoB customers in the general/NRE/NRO category will get an interest rate of 6%, while senior citizens will get an interest rate of 6.5%.
For 555 Days (Non-Callable)
Under this plan, BoB customers in the general/NRE/NRO category will get an interest rate of 6.15 % and senior citizens will get 6.65%.
Ujjivan SFB introduced new Deposit Products
The Ujjivan Small Finance Bank (SFB) has also introduced two new tenures of retail FDs (below Rs 2 crore) viz. 75 weeks (525 days) and 75 months, both carrying the highest rate of 7.50%.
- It has increased the interest rate on 990 Days (Platina) FD from 7.20% to 7.50%.
- It has revised the additional rate for senior citizens to 0.75% from 0.50%.
Customers can invest a minimum of Rs 15 lakh to below Rs 2 crore under the Platina FD which is a non-callable plan.
Recent Related News:
i.BoB has partnered with Women’s World Banking (WWB), a global Non-Profit Organization (NPO), to launch the broader Phase 3 of the ‘Baroda Jan Dhan Plus’ to inculcate savings behaviour in customers.
ii.The South Indian Bank (SIB) has signed an agreement with Kerala’s Forest and Wildlife Department to enable digital collection of payments at eco-tourism centres, Vanasree shops, mobile Vanasree units and eco- shops across Kerala.
About Bank of Baroda (BoB):
Establishment– 1908
MD & CEO– Sanjiv Chadha
Headquarters– Vadodara, Gujarat
Tagline– India’s International Bank
