Dena Bank RD Interest Rates

In the Dena Bank RD, interest rates account, a pre-specified amount is deposited at periodic intervals on a daily basis and its term is out there from a minimum of 6 months to a maximum of 10 years with monthly installments of 12, 24, 36, 48, 60, 72, 84, 96, 108 and 120 months. Dena Bank is one of the most well-reputed public sector banks within the country that was established in 1969. there’s an enormous list of deposit options to settle on from as far as Dena Bank fixed deposits are concerned.

Dena Bank RD Interest RatesDena Recurring Deposit Features

The Dena Bank RD Account has several benefits. A person who opens a Dena Bank Savings account can get access to the following sets of benefits-

  • Dena Bank Recurring Deposit allows you to choose a Term & Amount you wish to invest every month and earn Guaranteed Return at an applicable interest rate
  • Nomination Facility Available
  • Facility to book Recurring Deposit through Internet Banking
  • The deposit tenure ranges from 240 months
  • Visit any Dena Bank branch to avail of his service
  • TDS deductions are subject to the existing income tax rules as at the time of opening the RD account

Dena Bank RD Interest Rates 2021

Tenure Interest rate p.a. (General Public)
Interest rate p.a. (Senior citizens)
7 days to 14 days 4.50% 5%
15 days to 45 days 4.75% 5.25%
46 days to 90 days 5% 5.50%
91 days to 180 days 5.75% 6.25%
181 days less than 1 year 6.50% 7.00%
12 months 6.70% 7.20%
1 year 1 day to 400 days 6.85% 7.35%
400 days to 24 months 6.80% 7.30%
24 months 1 day to 36 months 6.70% 7.20%
36 months 1 day to 60 months 6.70% 7.20%
60 months 1 day to 120 months 6.70% 7.20%
444 days 7% 7.50%

Types of Dena BankRecurring Deposit Schemes

There are a variety of different RD Interest Rates which can be availed during the deposit process of the amount. Based on the tenure Dena Bank Recurring Deposit can be classified into three types, these are:

Short-Term RD

Under this type of Dena Bank Recurring Deposit, your deposit’s tenure ranges between 6 months to 3 years. Such RD is best suited for those who are looking to develop the habit of savings. 

Medium-Term RD

When you are not willing to commit for the long tenure and are not sure how much benefit you can get from RD, then opting for a medium-term recurring deposit is a good decision. It provides the right balance of flexibility and commitment to invest so that you can assess its benefits. The tenure ranges from 3 years to 7 years. 

Long-Term RD

The long-term RD is best suited when you want to earn the return on your investment but do not have the lump sum amount to invest in a fixed deposit. By investing in recurring deposits you get the flexibility of making monthly investments and earn a return similar to FD. The tenure ranges from 7 years to 10 years. 

Documents required to open Recurring Deposit Account in Dena Bank

Identity Proof Address Proof
Passport Passport
PAN card Telephone bill
Voter ID card Electricity bill
Driving license
Bank Statement with Cheque
Government ID card
Certificate/ ID card issued by Dena Bank
Photo ration card
Senior citizen ID card

Dena Bank Recurring Deposit Rates – Premature Withdrawal

You can open a Recurring time deposit account with Dena Bank for a minimum tenure of which may go up to maximum tenure of 240 months. Premature withdrawal of RD with Dena Bank is allowed. Dena Bank may charge a nominal amount of penalty as per their banking norms. However, Partial withdrawal of the RD account is not allowed. Bank offers you the grace of some days if you delay the payment beyond the maturity. In case you are doing not pay your installment after maturity, Dena Bank will charge a penalty as per their norms.

Calculation of Dena Bank Recurring Deposit Interest Rates

Certain methodologies are to be followed for calculating the interest rate of the recurring deposit made by Dena Bank. Firstly you need to identify the functioning of the interest rates. Then after using the formula of interest calculation and inputting the principal amount of the loan and the subsequent loan tenure, you will get the recurring deposit rates which you will obtain on keeping the deposits with the banking institutions. 

RD Account Opening Process at Dena Bank

Following methodologies should be added to open a Recurring Deposit account in a leading banking institution in the country-

  • Approach the banking institution with an account-opening form
    • Two passport size photographs
    • Address and identity proof such as the Aadhaar card, passport, PAN (permanent account number) card or declaration in Form 60 or 61 as per the Income Tax Act, 1961, driving license, voter’s identity card, or ration card.
  • Carry original identity proof for verification at the time of account opening. Physical Verification is a very important step in the account opening process. 
  • Choose a nominee and get a witness signature to complete the formalities and get started. After obtaining the requisite signature your account becomes valid and active. 

Nomination Facility on Dena Bank RD

A nomination facility is available in Dena Bank recurring deposits. Whether you open it in a single name or joint name, only one nominee per account is permissible. You should ensure that the nomination is followed as per RBI rules. You can change the nominee through declaration in appropriate form. The nominee is the beneficiary of the deposit that you have made in the banking institution. Once you have posted the recurring deposit and consequently if you die an untimely death, your beneficiary would be able to derive benefit directly from the deposit that you have made.

Tax Benefits on Dena Bank Recurring Deposit

No tax exemption is allowed on RDs. These are subject to TDS (tax deducted at source) for an interest income exceeding ₹ 10,000. Tax deductions are maximized by the depositors to avail the benefits offered through investment analysis. Therefore tax deduction is an important consideration.

Dena Bank News Snippets

Dena Bank Services After Merge

Dena Bank and Vijaya Bank’s merger with Bank of Baroda became effective from 1 April 2019.

Consequentially, customers of Bank of Baroda will have access to a complete of 8,248 domestic branches and 10,318 ATMs across the country. The amalgamated bank said on 20 December that it’s completed the integration/migration of 3,898 branches of Vijaya Bank and Dena Bank.

Dena Bank Recurring Deposit Interest Rates – FAQs

What Is The Eligibility For Opening An RD Account?

Indian residents and HUF (Hindu Undivided Families) can open RD accounts. NRIs can also open the RD account through NRO and NRE accounts. Banks provide RD schemes for minors as well, under the guardianship of parents to supervise their finances.

What Is The General Tenure/Duration Of Dena Bank Recurring Deposits?

Dena Bank RD can be opened for the minimum to maximum tenure of 240 months.

What Exactly Happens On Maturity Of RD Account?

On maturity of your RD account, you can ask the bank to transfer the principal amount and the accumulated interest component directly into your linked savings account. You can also invest your RD amount in fixed deposits after maturity.