Recurring Deposit (RD) Interest Rates 2024: Recurring deposit is a post office scheme which is also available at banks. The National Savings Recurring Deposit Account, also known as post office RD provides guaranteed returns in the form of 6.7 per cent annual interest rate compounded quarterly. One can have a single or a joint account (up to three adults, Joint A or B), and a guardian on behalf of a minor can also open an account. The post office comes with a 5-year lock-in period, which can be extended for further five years. The minimum monthly deposit amount is Rs 100 or any amount in mutiples of Rs 10. There is no maximum limit to deposit. One can also make advance payments. One can closed the RD account prematurely after 3 years from the date of account opening.

RD facility at banks

Almost all leading public and private banks provide the facility of the RD account.

The interest may vary between 2.50 per cent to 8.50. Senior citizens get up to 1 per cent extra interest rate on RDs.

Some of the banks that provide the facility of RD are State Bank of India (SBI), ICICI Bank, HDFC Bank, Axis Bank, Bank of Baroda, PNB, Canara Bank, IDBI Bank, Yes Bank, etc.     ​​

SBI vs ICICI Bank VS HDFC Bank RD rates

SBI RD Rates

The country’ biggest public sector bank provides RD facility with the minimum deposit of Rs 100 per month (thereafter in multiples of Rs 10/-.

The minimum and maximum period ranges between 12 months and 10 years. The bank provides different RD rates for different duration policies.

SBI provides 6.50 per cent and 7.00 per cent annual interest rates to regular citizens on deposits below Rs two crore.

Senior citizens, on the other hand, get additional 0.50 per cent to 0.80 per cent interest rate on all tenures.

ICICI RD rates

ICICI Bank has different RD rates for short-, medium- and long-term policies. 

The RD policy of up to one-year tenure falls under the short-term category.

General citizens get an interest rate from 4.75 per cent to 6.70 per cent per annum.

RDs with teurees between one and three years are medium term and the interest rates of them range between 6.70 per cent to 7.20 per cent per annum. 

RDs with more than three years up to five years, which comes under the long-term category, the interest rate is 7.00 per cent per annum. 

For RDs above five and up to 10 years, the interest rates is 6.90 per cent. 

Senior citizens get additional interest rate. ICICI Bank offers RD rates between 5.25 per cent to 7.75 per cent to them.  

All rates have been taken from the ICICI website.

The minimum deposit amount for the ICICI RD is Rs 500. The bank charges a late penalty of Rs 12 per Rs 1,000.

HDFC Bank RD rates

HDFC Bank’s RD interest rates are based on the tenure and the total amount.

It has different slabs for deposits of less than Rs two crore, greater than or equal to Rs 2 crore to less than Rs 5 crore, and greater than and equal to Rs 5 crore.

HDFC Bank RD interest rates for deposits of less than Rs 2 crore range between 3 per cent to 7.75 per cent.

HDFC Bank RD interest rates for deposits of greater than or equal to Rs 2 crore to less than Rs 5 crore range between 4.75 per cent to 7.90 per cent.

HDFC Bank RD interest rates for deposits of greater than greater than and equal to Rs 5 crore range between 4.75 per cent to 7.40 per cent.

All RD interest rates have been taken from the HDFC Bank website.