With effect from January 1, 2025, the Reserve Bank of India has announced modifications to the FD Rule Changes By RBI In 2025. These FD Rule Changes By RBI In 2025 address several topics, such as accepting public deposits, maintaining a minimum proportion of liquid assets, offering complete coverage for public deposits, and repaying public deposits for certain urgent needs, among other things. Individual savings preferences might differ greatly depending on factors including the available funds, the time frame preferred, and particular savings objectives. Because they offer a guaranteed fixed interest rate at maturity and are shielded from market fluctuations, fixed deposit accounts are still a popular option for saving money. We have mentioned all the Important Changes In FD Rules 2025 By RBI which might be informational for you.
FD Rule Changes By RBI In 2025
New rules for FDs with NBFCs and HFCs have been introduced by the RBI and will take effect on 1st January 2025. Revisions to the premature withdrawal regulations are among the major FD Rule Changes By RBI In 2025. Depositors may withdraw their full amount, interest-free, after three months of making a small deposit of up to Rs 10,000. For larger deposits, interest-free partial withdrawals up to 50% of the original sum or Rs 5 lakh, which is smaller, are allowed within three months. Furthermore, regardless of the deposit period, depositors may prematurely withdraw the full principal amount without incurring interest in the event of serious sickness. Additionally, by notifying depositors of maturing details at least two weeks before to the maturity date, NBFCs will now give them more timely updates.
New Fixed Deposit Rules By RBI 2025
| About | New Fixed Deposit Rules By RBI 2025 |
| Ruling Bank | Reserve Bank of India |
| New Interest Rate | 2.10% to 7.75% |
| Minimum Deposit Amount | Rs.1,000 |
| Interest Compound Frequency | Monthly, Quarterly, Annually |
| Category | Finance |
| Investment Tenure | 7 to 10 days |
Important Changes In FD Rules 2025 By RBI
Check some of the Important Changes In FD Rules 2025 By RBI through the points below.
- Small Deposits: Depositors can request a full premature withdrawal without interest for deposits of Rs 10,000 or less if made within three months of deposit acceptance.
- Other Deposits: Within three months, investors may withdraw up to 50% of their principal or Rs 5 lakh, whichever is less, from other public deposits without incurring interest. By regulations, the leftover amount will continue to accrue interest.
- Critical Illness: Despite of the deposit period, holders of critical illness are entitled to an early, interest-free withdrawal of the entire original amount.
- Nomination Process: NBFCs should acknowledge receipt of completed nomination forms, including cancellations or changes, for all customers.
- Nominee in Passbook: With customer consent, NBFCs are advised to mark passports or invoices as “Nomination Registered” and provide the nominee’s name.
- Calamity: Urgent expenses include medical emergencies or costs from government-recognized natural disasters.
- Existing Contracts: These provisions also apply to existing deposit contracts with a three-month withdrawal restriction.
- Maturity information: NBFCs were previously required to give depositors notice of the maturity information at least two months before the maturity date. The RBI’s most recent directives, however, have shortened this notice time to 14 days.
What Are The Types of FDs?
Fixed deposit accounts can be categorized based on their benefits, account holder type, and purpose. Here are some types:
- Regular Fixed Deposit Account: For individuals under 60, offering lower interest rates compared to senior citizen accounts. Open to all resident Indian individuals.
- Corporate Fixed Deposit Account: Designed for corporate entities, offering distinct interest rates and tenures for temporarily depositing surplus funds.
- Tax-Saving Fixed Deposit Account: Aimed at risk-averse individuals, with a minimum five-year lock-in period for tax deductions under Section 80C of the Income Tax Act, 1961.
- Non-Resident Ordinary Fixed Deposit Account: Available to Overseas Citizens of India, Persons of Indian Origin, and Non-Resident Indians, allowing deposits in Indian Rupees and can be jointly held with qualifying Indian residents.
- Non-Resident External Fixed Deposit Account: Open to two or more NRIs.
Bank Wise New Fixed Deposit Interest Rate 2025
As per the new rules given by the RBI, the new fixed deposit interest rates by banks are given below:
| Name of Bank | Tenure | Bank Wise New Fixed Deposit Interest Rate 2025 |
| Bank of Baroda | 399 Days | 7.25% |
| Bank of India | 666 Days | 7.30% |
| Bank of Maharastra | 777 Days | 7.25% |
| Canara Bank | 444 Days | 7.25% |
| Central Bank of India | 444 Days | 7.45% |
| Indian Bank | 400 Days | 7.25% |
| Indian Overseas | 444 Days | 7.30% |
| Punjab National Bank | 400 Days | 7.30% |
| State Bank of India | 400 Days | 7.10% |
| Union Bank of India | 333 Days | 7.40% |
How To Open A FD Account In 2025?
- Open the net banking account of the chosen bank and log in.
- Among the features offered, look for the “Open a Fixed Deposit Account” option, then select it.
- Fill out the web-based application form with all the required information.
- All of the needed papers’ soft copies should be uploaded.
- If applicable, name a nominee for the maturity amount.
- After completing the application, transfer the desired investment amount.
FAQs On FD Rule Changes By RBI In 2025
According to the time of the FD, each bank gives a different interest rate.
To calculate the FD interest rate, multiply the principal by the interest rate and the time.
Numerous banks provide a five-year FD plan designed to reduce taxes.