Bank of India offers various types of deposit options, and one of the most systematic and secure means of depositing is the Recurring Deposit. RDs are ideal for those looking to secure their financial future as they allow account holders to deposit a fixed amount every month, ensuring a steady accumulation of savings over time.
In this article, we will delve deeper into the Bank of India RD interest rates, types, features, application procedure and much more.
Let us take a glance at the Bank of India Recurring Deposit Scheme Highlights for 2025:
Tenure | 7 days to 10 Years |
Minimum Deposit Amount | Rs. 500 |
Maximum Instalment Amount | Rs. 10 lakh |
Interest Rates for General Public | 3.00% to 7.30% per annum |
Senior Citizen Interest Rates | 3.50% to 7.80% per annum |
Highest Rates for Public | 7.30% per annum |
Highest Rates for Senior Citizens | 7.80% per annum |
Bank of India offers lucrative interest rates for its customers, allowing them to grow their income systematically and securely. Here is the interest rate table applicable to the general public as given below:
Deposit Duration | For deposits less than Rs. 3 Crore (%) | For deposits of Rs. 3 Cr but less than Rs. 10 Crore (%) |
7 days to 14 days | 3.00 | 4.50 |
15 days to 30 days | 3.00 | 4.50 |
31 days to 45 days | 3.00 | 4.50 |
46 days to 90 days | 4.50 | 5.25 |
91 days to 179 days | 4.50 | 6.00 |
180 days to 210 days | 6.00 | 6.50 |
211 days to 269 days | 6.00 | 6.75 |
270 days to less than 1 Year | 6.00 | 6.75 |
1 year | 6.80 | 7.25 |
1 year to 2 years (except 400 Days) | 6.80 | 6.75 |
400 days | 7.30 | 6.75 |
2 years | 6.80 | 6.50 |
Above 2 years to less than 3 years | 6.75 | 6.50 |
Above 3 years to less than 5 years | 6.50 | 6.00 |
Above 5 years to less than 8 years | 6.00 | 6.00 |
8 years and above to 10 years | 6.00 | 6.00 |
The below table provides the RD interest rates 2025 for senior citizens in Bank of India:
Deposit Duration | For deposits less than Rs. 3 Crore (%) | For deposits of Rs. 3 Cr but less than Rs. 10 Crore (%) |
7 days to 14 days | 3.50 | 5.00 |
15 days to 30 days | 3.50 | 5.00 |
31 days to 45 days | 3.50 | 5.00 |
46 days to 90 days | 5.00 | 5.75 |
91 days to 179 days | 5.00 | 6.50 |
180 days to 210 days | 6.50 | 7.00 |
211 days to 269 days | 6.50 | 7.25 |
270 days to less than 1 Year | 6.50 | 7.25 |
1 year | 7.30 | 7.75 |
1 year to 2 years (except 400 Days) | 7.30 | 7.25 |
400 days | 7.80 | 7.25 |
2 years | 7.80 | 7.00 |
Above 2 years to less than 3 years | 7.20 | 7.00 |
Above 3 years to less than 5 years | 7.00 | 6.50 |
Above 5 years to less than 8 years | 6.50 | 6.50 |
8 years and above to 10 years | 6.50 | 6.50 |
BOI offers two types of recurring deposit accounts to cater to diverse customer requirements, which are as follows:
The regular recurring deposit account from the Bank of India offers customers an attractive interest rate. It mainly caters to individual customers, which can be single accounts, joint accounts, minors and physically disabled persons. The minimum amount of instalment is Rs. 500 and in multiples of 500 with a maximum limit of Rs. 10 lakh. Moreover, the interest payable is compounded on a quarterly basis, and the default KYC norms are applicable to this type of account, like any other deposit scheme.
It is a flexible recurring deposit scheme offered by the Bank of India, allowing customers to deposit more than the predetermined amount; it is fixed at Rs. 500 in metro and urban branches and Rs. 100 in rural and semi-urban branches. The core amount earns the interest at the prevailing rates at the opening of the account, while the surplus amount earns the interest at a prevailing rate on the date of making the deposit. Individuals, including minors, can apply for this type of scheme, such as regular recurring deposit accounts.
Bank of India offers attractive rates on its recurring deposits and various other perks. Let us take a closer look at some of the key features of Bank of India:
The RD interest offered by the Bank of India is compounded on a quarterly basis, allowing you to leverage the compounding benefits. Let's now have a quick look at the calculation of interest with the help of a manual formula.
M = R x {(1 + n) x n – 1} / 1- (1 + i) (-1/3)
Here,
M = Maturity amount
R = Monthly deposits
n = Tenure
i = Rate of interest
Let us understand the calculation of Bank of India RD interest rates with the help of an example:
Miss Mukherjee starts a monthly RD of Rs. 2000 for a duration of 3 years. The rate of interest is 7% per annum; now let us find out the interest earned by Miss Mukherjee over the tenure.
Where:
R = Rs. 2000
i = 7% per annum or 0.07/4 = 0.0175 (quarterly)
n = 12 quarters
M = Rs. 2000 [(1 + 0.0175) x 12 - 1] / (1 - (1 + 0.0175) (-1/3))
M = Rs. 80,274.6
Hence, the maturity amount is Rs. 80,274.6.
Total amount deposited by Miss Mukherjee = Rs. 2000 × 36 = Rs. 72,000
Interest earned = Rs. 80,274.6 - Rs. 72,000 = Rs. 8,274.6
Therefore, Miss Mukherjee will earn Rs. 8,274.6 as interest over the tenure.
In seconds, you can conveniently calculate the estimated returns by putting the tenure and monthly deposit amount through the RD Calculator.
The following is a list of eligible individuals who can open a recurring deposit account at the Bank of India (BOI):
Listed below are the documents required for opening an RD account with Bank of India:
You can start a recurring deposit account in Bank of India both in an online and offline mode. Here are the steps guiding you to open a Bank of India RD Account:
Opening BOI RD via Online:
Follow the steps given below for online mode:
Opening BOI RD via. Offline:
Follow the steps below for offline mode:
Upon successfully opening your RD account, you will receive your RD passbook containing your account details.
There can be circumstances when you might need to close your recurring deposit account on a premature basis. Here are the steps guiding you to close your Bank of India recurring deposit account:
The following pointers feature some of the benefits you can utilise by opening a recurring deposit account at the Bank of India:
Bank of India allows its customers to make premature withdrawals for its customers. If the account is closed within the first three months of opening, the bank will not provide any interest, and the principal amount will be transferred to your chosen savings account. The premature withdrawal is subject to a certain penalty charge, and the applicable amount will be reduced from the last quarter.
The attractive Bank of India RD interest rates, combined with the power of compounding, make it a preferred choice for those seeking guaranteed returns with minimal risk. Whether saving for short-term goals or long-term financial security, the BOI RD caters to diverse financial needs, offering both stability and growth.