The Central Bank of India is one of India's leading public sector banks, offering several Recurring Deposit schemes. These are ideal for individuals with a regular source of income who can invest every month for a predetermined tenure. The competitive Central Bank of India RD interest rates increase the chances of getting good returns.
Thus, scroll down to get detailed information about the same.
The following table showcases a quick highlight of the Central Bank of India's Recurring Deposit scheme:
Tenure | 7 days to 10 Years |
Senior Citizen Interest Rates | 4.00% to 7.75% |
General Public Interest Rates | 3.50% to 7.25% |
Highest Rates for Public | 7.25% |
Premature Withdrawal | Rs. 1.5 on every Rs. 100 deposit (up to 5 years tenure) and Rs. 2 on every Rs. 100 deposit (more than 5 years tenure) |
Minimum Deposit Amount | Rs. 100 |
Highest Rates for Senior Citizens | 7.75% |
The Central Bank of India offers attractive interest rates that enable you to secure handsome returns once the tenure is completed.
Thus, the following table showcases the Central Bank of India RD interest rates 2025:
Given below are the interest rates offered by the Central Bank of India on Recurring Deposits of less than Rs. 3 crore:
Tenure | Interest Rates for the General Public | Interest Rates for Senior Citizens |
7 days to 14 days | 3.50% p.a. | 4.00% p.a. |
15 days to 30 days | 3.75% p.a. | 4.25% p.a. |
31 days to 45 days | 3.75% p.a. | 4.25% p.a. |
46 days to 59 days | 4.50% p.a. | 5.00% p.a. |
60 days to 90 days | 4.75% p.a. | 5.25% p.a. |
91 days to 179 days | 5.50% p.a. | 6.00% p.a. |
180 days to 270 days | 6.25% p.a. | 6.75% p.a. |
271 days to 364 days | 6.25% p.a. | 6.75% p.a. |
1 year to less than 2 years | 6.85% p.a. | 7.35% p.a. |
2 years to less than 3 years | 7.00% p.a. | 7.50% p.a. |
3 years to less than 5 years | 6.75% p.a. | 7.25% p.a. |
5 years and above up to 10 years | 6.50% p.a. | 7.00% p.a. |
Given below are the interest rates offered by the Central Bank of India on Recurring Deposits from Rs. 3 crore to Rs. 10 crore:
Tenure | Interest Rates for the General Public in % p.a | Interest Rates for Senior Citizens in % p.a |
7 days to 14 days | 5.25% p.a. | 5.75% p.a. |
15 days to 30 days | 5.25% p.a. | 5.75% p.a. |
31 days to 45 days | 5.75% p.a. | 6.25% p.a. |
46 days to 59 days | 6.00% p.a. | 6.50% p.a. |
60 days to 90 days | 6.00% p.a. | 6.50% p.a. |
91 days to 179 days | 6.50% p.a. | 7.00% p.a. |
180 days to 270 days | 6.75% p.a. | 7.25% p.a. |
271 days to 364 days | 7.25% p.a. | 7.75% p.a. |
1 year to less than 2 years | 7.00% p.a. | 7.50% p.a. |
2 years to less than 3 years | 6.50% p.a. | 7.00% p.a. |
3 years to less than 5 years | 6.00% p.a. | 6.50% p.a. |
5 years and above up to 10 years | 5.75% p.a. | 6.25% p.a. |
The Central Bank of India offers four types of Recurring Deposit schemes that cater to the varied financial preferences of different account holders:
It is the most common type of Recurring Deposit where the account holders invest a monthly amount throughout the predetermined tenure. Based on the selected tenure, the account holder can earn the applicable interest. Under this type of RD account, individuals aged above 10 years can also opt for monthly investments under their legal parents.
This type of RD account at the Central Bank of India requires Rs. 100 minimum as the initial deposit. Minors aged below 10 years are also allowed to open this account jointly with their parents. Besides, it also allows you to deposit additional funds within the tenure, wherein the bank does not charge any penalty for premature withdrawal or delayed deposits.
Under this new scheme by the Central Bank of India, account holders can earn an interest of up to 6.55% on the deposited amount annually. Also, the selected tenure should be within 1 year to 10 years.
This type of Recurring Deposit account at the Central Bank of India offers attractive interest rates for a period of up to 10 years.
Before opting for a Recurring Deposit account at the Central Bank of India, you need to understand how the bank calculates the interest of the account holders. By understanding the calculation process, you will be able to analyse the benefits you would be receiving by opening a Recurring Deposit account at the Central Bank of India.
Thus, the bank's interest rates on the Recurring Deposits are compounded every quarter from the date of the initial deposit.
The following is the formula used for RD interest calculations:
M = R x {(1 + n) x n – 1} / 1- (1 + i) (-1/3)
Here:
For Example: Ms. Shetty opens an RD account in the Central Bank of India with a monthly deposit of Rs. 5000 for 5 years at a Central Bank of India interest rate of 6.25%.
Therefore, as per the formula,
M = [5000 x {(1 + 20) x 20 – 1} / 1 – (1 + 0.0625) (-1/3)]
M = Rs. 1,05,623.28
From the above calculation, it is understood that Ms Shetty will get a return of Rs. 1,05,623.28 after completing the tenure of 5 years and depositing Rs. 5000 every month throughout the period of 5 years.
Hence, you can conveniently calculate the estimated returns by putting the tenure and monthly deposit amount in the Central Bank of India RD Calculator. This helps you get instant and accurate results from anywhere anytime.
Central Bank of India Recurring Deposit interest rates are highly competitive, providing good returns to the depositors. The following are some of the essential features of the same:
All Recurring Deposit accounts require a minimum deposit amount to open the account at the bank. All account holders need to make a minimum deposit of Rs. 100 for opening your Central Bank of India Recurring Deposit account as per the norms of the bank.
Central Bank of India offers competitive RD interest rates for 2024, which go up to 7.25% for the general public and 7.75% for senior citizens based on tenure. However, you must remember that the interest rates are subject to change and are specified by the bank every year.
All account holders are allowed to select the tenure as per their convenience at the Central Bank of India which ranges from 7 days to 10 years. However, the Central Bank of India RD interest rates can vary according to your chosen tenure.
The Central Bank of India offers the option to open Recurring Deposit accounts for minors as well. However, the account should be opened under the guardianship of the parents.
Account holders can also opt for loans against their recurring deposits. Through this feature, you can avail up to 90% loan of the deposit amount.
The Central Bank of India charges a penalty for the premature withdrawal of the invested amount of a recurring deposit account. Also, account holders can become liable for penalties in case of delays in the deposit.
Such scenarios call for a penalty of Rs. 1.5 on every Rs. 100 deposit if the tenure is up to 5 years. However, if the tenure is more than 5 years, the penalty charge increases to Rs. 2 per Rs. 100 deposit.
The Central Bank of India allows a wide range of organisations and individuals to open Recurring Deposit accounts. However, given below are some of the eligibility parameters that one needs to fulfil for opening a Central Bank of India Recurring Deposit account:
The Central Bank of India shall verify the authentication of your identity and address details through the documents you provide. Hence, apart from the duly filled Central Bank of India RD account application form, you need to submit the following documents to open Central Bank of India Recurring Deposit accounts:
Address Proof
Identity Proof
Age Proof
Please note that you may need to submit a few other documents as per the type of RD account you open at the Central Bank of India. Thus, it is advisable to inquire about the required set of documents from the bank beforehand.
The Central Bank of India offers the flexibility to open your Recurring Deposit account in both online and offline modes based on your convenience. Go through the following step-by-step process of opening a Central Bank of India RD account:
Online Application
Once you complete the application process, you will receive a confirmation message with your registered mobile number and email ID. The specified instalment amount will be debited from your account.
Offline Application
Once you complete the process, the bank shall process your RD account application within a period of time.
You can refer to the following process to close a Central Bank of India RD account:
Please note that the premature closure of the Central Bank of India RD account can attract penalty charges based on the predetermined tenure.
The following pointers feature some of the crucial benefits you can avail by opening a Recurring Deposit account at the Central Bank of India:
Prematurely withdrawing the Recurring Deposit investment attracts penalty charges by the Central Bank of India for all account holders. This penalty also becomes applicable for investors in the case of delayed instalments.
Hence, a penalty of Rs. 1.5 is charged on every Rs. 100 deposit if the tenure is up to 5 years, in case of premature withdrawal. Also, if the tenure is more than 5 years, the penalty charge increases to Rs. 2 per Rs. 100 deposit.`
Regardless of income level or profession, the Central Bank of India's Recurring Deposit schemes benefit all individuals through their financial investments. It assures you handsome monthly investment returns due to the bank's competitive interest rates. It shall lead to an accumulation of a higher sum in the long run.
However, the Central Bank of India RD interest rates are subject to change and are revised by the bank every year. Thus, it is always better to inquire about this before starting your monthly recurring deposits.