SBM
Terms and Conditions for Account Opening and Operations
08/31/2020
en
SBM Term Deposit offers you the option of placing your money for a fixed term allowing you to earn a higher rate of interest/return. The features and benefits of the SBM Term Deposit are as follows:
- Minimum deposit of Rs 100,000
- Interest payment as per agreed frequency
- Interest paid to Current/Savings account
- Term Deposits offered for up to 36 months
- Acceptable as collateral for Banking facilities
- Competitive interest rate
What happens if I want to withdraw the money prior to the maturity date?
Floating Rate Deposit
- Encashment of deposit prior to maturity is at the discretion of the bank.
- Interest may be forfeited if funds are withdrawn within 3 months of date of deposit.
- A penalty of either 1% or the cost incurred by the Bank for replacement of the Deposit (whichever is higher) may be charged at the Bank’s discretion.
Fixed Rate Deposit (currently not on offer)
- Encashment of deposit prior to maturity is at the discretion of the bank.
- In addition to 1% penalty, customer opting for fixed rate of interest will have to bear the cost of replacement of funds in case of premature encashment.
- The penalty to be levied for encashment of a fixed rate deposit will be determined at the time of encashment. The penalty will depend on the market rate prevailing on the date of encashment.
What are the benefits of having a Term Deposit?
You will earn a higher interest rate and may use it as collateral for other Banking facilities.