Bank of Baroda Monthly Income Plan is a guaranteed income plan that offers fixed income every month to depositors. You can invest as little as Rs. 1,000 with no maximum capping on the investment amount. If you opt for this Bank of Baroda (BOB) Fixed Deposit (FD), then you will receive a monthly interest on the deposit amount. This will help you earn on a timely basis, and fulfill your expenses. Thus, the BOB Monthly Income Plan FD paves a way to financial security.
In this post, we will discuss Bank of Baroda Monthly Income Plan features, eligibility criteria, interest rate, documents required for Fixed Deposit, premature closure, benefits, and FAQs.
Here are the features:
You will earn a fixed income on the deposited amount. The earnings will depend on the deposit amount. The higher the deposit, the greater is the income. This way you can use idle cash to generate a guaranteed income based on the tenure of FD.
The bank can auto-renew the Monthly Income Plan for at least 12 months.
You can withdraw up to 95% of the outstanding balance in the fixed deposit whenever you need funds. So, you can arrange cash in case of urgent requirements.
The BOB Monthly Income Plan offers a 0.5% additional interest rate on deposits under Rs. 1 crore for senior citizens. The increased rate provides customers over 60 years of age, a better income and financial security.
If you fill these forms, then the bank will not deduct TDS on the monthly interest payment. So, if you are eligible for tax deductions, then do not forget to submit Form 15G/15H in time to BOB. If TDS is deducted, then you will receive its certificate.
Here is the Bank of Baroda Monthly Income Plan Rates:
NOTE: The BOB FD Interest Rates may change as per the bank’s discretion
For opening a monthly income savings deposit account in Bank of Baroda, the customer has to provide verified documents:
Here are the terms and conditions:
Here are the benefits:
As discussed, you can start an investment with only Rs. 1,000. And there is no limit on the amount you wish to invest. This gives you a good opportunity to maximize your money.
The minimum and maximum tenures are 12 months and 120 months, respectively. In some cases, the bank may consider the fixed deposit of a lower tenure than a year.
The BOB Monthly Income Plan Interest will accrue to the deposit holder’s bank account every month. Thus, you can receive an assured monthly income regularly.
You can add a nominee to the BOB Fixed Deposit. Also, you should use this facility.
Here is the Bank of Baroda Monthly Income Plan FAQs:
If you provide the request for renewal after the maturity date, then the deposit is renewed from the maturity date. The applicable interest is as on the due date of the request received within 12 days of the deposit’s maturity. Any later, the interest for overdue tenure is payable at the rate determined by the bank in that duration.
If the terminal quarter is incomplete, then the calculation of interest is for the actual number of days. Interest is calculated and compounded as per the monthly plan.
This option is not available for HUFs and minors accounts in a single name. In case the interest is not deposited over 2 quarters, then a term deposit is immediately apportioned.
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