Everyone tries to save some money from their income to build wealth, reach goals, or plan big expenses. For this, a Recurring Deposit (RD) account can be a good option. RDs have many benefits, which make them popular among investors. By investing in an ICICI Bank RD, one can get good returns.
Benefits of Recurring Deposits – Higher Interest Rates
One big benefit of RDs is that they usually offer higher interest rates than normal savings accounts. This helps you earn more money on your savings. The interest rate of an RD depends on the bank, the deposit period, and the age of the person. At ICICI Bank, senior citizens get higher interest rates on their RDs.
Everyone tries to save money to meet their goals or plan for big expenses. A Recurring Deposit (RD) is a good option for this. ICICI Bank offers RDs with good interest rates and simple features.
Flexible Tenure
RDs come with a flexible tenure. This means customers can choose how long they want to invest based on their needs. ICICI Bank offers RD tenures from 6 months to 10 years. Customers can also use the online RD calculator to pick the right tenure.
Guaranteed Returns
One major benefit of RD is guaranteed returns. When someone opens an RD, the interest rate stays fixed for the whole period. This makes RD a safe and low-risk investment. Since the return is known in advance, it becomes easy to plan and manage future goals.
Opening an RD with ICICI Bank
ICICI Bank permits customers to open an RD from the comfort of their own home, and this can be completed in less than one minute. You can open an RD for a term of between six months and ten years, with interest rates that range between 4.75% and 7.10% (7.60% for senior citizens). You can open an RD using the following methods:
1. Visit your nearest ICICI Bank branch.
2. Log into iMobile Pay app → Accounts & Deposits → Deposits (FD/RD) → Open Recurring Deposit
3. Log in on the ICICI Bank website → Select Accounts & Deposits → Deposits (FD/RD) → Open Recurring Deposit
4. Call customer care and provide your debit card number when prompted, as well as the PIN number.
What is the return on a ₹5,000 Recurring Deposit for 30 Months
If someone puts ₹5,000 every month into an ICICI Bank RD for 30 months the maturity proceeds will be ₹1,64,271. This will comprise ₹1,50,000 investment and ₹14,271 earned as interest. For a person who is looking to save for a rainy day but is not interested in equity investment RD is a good option.
