The Reserve Bank of India (RBI) has changed the rules for Fixed Deposits/ Term Deposits. As per the new rule, the customer will have to bear the loss in terms of interest in savings if he/she has not claimed FD even after maturity. RBI stated that customers can still earn interest after Term Deposit (TD) matures and proceeds are unpaid.
"It has been decided that if a Term Deposit (TD) matures and proceeds are unpaid, the amount left unclaimed with the bank shall attract a rate of interest as applicable to a savings account or the contracted rate of interest on the matured TD, whichever is lower," the RBI stated in a statement.
As per the circular, If an FD matures and is unclaimed or its payment is not made, then the interest rate on it according to the savings account or on the matured FD. The lesser of the contracted interest will be available there.
RBI in its circular said that the new rule will be applicable to all types of banks -- commercial banks, small finance banks, cooperative banks, local regional banks.
A fixed deposit is a deposit that is kept in banks for a fixed period of time at a fixed interest. It also includes deposits such as recurring, cumulative, reinvested deposits, and cash certificates. FDs can be done in the post office as well. FD investments can be taken advantage of in loans, however, the facility is not available on tax-saving FDs.
Also, RBI has issued Indian Rupee banknotes in 12 different denominations, including this 20 Indian Rupees banknote (not date series). The Rs 20 note is a part of the withdrawn Indian Rupee banknotes series.
Notably, the RBI had started issuing Rs 20 banknotes in 2001, however, they were withdrawn from circulation in 2005. On the backside of this Rs 20 banknote, there is NO date. It is important to note that a valid Rs 20 note should have the year of issue printed on the backside. These older Rs 20 notes, without date, have been replaced by similarly designed 20 Indian rupees banknotes with a date.
