Recurring Deposit (RD)

• Special term deposit provided by Indian banks and India Post.
• People receiving regular income can save every month.
• Draws the interest rate of a fixed deposit.
• Analogous to monthly installments of a certain amount.
• Customer may save through regular deposits done every month.
• A minimum of six months to the maximum of ten years.

RD vs FD Investments

• RDs: Monthly deposit for fixed deposit, saves progressively.
• FDs: Monthly lump sum deposit for tenure.
• RDs allow flexibility in terms of deposit amount and tenures.
• Both give safe investment options with guaranteed returns.