Secure Your Future with SBT Fixed Deposit

The State Bank of Travancore fixed deposit schemes have the solution to a secure and stress-free future

About State Bank of Travancore

State Bank of Travancore was established in 1945 as Travancore Bank LTD. and was sponsored by the former Princely State of Travancore. Under the SBI subsidiary Banks Act 1959, the special statute of the Indian Parliament, State Bank of Travancore was granted membership of the State Bank Group which is the largest banking group in India. State Bank of Travancore has also deemed an Associate of the State Bank of India.

Eligibility

State Bank of Travancore offers the opportunity for children of 10 years and above to open a fixed deposit account with a maximum deposit limit of Rs.2 Lakhs. In the event that a minor who is below the age of 18 years is offered guardianship, the maximum limit that the minor can deposit into their fixed deposit account is Rs.20 Lakhs.

An existing State Bank of Travancore bank account is not a prerequisite to open a fixed deposit account.

Adults over the age of 18 years can enjoy a fixed deposit account with State Bank of Travancore without any maximum limit cap on their fixed deposit account.

State Bank of Travancore Fixed Deposit Loan Schemes

Following are the categories that State Bank of Travancore offers fixed deposit schemes in-

●     Domestic deposits

○     Less than Rs.1 crore

○     Rs.1 crore and above

●     NRO fixed deposits

○     Less than Rs.1 crore

○     Rs.1 crore and above

●     NRE fixed deposits

○     Less than Rs.1 crore

○     Rs.1 crore and above

Interest Rates offered on State Bank of Travancore fixed deposits-

FIXED DEPOSIT TYPE	AMOUNT	INTEREST RATES
Domestic deposits	Less than Rs.1 crore	7.5% - 9.25%
Domestic deposits	Rs.1 crore and above	7.0% - 8.75%
NRO fixed deposits	Less than Rs.1 crore	7.0% - 8.75%
NRO fixed deposits	Rs.1 crore and above	6.50% - 8.75%
NRE fixed deposits	Less than Rs.1 crore	8.75%
NRE fixed deposits	Rs.1 crore and above	8.25%

Amount that can be placed in your fixed deposit account

The minimum amount you can place in your fixed deposit account with State Bank of Travancore is Rs.1000. The best part about State Bank of Travancore fixed deposits is that there is no cap on the maximum amount that you can invest in your fixed deposit account. The only thing that you have to keep in mind is that an existing account cannot be updated with monetary inputs. In order to place more sums of money under a fixed deposit scheme, a new fixed deposit account needs to be created.

Tenure Period of your fixed deposit account

State Bank of Travancore offers its customers fixed deposit account tenures starting from 7 days and all the way up to 10 years. You can pick the tenure most beneficial to you at your discretion.

Are the fixed deposit accounts with State Bank of Travancore taxable?

State Bank of Travancore fixed deposit interests paid are tax deductible if the interest rate on the fixed deposit exceeds Rs.10000.

What about loans provided against fixed deposits?

State Bank of Travancore offers you loans against your fixed deposit account to a loan amount of up to 90% of your term deposit amount. Furthermore, the interest rate you are charged will be 1% of your State Bank of Travancore fixed deposit interest rate.

Special Rates for Senior Citizens

State Bank of Travancore offers attractive special rates for senior citizens under the domestic deposit scheme of less than Rs.1 crore.

State Bank of Travancore is a stable institution to invest with

State Bank of Travancore has the answer to all of your imminent financial fears. State Bank of India has infused capital into State Bank of Travancore, thus increasing its capital to Rs.6018.46 crores as evaluated on December 31st 2014. Its non-performing assets percentage has decreased by leaps and bounds in the last quarter. Furthermore, State Bank of Travancore’s capital to risk weighted assets ratio has shown a substantial increase. Also, State Bank of Travancore has shown steady a increase in bank deposits, NRI deposits and yield on advances with its phenomenal decreases in cost of deposits and its total advances.
Know More about NRI Fixed Deposit Scheme

Know all about Non-Bank Fixed Deposits

Bank fixed deposits is an all-time favorite investment vehicle for a large number of investors. While bank fixed deposits offer secured returns and other intrinsic advantages like option of availing loans and flexible tenure, banks are quite often the first ones to reduce interest rates on deposits in case of a recession or bad market economic scenario. Since most banks offer similar interest rates, the reduction of fixed deposits interest rates is usually uniform across all public and private banks. It is during such a scenario that investors look for alternate investment options that can offer similar advantages as bank fixed deposits.

Non bank fixed deposits or corporate fixed deposits are one such option that allows investors to invest their funds as deposits under various fixed deposit schemes. These non banking financial institutions have the complete authorization of Reserve Bank of India to seek investment from normal public and must not be compared to other crony ponzy schemes often operating in a recession market. Let us look at various aspects of investing in a Non-Bank Fixed Deposits or company fixed deposits a s they are commonly called.

Types of NBFC Fixed Deposit Schemes:  Investment in fixed deposit schemes of various non-banking financial companies have been authorized by RBI to have a term period between 12 months to 5 years. The rate of interest for such non banking financial companies FD schemes is higher than traditional bank fixed deposits but the investments are highly unsecured.

Non Banking Financial Companies have a two tier system for investors known as the cumulative fixed deposit scheme and non cumulative fixed deposit scheme. In the cumulative fixed deposit scheme, NBFCs offer interest at the end of the fixed deposit tenure. The interest keep son getting accumulated to the principal amount leading to higher returns. At the end of the investment tenure period, the investor gets principal amount along with the accumulated interest.

On the other hand, in case of a non cumulative fixed deposit, the interest earned by the investor is paid off on a regular periodic basis depending on the preference of the investor. Interests are usually paid out quarterly, half yearly or annually. Since in case of non cumulative fixed deposits the interest earned in not added to the principal invested amount, the returns are lower compared to non cumulative fixed deposits.

Fixed Deposits and Company Ratings: Before investing in fixed deposits in non banking financial companies, an investor must do a background check of the company in terms of its rating and performance. Various financial agencies like CRISIL and ICRA rate such non banking financial companies that accept investments from general public. The ratings are done in accordance to the new owned fund or NOF of the company along with RBI slabs and ceilings. The ratings of NBFCs give a perfect yardstick for investors to choose the right company for investment of their funds.

Interest Rates: Non banking financial companies offer higher interest rate for investments compared to bank fixed deposits. Reserve Bank of India has stipulated the maximum upper limit for interest rate at 12% for all investments made to various NBFC fixed deposit accounts. Considering the fact that maximum interest rate in today's economic scenario offered by banks ranges close to 9%, non banking financial companies offer interest rates between 9 to 12% making them an attractive investment option for a number of investors.

Premature Withdrawal Options: Investing in fixed deposits of non banking financial companies come with a lock in period of 3 months. After the expiry of the initial lock in period, the investor is free to withdraw funds prematurely from the deposit. Each NBFC can its own terms and conditions catering to penalties and calculation of interest accrued for premature withdrawals.

Other Advantages: While the investment may not be highly secured as bank fixed deposits, NBFCs offer a higher interest rate than bank fixed deposits. Like bank fixed deposits, nomination and premature withdrawal facility is available for company fixed deposits. The procedure to enter any company fixed deposit investment scheme is simple and non complicated allowing common investor to invest with ease.