Foreigners who are on a short trip to India on a tourist Visa may open their bank account in India. They are facilitated to open an SB or Current account in the form of an NRO (Non-Resident Ordinary) account. The accounts of tourists opened by the authorised dealer banks after completion of the KYC (Know…
The foreign nationals employed in India are permitted to open and maintain domestic (Resident Rupee Accounts) accounts like SB, Current Account, or Term Deposits with the authorized dealer banks in India. The accounts of foreign companies in India can be maintained only in current accounts. Such companies are allowed to keep their surplus money in…
An individual or HUF can invest in Tax saver fixed deposits of banks, not exceeding the aggregate limit of Rs.150000.00 u/s 80 (C) of IT in a financial year is eligible for tax relief. The ‘deposit’ can be opened in single name or joint names of an adult with a minor or in the joint…
The operation procedure for old/sick/incapacitated bank customers is laid down in para 5.6.2 of RBI Master circular. According to the circular, the cases of sick/old/incapacitated account holders fall into the following categories: an account holder who is too ill to sign a cheque/can not be physically present in the bank to withdraw money from his…
The customers, both deposit and borrowal accounts can open the bank account using OTP based e-KYC. The Reserve Bank made the amendments to ‘Principal Directions on KYC ‘(Know Your Customer (KYC)) Directions, 2016 (Master Direction No.DBR.AML.No.81/ 14.01.001/2015-16 dated February 25, 2016) with effect from December 8, 2016. In terms of the e-KYC amendments now made…
(In some cases, photographs are not required for opening bank accounts. Find out here in which cases photographs not required.) While opening any type of accounts viz. Savings Bank, Current Accounts, Term Deposits, Recurring Deposits, or loan accounts, all the depositors/account holders have to submit two copies of latest photographs for the bank’s record. This…
The settlement of claims in respect of missing persons being done under the provisions of Section 107 / 108 of the Indian Evidence Act, 1872. Section 107 deals with the burden of proving whether a missing person is alive or dead and the burden of proving that he is dead is on the person who…
[This post answers questions about the rules related to addition or deletion of names in FD, TDS in case of joint accounts, interest calculation in leap year, conditions for deposits held in minor’s name, transfer of fixed deposits, interest payment on prematurely closed deposits, renewal of Overdue deposits, and deposits in the joint names of…
Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) Scheme, which is administered by LIC, offers life insurance cover worth Rs 2 lakhs to all the bank SB account holders between 18 to 50 years of age at a premium of Rs 330 per annum. Settlement of Claim The nominee has to approach the Bank where the…
(Depositors, like Senior Citizen Karta of HUF, NRE/NRO account of own staff of the bank, employees who are retired on compulsory retirement from the bank or in consequence of disciplinary action, Casual employees of the bank, employees’ federations etc. are not eligible for additional interest meant for staff. However, senior citizens, spouse of deceased staff/deceased retired…