Bank of Baroda Launches All New BOB Liquid FD Scheme
Bank of Baroda, a renowned public sector bank, has launched a unique fixed deposit scheme called BOB Liquid FD. This innovative scheme blends the benefits of a fixed deposit with the flexibility of a savings account, making it a lucrative option for customers. One of its standout features is the ability to make partial withdrawals without closing the entire FD. This ensures that customers can access funds in times of urgent financial need without compromising their investment.
Eligibility and Application Process
The BOB Liquid FD scheme is open to a wide range of investors, including individuals, joint account holders, Hindu Undivided Families (HUFs), sole proprietors, partnerships, companies, associations, clubs, trusts, and registered societies. However, Non-Resident Indians (NRIs) and banks are not eligible for this scheme. Customers can conveniently open this FD through multiple digital channels such as the BOB World App, Internet Banking, or by visiting a Bank of Baroda branch.
Investment Details and Withdrawal Flexibility
Investment details for this scheme are quite flexible, catering to both small and large investors. The minimum deposit required to open a BOB Liquid FD is ₹5,000, while there is no upper limit on the deposit amount. The tenure for this scheme ranges from one to five years, and interest rates are determined based on the bank’s prevailing fixed deposit rates.
According to RBI guidelines, deposits below ₹3 crore are classified as retail deposits, while those of ₹3 crore or more fall under bulk deposits. A key feature of this scheme is the partial withdrawal facility, which allows customers to withdraw funds in multiples of ₹1,000 anytime during the FD tenure.
Benefits of BOB Liquid FD
The BOB Liquid FD scheme is an excellent choice for individuals seeking a balance between high returns and liquidity. Unlike traditional fixed deposits, which typically require full closure to access funds, this scheme offers financial flexibility while still ensuring long-term savings growth. Customers can confidently invest in this FD without worrying about unforeseen expenses, as they can withdraw funds whenever necessary without disrupting their entire investment plan.
Tax Implications and Conclusion
Moreover, customers should be aware that interest earned on this FD is subject to Tax Deduction at Source (TDS) as per the Income Tax Act. Despite this, the scheme remains an attractive option due to its stability, convenience, and adaptability. By choosing BOB Liquid FD, investors can enjoy the benefits of a secure financial instrument while retaining the ease of liquidity, making it a smart choice for diverse financial needs.
