Bank of India RD Interest Rates 2026
Save a fixed amount every month with a Bank of India recurring deposit. RD rates go up to 6.60% for regular customers and 7.10% for senior citizens, with instalments from Rs 500/month (Flexi RD Rs 1,000). Public-sector bank headquartered in Mumbai.
Rates effective 2 Mar 2026 · Checked 30 September 2026Bank of India recurring deposit at a glance
Have a lump sum instead? Bank of India FD rates go up to 6.70% →
Bank of India RD interest rates
| Tenure | General (p.a.) | Senior citizen (p.a.) |
|---|---|---|
| 180 – 210 days | 5.50% | 6.00% |
| 1 year | 6.25% | 6.75% |
| 450 days | 6.60% | 7.10% |
| 3 – 5 years | 6.25% | 7.00% |
| 5 – 8 years | 6.00% | 6.75% |
| 8 – 10 years | 6.00% | 6.75% |
Source: www.policybazaar.com. Confirm with the bank before opening.
What your monthly savings will become
| Tenure | Rate (general / senior) | ₹2,000 / month | ₹5,000 / month | ₹10,000 / month |
|---|---|---|---|---|
| 1 year | 6.25% / 6.75% | ₹24,824 | ₹62,060 | ₹1,24,119 |
| 2 years | — | — | — | — |
| 3 years | 6.25% / 7.00% | ₹79,338 | ₹1,98,345 | ₹3,96,690 |
| 5 years | 6.25% / 7.00% | ₹1,41,051 | ₹3,52,627 | ₹7,05,254 |
General rate, quarterly compounding, before tax. “—” = no published slab for that exact tenure.
Bank of India RD calculator
Rules & charges
| Feature | Details |
|---|---|
| Minimum instalment | Rs 500/month (Flexi RD Rs 1,000) |
| Tenure | 6 months - 10 years |
| Missed / late instalment | Rs 1.50 per Rs 100 per month (up to 5 yrs); Rs 2.00 per Rs 100 (above 5 yrs) |
| Premature closure | Below Rs 5 lakh: 0.50% penalty if before 12 months, none after; Rs 5 lakh+: 1% penalty |
| Loan against RD | Usually available up to 80%–90% of the balance |
| Nomination | Up to 4 nominees (from 1 Nov 2025) |
| Deposit insurance | DICGC up to ₹5 lakh per depositor (with other deposits at Bank of India) |
Tax on Bank of India RD
| Point | Rule |
|---|---|
| Taxability | Interest taxed at slab rate every year |
| TDS | 10% once FD + RD interest from Bank of India exceeds ₹50,000 a year (₹1 lakh for 60+); 20% without PAN |
| Avoid TDS | Submit Form 121 (earlier 15G/15H) if your tax is nil |
| Deduction | No 80C; seniors can claim up to ₹50,000 under 80TTB (old regime) |
How to open a Bank of India RD
- OnlineNet banking or mobile app → Deposits → Open Recurring Deposit. Choose instalment, tenure, debit date and nominee.
- BranchFill the RD form with KYC and give a standing instruction from your savings account.
- Set auto-debitSchedule the debit a day after salary credit to avoid missed instalments.
Documents
- PAN or Form 60
- Aadhaar / other address proof
- Age proof for senior citizen rate
Compare Bank of India with other banks
| Bank | Highest | 1 year | 5 years | Min. instalment |
|---|---|---|---|---|
| Bandhan Bank | 7.25% | 7.00% | 5.85% | Rs 100/month, multiples of Rs 1 |
| YES Bank | 7.00% | 6.65% | 6.75% | Rs 1,000/month |
| IndusInd Bank | 7.00% | 6.75% | 6.65% | ₹1,000 |
| Tamilnad Mercantile Bank | 7.00% | 6.80% | 6.70% | — |
| Dhanlaxmi Bank | 7.00% | 6.25% | 6.50% | Rs 1,000/month, multiples of Rs 500 |
| Saraswat Co-operative Bank | 7.00% | 6.60% | 7.00% | ₹500 |
| South Indian Bank | 6.80% | 6.25% | 5.70% | ₹100 |
| Federal Bank | 6.75% | 6.25% | 6.40% | Rs 50/month, multiples of Rs 10 |
| Bank of India | 6.60% | 6.25% | 6.25% | Rs 500/month (Flexi RD Rs 1,000) |
Frequently asked questions
What is the highest RD interest rate at Bank of India?
Bank of India pays up to 6.60% on RDs (450 days) and up to 7.10% to senior citizens (rates effective 2 Mar 2026).
How much will ₹5,000 a month grow to in a Bank of India RD?
In 5 years at 6.25%, ₹3 lakh of instalments grow to about ₹3,52,627.
What is the minimum RD instalment at Bank of India?
The minimum monthly instalment is Rs 500/month (Flexi RD Rs 1,000). Tenure: 6 months - 10 years.
What if I miss an instalment?
Bank of India: Rs 1.50 per Rs 100 per month (up to 5 yrs); Rs 2.00 per Rs 100 (above 5 yrs).
Can I close a Bank of India RD early?
Bank of India: Below Rs 5 lakh: 0.50% penalty if before 12 months, none after; Rs 5 lakh+: 1% penalty.
Is RD interest taxable?
Yes, at your slab rate. TDS of 10% applies when your total FD + RD interest from Bank of India exceeds ₹50,000 in a year (₹1 lakh for seniors).
Is my RD safe with Bank of India?
RDs are insured by DICGC up to ₹5 lakh per depositor per bank, including interest.
Rates compiled from the bank’s published RD / term-deposit rates for comparison only. FinancePortal is not affiliated with Bank of India. Confirm current rates with the bank.