Customer(s) applying for a term deposit from DBS Bank India Limited shall be bound by these Terms and Conditions for Term Deposits ("Terms”) in addition to any other terms and conditions governing your other banking relationship(s) (if any) with us.
In these Terms, “You” and “Your” refers to the customer. “We”, “our”, “us” refers to DBS Bank India Limited (“DBS” or “Bank”) and its successors, assigns and/or any affiliates. “Account” means and includes your Digi Savings Account or any other savings account or current account held with us. “Term Deposit(s)” means and includes fixed deposit(s) (“FD”) and recurring deposit(s) (“RD”).
To the extent of any inconsistency between these Terms, and terms and conditions governing your other banking relationship (if any) with us, these Terms shall prevail for the purposes of term deposits.
You hereby confirm to have read and understood these Terms before applying for a term deposit with us. By clicking on ‘Continue’ button, you shall be deemed to have electronically accepted these Terms.
- Eligibility: You can open a term deposit with us only if you have an active Account with us. It is mandatory to provide for a nominee when a term deposit is opened through the digibank app.
- Tenor:
- The minimum tenor for booking a term deposit via digibank app or Internet Banking is 90 (ninety) days.
- Term deposits with tenor less than 90 (ninety) days can be booked at any of our branches by submitting relevant application form available at the branch and any other information as may be required by us to process your request.
- Interest Rates:
- The applicable interest rate on the term deposits is at the Bank’s discretion and subject to the directives / guidelines that may be issued by the Reserve Bank of India (“RBI”) from time-to-time. We reserve the right to offer differential rates, as determined from time to time, in accordance with RBI guidelines.
- You can view details on available tenors, current interest rates, and minimum deposit amounts on our website, digibank app or internet banking. For the latest interest rate chart, please visit your nearest branch or check our website at dbsbank.com.
- Interest Calculation:
- For term deposits with tenor below 6 (six) months, applicable interest is paid as simple interest.
- For term deposits with tenor of 6 (six) months or more, applicable interest is compounded quarterly.
- Monthly Interest Payout: If you choose the monthly interest payout option, the term deposit interest rate will be lower than the standard interest rate which is compounded quarterly.
- TDS: Interest earned on term deposits is subject to Tax Deducted at Source (TDS), as per applicable laws.
- Term deposit confirmation: We will issue a "Deposit Confirmation Advice" (“Confirmation”) for your term deposit(s), which can be downloaded from the digibank App or Internet Banking. The Confirmation is provided solely to confirm the successful placement of your deposit with us and should not be treated as a receipt. Term deposit(s) are non-transferable and will be paid out on maturity as per your maturity instructions.
- Term deposit(s) liquidation and/or modification of maturity instructions via digibank App or internet banking is available only for single holding deposits of individual customers.
- Renewal:
- For term deposits with a reinvestment option, both the principal and interest will be renewed upon maturity.
- For term deposits with an interest payout option, only the principal will be renewed at maturity, and the interest will be credited to your Account as per your instructions.
- Premature Closure:
- For term deposits which are opened and operated by individuals, term deposits opened at branches can also be accessed via the digibank app.
- You can change maturity instructions during the term, pre-close term deposit before maturity, or close it online at maturity, post successful login authentication via the digibank app.
- The interest on prematurely withdrawn term deposits will be paid based on DBS’ extant policy.
- All term deposits are subject to a premature withdrawal penalty, which may change from time to time.
- The repayment of your term deposit will be credited directly to your Account.
- DBS reserves the right to set-off and/or mark a lien on any term deposits held by you with the Bank to satisfy any outstanding obligations which you may have to us.
- PAN: At the time of account opening in the digibank app, your Permanent Account Number (PAN) is required to be updated in the digibank app.
- Recurring Deposit (RD) Installments:
- Instalment Payments: Instalments for your Recurring Deposit (RD) must be paid regularly on or before the booking date, and on the same date each subsequent month during the RD tenure.
- Consequences of Default: If you miss a payment, the principal amount of your RD will be reduced, which will also lower the interest payable at maturity.
- Premature Closure due to demise of depositor: In the event of the demise of the term deposit depositor, premature liquidation of the term deposits will be allowed without any penal charges. If the primary holder of the term deposit is deceased, the FD would be closed and the settlement process to be followed as per Bank’s policy, and in compliance with applicable Reserve Bank of India guidelines. The threshold amount eligible for such requests will be as per the policy of DBS applicable at the time of premature termination. DBS will entertain requests only if it is satisfied with the eligibility of the claimant(s)/nominee(s) as per the criteria set by RBI.
- Either or survivor Accounts: In case of Deposit Accounts with mode of operation as either or survivor(s), the balance outstanding at the time of death of the depositor will be paid to the survivor(s) first. In case there are no survivors, the balance outstanding shall be paid to the nominee or the legal heir on verification of his/her identity.
- Joint Deposit Accounts: In the event of death of one of the joint account holders, the balance outstanding will be paid jointly to the survivor(s) and the nominee or legal heir on verification of his /her identity. The proof of the death of the depositor through appropriate documentary evidence shall be obtained in all cases.
- Tax Deduction: Tax is deductible by DBS if the total interest earnings of all your resident term deposits during the period of April 1 to March 31, in a financial year are in excess of the applicable threshold amount prescribed by the Government of India. The deduction of tax is on a payment basis, except as at March 31 when it is on an accrual basis. The rate of tax deduction will be as per the applicable/governing laws. Once the tax has been deducted by DBS, it will not be refunded, and obtaining the requisite refunds on account of tax deducted at source will be solely your liability and responsibility. Tax Deducted at Source (TDS) when due and applicable will be deducted in accordance with the provisions of the Income Tax Act, 1961 and the rules thereunder as in force. In case of short fall TDS shall be recovered from savings / current / term deposit account(s). Please contact your branch and submit the necessary documents, in case lower TDS applies as provided by the relevant tax treaties. These documents should be submitted along with the account opening form / term deposit form and also before the start of each new financial year. DBS reserves its right to reject any of your claims related to reversal / refund of TDS and any such claims, should be directly raised with the Government of India and DBS will not be liable in any manner whatsoever.
- Form 15G/H: Form 15G/ 15H as applicable to be provided at the beginning of the financial year or on placing the first deposit either through online or with any DBS branch in India shall be valid and applicable for all term deposits placed by me in my name as first holder for the same customer id with the Bank during that financial year and the Bank will apply Nil TDS on all interest paid including on the new deposit(s) placed during the financial year basis the initial Form 15G/15H submitted by me. The Bank will Digitally generate a Form 15G/ 15H for each subsequent deposit(s) placed and it will increase the amount of income disclosed in the initial form(s) to the extent of interest payable on such new deposit(s). If there is any change in the details filled in the form(s), the same to be the informed to Bank immediately.
Notwithstanding anything stated above, if the interest income paid/payable by the Bank on the term deposits during the financial year exceeds the maximum amount not taxable under the provisions of the Income Tax Act, 1961, then irrespective of whether the deposit holder has furnished Form 15G/15H to any branch, Bank shall deduct tax at source on the total interest accrued on all term deposits held with the Bank.
Key Products/Features:
Senior Citizen Term deposits:
1) The Bank shall consider payment of preferential rate of interest for the term deposits held in the name of senior citizens (viz., customers whose constitution is individual and whose age is 60 years and above) subject to the policy adopted by the Bank from time to time, and also subject to the product chosen by the customer.
2) A senior citizen may consider opening term deposit jointly with another/other individual(s) below the age of 60 years, however preferential rate of interest as applicable to senior citizens shall be considered by the Bank only if the senior citizen is cited as the primary holder of the term deposit.
3) Term deposits opened while the customer has not completed the age of 60 years will continue to be at the contracted rate and the customer (if he/she is the primary holder of the term deposit) shall be entitled to claim preferential rate of interest as applicable to senior citizens (if any) offered by the Bank only upon renewal of the deposit on maturity or by booking a new deposit on completing age of 60 years.
NRE Term deposits:
Interest on NRE deposits will be paid once the deposit has completed at least 1 year. In case the deposit is closed prematurely, before the completion of the minimum period of 12 months, no interest shall be paid for the said NRE term deposit.
Interest on premature withdrawal of deposits after 12 months will be paid for the period that such deposit is held, at the rate prevailing on the date of placement of such deposit or the contracted rate, whichever is lower, subject to a deduction of a 1% penalty
In case of change in the residential status during the tenure of the term deposit, the same will be pre-closed and rebooked as a new deposit in line with the residential status of the customer, without any pre-closure penalty charges. For example, if a Resident customer becomes a Non-Resident, the term deposit will be closed and rebooked as a NRO deposit and if a Non-Resident customer becomes a Resident, the term deposit will be closed and rebooked as a Resident deposit at the prevailing term deposit rates effective the date of request. During this process if there is any established interest loss, bank would suitably compensate the same as service gesture DBS reserves the right to change the rates as and when decided.
Tax Saver FD:
This FD offers a Tax deduction under Section 80C of the Income Tax Act, 1961 but the interest earned on the deposit is taxable.
The Tax Saver FD has lock-in period of 5-years, applicable over the entire tenor of the deposit, and premature withdrawal is not permitted.
In case of demise of deposit holder, the FD can be closed, and the norms as laid down in the bank’s deceased claim process will be followed.
