Recurring Deposit FAQs

A Recurring Deposit is a structured savings facility that enables you to set aside a fixed amount of money every month for a chosen period. Each instalment you deposit contributes towards building a corpus that grows at a pre-defined interest rate. This makes RDs ideal for customers who want to cultivate a disciplined savings habit while earning assured returns, without being exposed to market fluctuations.

An RD with ICICI Bank can be opened with a modest monthly instalment starting from ₹500. Customers have the flexibility to select any instalment amount thereafter, in multiples of ₹100, based on their comfort and financial planning. This ensures that the product remains accessible and can be customised as per individual saving capacity

ICICI Bank offers a wide range of RD tenures, starting from 6 months and going up to 10 years. Tenures can be selected in multiples of 3 months, giving you the flexibility to plan your deposit around specific financial goals such as education, travel, festivals, or asset creation

ICICI offers attractive interest rates for RD The bank periodically revises its interest rates based on market conditions, and the latest rates are published on the official website and available across digital channels

A Recurring Deposit provides several benefits over a standard savings account, such as:

• Forced savings discipline, ensuring you save every month

Goal-based planning, ideal for recurring expenses or planned milestones
Overall, RDs help you build financial stability without compromising on liquidity or security.

Yes. The interest rate applicable on the day your RD is opened remains unchanged for the entire tenure, irrespective of market movements. This ensures you have complete visibility on the maturity amount right at the time of opening the deposit

Yes. Resident senior citizens are eligible for special preferential interest rates, which are higher than standard rates. These enhanced rates help senior citizens earn better returns on their regular monthly savings while maintaining complete safety of funds

If you are an existing ICICI Bank customer with completed and updated KYC, no additional documents are required to open an RD online. The account can be created instantly through Net Banking or iMobile App. All RD details such as tenure, instalment amount and maturity date reflect immediately in your account. If your KYC needs an update, you may be prompted to refresh your details digitally before proceeding

Yes. Minors can open an RD under the supervision of a parent or legal guardian.
The guardian operates the account until the minor attains 18 years of age, after which the account can be re-designated with updated KYC.
This makes RDs a suitable tool for planning a child’s future expenses, such as education or special events.

The following documents are required:

• Minor’s identity/age proof, such as Aadhaar or Birth Certificate
• Guardian’s full KYC, including ID proof, address proof and PAN
• Photographs of guardian (and minor, if required)
  The guardian manages the RD until the minor turns 18.

Additional documents are not required as the senior citizen account is established based on date of Birth.

RD is underlying product of Savings account hence no need to update the address separately in RD

Nominee addition or modification is simple and requires:

• A Nomination Form (available on digital channels and at branches)

Any resident individual with completed KYC can open a Recurring Deposit with ICICI Bank. This includes:

• Salaried individuals
• Self-employed professionals
• Homemakers
• Students (above 18 years)
• Senior citizens
• Hindu Undivided families
• Firms
• NRIs can open RDs in accordance with applicable NRO/NRE deposit regulations

Minors through a guardian
The product is designed to encourage regular savings and is suitable for customers across income groups.

Yes. Recurring Deposits can be opened jointly, allowing two individuals to save together for shared financial goals.
Joint RDs may be operated under modes such as:

• Either or Survivor
• Anyone or Survivor
• Jointly (all holders must authorise operations)
  The choice depends on your preference for access and redemption.

Yes. You can open multiple Recurring Deposits with different tenures and instalment amounts based on your financial requirements. This helps customers plan separately for multiple goals such as holidays, annual expenses, insurance premiums, or future purchases.

No. Once an RD is opened, the monthly instalment amount cannot be modified.

Yes. Monthly instalments for RDs are automatically deducted from your linked savings account through the auto-debit facility. This ensures timely deposits and helps avoid penalties or interest loss due to missed instalments.

No. ICICI Bank does not levy any charges for opening a Recurring Deposit. The process is completely free—whether you open it online or at a branch. However, standard penalties may apply if instalments are missed or if the deposit is closed prematurely

Rates depend on the selected duration (6 months to 10 years) and the customer category (regular or senior citizen).
You may view the latest interest rates on:

• The ICICI Bank website (Deposits section)
• iMobile
• Net Banking
  Rates are reviewed periodically and may be revised based on market conditions.

No. The interest rate applicable on the date of opening your Recurring Deposit remains fixed for the entire tenure. This ensures complete transparency and helps you know the exact maturity value right from the beginning

Yes. As per the Income Tax Act, Tax Deducted at Source (TDS) is applicable on the interest earned from RDs.
TDS is deducted if the total interest earned across your ICICI Bank deposits exceeds the prescribed threshold in a financial year.
You can view TDS details through:

• Form 26AS
• iMobile → Services → Tax Centre

Net Banking → Tax section

If your monthly instalment is not paid on time due to insufficient balance or any other reason, it is treated as a missed instalment. The missed instalment may attract a penalty (Rs 12 per 1000 per month), and the maturity amount may be lower than originally estimated due to reduced contribution

Yes. ICICI Bank offers a loan or overdraft facility against your Recurring Deposit up to 90% of the deposited amount. This facility is particularly useful if you need short-term liquidity while still wishing to continue your monthly contributions. The RD continues to earn interest uninterrupted, and the loan can be repaid at your convenience.

The interest rate for loans against RDs is typically linked to the RD interest rate, with a small additional spread

Yes. Your Recurring Deposit continues to earn interest at the originally contracted rate, even if you have taken a loan or overdraft against it. This ensures that your savings plan remains intact, and you do not lose out on the returns for the tenure completed

Upon maturity of the RD:

• The outstanding loan amount, if any, is adjusted against the maturity proceeds.
• The remaining balance is credited to your linked account.

If the loan is fully repaid before maturity, the entire maturity amount is released to you as per your instructions.
This creates a seamless settlement process at the end of the RD term.

No. Unlike Fixed Deposits, Recurring Deposits do not support sweep-in or sweep-out facilities. Since RDs function on mandatory monthly instalments and fixed maturity schedules, sweep-linked mechanisms are not applicable. However, the deposit continues to grow steadily through monthly contributions and earns interest similar to FDs

Yes. ICICI Bank offers iWish – a flexible goal-based savings plan, which functions similarly to an RD but with enhanced flexibility.
Key features include:

• No compulsion of fixed monthly instalments
• Ability to contribute any amount at any time

Option to set and track personalised financial goals
iWish is ideal for customers who want the discipline of an RD but with greater flexibility in contribution schedules.

A Recurring Deposit with ICICI Bank offers a host of benefits that help you build a disciplined and structured savings habit. Key advantages include:

• Guaranteed Returns: Your savings grow at a fixed interest rate throughout the tenure, ensuring predictable maturity value.
• Low Monthly Commitment: You can start saving with instalments as low as ₹500 per month.
• Flexible Tenures: Choose tenures ranging from 6 months to 10 years in convenient 3-month multiples.
• Digital Convenience: Open and manage your RD instantly through iMobile App or Net Banking.

No Market Risk: Since RDs offer fixed interest, they are not impacted by market fluctuations.
This combination of stability and convenience makes RDs suitable for individuals at all stages of financial planning.

Yes. Recurring Deposits are among the safest and most stable investment options offered by banks. They carry no market risk and offer fixed, assured returns regardless of economic cycles or volatility in markets. Additionally, deposits with ICICI Bank are protected under DICGC insurance up to ₹5 lakh per depositor per bank

Absolutely. An RD is designed to help customers build a habit of consistent saving by mandating a fixed monthly contribution.
Over time, this encourages strong financial discipline and helps you plan for future milestones such as:

• Annual expenses
• Vacations
• Educational needs

Festive expenses
This structured approach makes it easier to accumulate a sizable corpus without feeling financially strained.

Yes. RDs are ideal for creating goal-based savings plans, especially for short- and medium-term goals.
You can align your RD tenure with specific objectives such as:

• Children’s school fees
• Gadget purchases
• Travel plans

Medical fund
The fixed instalments and assured maturity amount ensure disciplined and predictable goal achievement.

Your monthly RD instalment is automatically debited from your linked ICICI Bank savings account through the auto-debit facility. On the chosen due date, the instalment amount is deducted and credited to your Recurring Deposit without any manual intervention. To avoid missed instalments, you simply need to ensure that your savings account has sufficient balance on the debit date

No. Once the Recurring Deposit is opened, the instalment date and linked account cannot be changed.
If you wish to modify the debit date or change the funding account, you would need to:

• Close the existing RD prematurely (if required), and

Open a new RD with updated preferences
This ensures consistency in the deposit cycle and maturity calculations.

You may view your instalment history through:

• iMobile App → Accounts & Deposits → Recurring Deposits
• Net Banking → Deposits → RD Details

Monthly account statements (where debit entries appear)
All completed and missed instalments are clearly listed for your reference, along with upcoming instalment due dates.

Yes. ICICI Bank allows premature closure of your Recurring Deposit at any point during the tenure.
You may opt for premature withdrawal through:

• iMobile App
• Net Banking
• Any ICICI Bank branch

However, premature closure may result in reduced interest earnings and applicable penalties as per the Bank’s RD guidelines.

A penalty may apply if you close the RD before maturity.
The penalty is typically deducted from the interest earned, based on the period for which the deposit remained with the Bank.
The effective interest rate is recalculated as:

• The rate applicable for the tenure actually completed,
• Minus the applicable premature withdrawal penalty.
• This ensures transparent and fair computation of deposit returns

There is no fixed lock-in period for Recurring Deposits; they may be closed anytime. However, if the RD has been active for a very short duration (for example, under 3 months), interest may not be payable as per the Bank’s premature withdrawal policies

If the loan against your RD is not repaid as per the agreed terms:

• Interest continues to accrue on the outstanding loan amount
• The bank may adjust the outstanding loan (principal + interest) from the RD maturity proceeds
• In extreme cases, the RD may be closed prematurely to recover the outstanding dues

This ensures that your deposit and loan remain compliant with ICICI Bank’s credit and deposit policies.

No. Once your Recurring Deposit is opened, the monthly instalment amount cannot be changed or increased during the tenure.
If you wish to deposit a higher monthly amount, you may consider:

• Opening a new RD with the revised instalment amount, or
• Starting an additional RD for your increased savings needs

This ensures consistency in maturity calculations and maintains transparency in your deposit schedule.

No. The tenure selected at the time of opening the RD cannot be modified later.
If you want to save for a longer duration, you may:

• Open a new RD with the extended tenure, or
• Convert the maturity proceeds into a Fixed Deposit for continued growth

This provides flexibility while keeping the RD structure intact.

If multiple instalments remain unpaid:

• Penalties may apply for each missed instalment
• The maturity value will reduce proportionately
• In case of prolonged non-payment, the deposit may be treated as discontinued

The RD will still earn interest on the instalments that were successfully deposited, subject to premature withdrawal rates if closed early.
To avoid disruptions, it is advisable to maintain sufficient funds in the linked savings account.

On maturity, the total amount accumulated in your Recurring Deposit—including monthly instalments and interest earned—is credited to your linked savings account or managed as per your chosen maturity instructions.

If no maturity instructions are given, the FD will go into Overdue status..

Maturity proceeds are processed instantly and typically credited to your savings account on the same day even if the RD matures on a non-working day.

Yes. Recurring Deposits with ICICI Bank are completely safe and carry zero market risk. Since RDs offer fixed interest rates throughout the tenure, your returns remain unaffected by market fluctuations. Additionally, deposits with ICICI Bank are protected under the Deposit Insurance and Credit Guarantee Corporation (DICGC) up to ₹5 lakh per depositor per bank, ensuring an added layer of security for your savings.

You can verify all RD details effortlessly using any of the following channels:

• iMobile App → Accounts & Deposits → Recurring Deposits
• Net Banking → Deposits → RD Summary
• Visiting any ICICI Bank branch

These platforms display your instalment schedule, tenure, interest rate, and maturity date, ensuring full transparency at every step.

If you notice any unusual activity related to your RD or linked savings account, you should immediately:

• Contact ICICI Bank Customer Care or the Phone Banking number.
• Review your recent transactions via iMobile App or Net Banking.
• Visit the nearest ICICI Bank branch to report the issue.
  The Bank will assist you promptly, secure your account, and initiate necessary investigations to ensure your funds remain protected.

You can easily track and manage your Recurring Deposit through both digital platforms:

iMobile App:

• Log in and navigate to Accounts & Deposits
• Select Recurring Deposits
• View instalment details, interest rate, tenure, maturity date and accrued amount

Net Banking:

• Log in → Deposits → Recurring Deposit Summary
• View all active RDs along with schedules and deposit history

These digital channels provide real-time visibility and complete transparency for your RD.

You may download your RD-related certificates through:

iMobile App:

• Services → Tax Centre → Interest Certificates

Net Banking:

• Accounts → Tax Statements → Interest Certificate

Certificates include instalment details, interest earned and any TDS deduction, supporting your tax filing requirements.

A regular Recurring Deposit (RD) requires you to deposit a fixed amount every month for a defined tenure, helping you accumulate a guaranteed corpus through disciplined savings.

An iWish goal-based savings plan, on the other hand, is a flexible variant that allows you to:

• Save any amount at any time
• Set personalised financial goals
• Track your progress digitally
• Avoid mandatory monthly commitments

While both options help you save systematically, iWish offers greater flexibility, while regular RDs offer structure and predictable monthly contributions.

Interest earned on Recurring Deposits is fully taxable as per your applicable income tax slab.
Additionally:

• TDS (Tax Deducted at Source) is deducted if your total interest across ICICI Bank deposits exceeds the prescribed threshold in a financial year
• TDS details can be viewed through Form 26AS or via the Tax Centre on iMobile App and Net Banking

It is advisable to consult your tax advisor for personalised guidance on tax treatment.

To avoid penalties, ensure your linked savings account has sufficient funds before each due date.