New rules related to fixed deposits will come into effect in January. RBI has issued guidelines to NBFCs. Let us know what changes are going to happen at the beginning of the new year?
FD New Rules: Important news has come out for those investing in fixed deposits. The Reserve Bank of India has changed the rules related to FD for non-banking financial companies and housing finance companies. The new rules may come into effect in January 2025.
RBI had issued guidelines related to small deposits, withdrawal, passbook and maturity to NBFCs. Which will be mandatory to follow. This will increase security for the customers. There will be no problem in withdrawing money at the time of need.
Customers can withdraw money before maturity (Fixed Deposit)
Under the new rules, customers will be able to withdraw small deposits easily. If the value of FD is less than Rs 10,000, then premature withdrawal of money will be allowed. However, interest will not be applicable. For amounts more than 10 thousand, investors will be allowed to withdraw after at least 10 months. For other deposits, customers can request to withdraw a maximum of 50% of the principal amount (less than Rs 5 lakh) for three months without interest investment. In case of serious illness, customers will be able to withdraw the principal amount of FD before the tenure ends.
New rules related to nomination and maturity notification (RBI Rules For NBFCs FD)
RBI has also changed the FD nomination process. Now NBFCs will have to issue an acknowledgement to customers who submit nomination forms and make changes or cancellations in nomination. The words “Nomination Registered” will also have to be included on the passbook and receipt. Companies will have to issue notices related to FD maturity 14 days in advance. Earlier the notice period was two months in advance.
