Features And Benefits Fixed Deposit

On Maturity the depositor can opt for:

• Payment of Maturity Amount
• Renewal of Maturity Amount

If the deposit receipt is held in Physical form and not opted for auto refund, then the receipt duly discharged on a revenue stamp of one rupee must be surrendered to the Company for Repayment. In the case of the Deposit with "F or S/s" clause, the discharge must only be made by the first named depositor only. However, in the case of a deposit with "A or S/s" clause, any one of the depositor may give the discharge. The Company shall intimate the details of maturity of the deposit to the depositor at least two months before the date of the maturity of the deposit. Interest will cease on the maturity date of the deposit, if the deposit is not renewed within six months from the date of maturity or if the deposit is withdrawn after the maturity date.

Redemption payment will be made only by National electronic clearing services (NECS)/ National Electronic Fund Transfer (NEFT) wherever such facility is available and by crossed Account payee cheque for depositors in other locations.

Deposits can be renewed from the date of maturity date if renewal instructions along with deposit receipts except for auto-renewal, are received within 6 months from the date of maturity. In such cases, the rate prevailing on the maturity date will be applicable. Otherwise, the same will be renewed prospectively and in such cases interest ceases on maturity. Renewal of deposit will be for an amount net of TDS if any. In the case of A or S/s accounts, renewal retaining one of the depositor(s) as the first depositor are possible. However, renewals to the persons other than the second/third depositors in A or S/s accounts are not possible. Renewal of the deposit by a change in the first named depositor is not possible in the case of F or S/s accounts.

The Company offers Auto Renewal & Auto Refund options. 
While applying for a Fixed deposit, depositor can opt for either Auto Renewal or Auto Refund. 

Auto Renewal 
Under Auto Renewal the below 2 options are available

• Renew Principal only on Maturity
• Renew Principal and Interest on Maturity

Based on the option selected by the depositor, the deposit receipt will be renewed on the due date either for full amount or only principal.

Auto Refund

If Auto Refund is opted, then the maturity proceeds will be credited to the depositors account on the date of maturity. Repayment of deposit falling due on a Sunday or a bank holiday or any day when the company's head office is not working due to holiday or otherwise will be made on the next working day.

Shriram provides monthly, quarterly, half-yearly, and annual interest payout options. You can choose the payout option that suits you best when booking your FD

The interest earned on your fixed deposit will be directly credited to the bank account linked with your FD

The interest in a non-cumulative FD is credited as below:

• For Monthly Payout: On the last day of every month
• For Quarterly Payout: On the last day of March/June/September, and December
• For Half-Yearly Payout: On the last day of March and September
• For Yearly Payout: On the last day of March

The first interest will be paid on the last day of the following month on which the FD is processed. For example, if your FD was initiated on 20th March, assuming that you have opted for monthly interest, the same will be paid at the end of the following month, i.e. 30th April.

In a cumulative FD, the interest amount is compounded over the deposit term and paid at maturity. Whereas, in a non-cumulative FD, the interest amount is payable on a monthly, quarterly, half-yearly, or yearly based on the tenure chosen.
The point of differentiation between the two is the periodicity of interest payments.

The company reserves the right to allow, at its absolute discretion, withdrawal of deposit before maturity. Where a deposit is so allowed to be prematurely withdrawn the relative deposit receipt must be discharged by all the depositors in case of A or S/s deposit and by the first named depositor in case of F or S/s deposit

As per the Directions of RBI currently in force, premature repayment:

Note: Depositors are requested to refer terms and condition of Deposit application form