deposits
Opening of deposit accounts
Opening a deposit account with The Bhadran Peoples’ Co-Op Bank Ltd. is a simple process. Customers are required to submit a duly completed application form, along with the necessary identification documents. Depending on the type of deposit chosen, individuals, businesses, and organizations may open accounts either singly or jointly. Every new account must be introduced by an existing account holder or shareholder to ensure authenticity and compliance with banking norms.
Operational instructions
Deposit accounts can be operated in several ways: singly by an individual, jointly by two or more persons, or under specific survivor instructions. Customers may choose operating conditions at the time of opening the account, and these instructions remain binding on the Bank unless formally changed. Any modifications, such as mode of operation or change of mandate, must be signed and authorized by all depositors.
Deposit accounts of minors
The Bank accepts deposits in the name of minors, encouraging the habit of saving from an early age. A minor above the age of 10 years may open and operate an account independently. For younger children, a parent or legal guardian can operate the account on their behalf. These accounts carry the same rights and obligations as regular deposit accounts, with added safeguards to protect the interest of the minor.
Renewal of deposits
Deposits may be renewed upon maturity at the prevailing interest rates. The Bank provides simple renewal procedures, wherein customers may submit a request before or at maturity. A fresh deposit receipt is issued for the renewed term, ensuring continuity of earnings. Customers may also opt to alter the tenure or deposit amount at the time of renewal, as per their requirements.
Deposit receipt payment on due date
On the date of maturity, depositors are expected to present their original deposit receipt, duly discharged. Payments are credited directly to the depositor’s account or made available by way of banker’s cheque or draft. The Bank ensures prompt settlement, thereby offering customers ease of access to their matured funds.
Third-party / nominee / legal heir payment
The Bank does not permit payment of deposits to any unauthorized third party. However, in the event of death of the depositor, the payment is made to the nominee registered with the Bank. Where no nominee is appointed, legal heirs may claim the amount by submitting valid succession proof and other required documents.
Nominee vis-à-vis legal heirs
The nominee registered with the Bank has the first right to receive deposit proceeds upon the depositor’s death. However, legal heirs may raise claims in accordance with succession laws. In such cases, the Bank follows due diligence and releases funds after proper verification to avoid disputes.
Premature deposit payment
Depositors may request premature withdrawal of fixed or recurring deposits. In such cases, interest is payable at a reduced rate as per Reserve Bank of India guidelines. Deposits withdrawn before six months generally earn savings bank interest only. This policy balances depositor flexibility with the Bank’s asset-liability management.
Rules regarding payment of interest on time deposits
Interest on fixed and recurring deposits is normally payable on maturity. However, for deposits of six months or longer, customers may opt for monthly, quarterly, or half-yearly interest payouts. The interest is calculated as per RBI rules, and any premature closure may lead to revised rates being applied.
Procedure in case of lost receipts
If a deposit receipt is lost, misplaced, or destroyed, the depositor must immediately notify the Bank. The Bank requires a written application, identity proof, and in certain cases, an indemnity bond signed by the depositor. After due verification, a duplicate receipt is issued clearly marked as “Duplicate” to safeguard both the Bank and the customer.
Addition of name in deposit accounts
Account holders may request the addition of a new joint holder, usually a close relative, by submitting a signed request and supporting documents. The addition is made only with the consent of all existing account holders. This ensures smooth succession planning and flexibility for depositors while maintaining security for the Bank.
