MBGB Tax Saver Scheme
Who can open the Account?
- Individuals (including illiterate, blind persons), singly or jointly, and HUF for the purpose of Tax benefits.
Minimum and Maximum Amount
- Minimum Deposit Rs100/- or in multiples thereof, subject to maximum deposit of Rs. 1.50 lakh per financial year
Brief features of the Product
- Min deposit period 5 years & Max deposit period 10 years.
- Rebate on income tax under Sec. 80C
- Lock in period of 5 years.
- Loan available after lock in period of 5 years
- Premature withdrawals are allowed after the completion of 5 years of deposit. However, in case of death of the depositor before the maturity of term deposit, levy of penalty would be exempted and nominee/legal heir will be allowed premature payment even before the lock-in-period as per rules.
- Interest on deposits is payable at card rate either monthly at discounted value or quarterly or compounded quarterly (i.e., reinvestment of interest) on the date of maturity at the option of the depositor as applicable under particular deposit scheme.
- Nomination facility is available.
- TDS is applicable as per rules. The Bank will issue TDS Certificate for the tax deducted.