Open your RD in your mobile banking app

Click on the RD account you wish to close

Select – Close A/C

Check the details regarding your redeemable value (the amount you are going to receive)

Click on Confirm

Verify the redemption by entering the OTP sent to your registered mobile number

Your redemption amount will automatically be added to your savings account connected to your RD

If you withdraw your RD before its maturity, you will get the interest rate applicable till your deposit has remained in the RD, but some percentage of it will be deducted

The bank will apply a 1% penalty for premature withdrawal

A few banks might also deduct 2% interest on premature withdrawal

You can check with your bank before placing your withdrawal request

The minimum RD period is three months, and no interest will be paid on premature withdrawal

In all the cases, your deposited money will be returned to you

Points to remember

In a Recurring Deposit (RD), you can choose an amount and invest each month

Minimum investment in a recurring deposit can be ₹10/- (in a post office Recurring deposit) and ₹100/- (for Bank Recurring Deposits)

If you withdraw your RD before its maturity, you will get the interest rate applicable till your deposit has remained in the RD, but some percentage of it will be deducted