Opening, Closing and Withdrawal of Fixed-Rate Bonds

Who is eligible to invest in fixed-rate bonds?

Who is eligible to invest in fixed-rate bonds?

  • Any adult individual
  • HUF (Hindu Undivided Family) 

What are the documents required for investing?

What are the documents required for investing?

  • Duly filled application form
  • Duly filled nomination form
  • Duly filled KYC form 
  • Your PAN card number
  • Identity proof 

How to invest in a fixed-rate bond offline?

How to invest in a fixed-rate bond offline?

  • You can talk to an investment broker if you want to invest in fixed-rate bonds offline

 

  • Do carry your investment amount along with the documents

 

  • Do not forget to take the receipt of your investment

 

  • Also, ensure that you take your investment certificate from the broker and keep it safe till redemption

Please note that no broker, bank official or bank will call you or email you for any OTP, user-ID, password, PIN or any card number and CVV.

How to invest in a fixed-rate bond online?

How to invest in a fixed-rate bond online?

  • Please visit the website of your Demat account. Learn about Demat account here

 

  • Select the fixed-rate bond you wish to invest in

 

  • Fill out the application and nomination details

 

  • Pay automatically from your connected bank account

Please note that no broker, bank official or bank will call you or email you for any OTP, user-ID, password, PIN or any card number and CVV.

Closing and Withdrawal of Fixed-rate bonds

Below are the steps to follow for closing and withdrawing FRB.

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    How to close a fixed-rate bond?

    Your fixed-rate bond account will be automatically closed on maturity 

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    Is partial withdrawal allowed in fixed-rate bonds? 

    No, partial withdrawal might not be allowed in fixed-rate bonds

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    What is the penalty for premature withdrawal of fixed-rate bonds? 

    Premature withdrawal might be allowed in a few fixed-rate bonds. You might have to pay the penalty for premature withdrawal

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    Please note that no broker, bank official or bank will call you or email you for any OTP, user-ID, password, PIN or any card number and CVV.

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    Points to remember

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    Fixed-rate bonds offer fixed interest rates throughout their tenure (investment period)

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    You can invest in fixed-rate bonds through your Demat account

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    Different fixed-rate bonds offer different interest rates and tenure

Quiz

Let us quickly recap about fixed-rate bonds with a quiz!

Sreedevi

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