Terms and Conditions for Term Deposit @ IBU-GIFT Branch

• Deposits being placed with the IBU-GIFT branch of the Bank (‘Bank’) are not covered by any deposit insurance or any other similar coverage.
• Deposit with the Bank is on the basis of the statements/ declarations made by depositor; in case any of the statements/declarations made is found to be incorrect in material particulars, the Bank is not bound to pay any interest on the deposit.
• No claim can be made by depositor for any interest on the deposit for any period after the date of maturity in case the funds stay with the Bank for any reason including on account of incorrect, incomplete or invalid payment instructions.
• Depositors will abide by the Bank’s rules and prevailing RBI guidelines for deposits in force from time to time.
• All Deposits will be booked basis the prevailing deposit rates only.
• Bank reserves the right to accept deposits in respective amount & tenor buckets.
• Bank reserves the right to consolidate deposits that may be split in smaller amount buckets / multiple deposits for reasons of deposit rates and book the same under the appropriate amount buckets.
• In case of choosing of auto-renewal option for regular deposits, the bank will automatically renew the deposit on the due date for an identical period and at the rate of interest prevailing on the date of renewal unless depositor’s instructions to the contrary are received by the Bank at least 2 working days (when the Bank is open for business) prior to the scheduled maturity date. Renewal of Term deposits will be in accordance with the provisions of Reserve Bank of India /Bank’s scheme/policy in force at the time of renewal.
• For deposits where maturity proceeds are to be paid out, maturity proceeds of the TD would be credited to the current account maintained with the Bank. For depositors who do not have a current account with the Bank, the maturity proceeds of the TD would be remitted to other bank as per depositor instructions. In case of date of maturity falling on a bank holiday, such remittance would be made on the next working day.
• Term Deposits may be placed with the IBU-GIFT branch under the following categories:
• Non-Premat Deposit:
  • Premature withdrawal of deposits is not permitted, except on account of statutory / regulatory / court order.
  • Bank will not extend any kind of funded or non-funded facility against Term Deposits booked under No Premature Withdrawal scheme;
• Regular Deposit:
  • Premature withdrawal of deposits is permitted subject to:
    • Deposits withdrawn prematurely would be paid interest at the original card rate corresponding to the tenor for which the deposit stayed with the Bank or the original contracted rate – whichever is lower.
    • In cases where the intimation for premature withdrawal of regular deposits is received, 35 days in advance from the proposed date of withdrawal, a penalty for premature withdrawal is applicable as below. This penalty is not applicable for deposits booked in the 9month to 280days time bucket.

In case, intimation for premature withdrawal is not received 35 days in advance of the proposed date of premature withdrawal, penalty of 0.25% will be levied.

Penalty will be calculated using the above mentioned rates (as applicable) on the deposit amount for the residual period.

Note:

• The interest will be paid at the rate prevailing on the date of deposit for the tenure the deposit remained with the Bank or at the contracted rate, whichever is lower after deducting applicable penal charge for premature withdrawal as per Terms & Conditions of the bank.
• Clients who do not wish to give prior notice for premature withdrawal, are advised to book deposits in 9month to 280days time bucket which is exempt from the premature withdrawal penalty
• In cases where interim amount/s are already paid, the amounts due to the bank (i.e. on account of excess interest paid, if any & penalty and other charges) will be adjusted from principal amount.
• Deposits which are accepted as collateral for availing credit facilities or deposited as margin in favour of an exchange, can be adjusted prematurely in the event of default in repayment of the loan or meeting a margin call.
• In case of lien-set off or an appropriation request made to the Bank, an upfront fee equivalent to 50bps of the Principal Amount shall be levied. Accrued interest till date of lien set off /appropriation will be paid at contracted rate for run period of deposit.
• Loans and non-fund facilities against such regular deposits may be extended by the Bank only in cases where tenor of such facility is lesser or equal to the residual maturity of the deposit. The regular term deposit so booked shall be lien marked in favour of the Bank. The Depositor shall not be entitled to withdraw the deposit till any amounts/monies under the loan secured by such deposits are outstanding. Where loans are extended against the Deposits, these terms would be supplemented by the terms as advised by the Bank at the time of lending.
• Deposits will be accepted for a minimum amount of 1000 units in respective currencies e.g. USD 1000, EUR 1000, GBP 1000, JPY 1000 and AUD 1000
• Bank reserves the right to change the rates of deposits, amend the amount or tenor buckets without any notice.
• Any change of registered address should be communicated to the Bank within 7 working days along with prescribed document, duly authenticated by authorised signatories, evidencing new address.
• Interest will be computed on semi-annual basis and the day count convention is actual/360.
• For deposits made by entities which are Tax Residents of India, TDS would be deducted as per Indian Tax laws. Resident is required to submit, before credit/payment of Interest, an electronically generated valid lower/nil TDS deduction certificate issued by Indian income tax department for lower or Nil deduction of tax.
• Interest/maturity amount would vary if subjected to TDS
• Documentary proofs like Tax residency certificate of the country of which it is resident and a declaration (in standard draft) stating that the person is a non-resident in India are to be submitted to avail TDS exemption if a non-resident entity is placing deposits with GIFT city branch
• For deposits from entities which are not Tax Residents of India, the onus of tax declaration and other levies payable on interest income will be borne by the depositor. The Depositor shall hold the GIFT Branch harmless in this regards.

The Terms & Conditions as stated herein are not exhaustive and shall be read in conjunction with the general T&Cs applicable which can be viewed on the Bank’s website. The Bank reserves the right at any time without previous notice to add, alter, modify, change or vary all or any general T&Cs, or to replace, wholly or in part, this offer by another offer, whether similar to this offer or not, or to extend or withdraw it altogether. By agreeing to place the deposit with the Bank on the terms hereof, the Depositor shall be deemed to have accepted the general T&Cs as amended from time to time. In case of any inconsistency between the terms hereof and the general T&Cs, the terms hereof shall prevail over the general T&Cs to the extent of such inconsistency.