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How To Close A Fixed Deposit Account Before Maturity

How To Close A Fixed Deposit Account Before Maturity

Have you found yourself in a situation where and How To Close A Fixed Deposit Account Before Maturity? Life is unpredictable, and sometimes financial needs arise that require immediate attention. In this article, we will guide you through the simple steps to close a Fixed Deposit account before maturity without any hassle.

How To Close A Fixed Deposit Account Before Maturity

Closing a fixed deposit account before maturity may seem like a complicated process, but with a bit of understanding and guidance, it can be done smoothly. Whether you need funds for an unexpected expense or want to explore better investment opportunities, here’s a simple guide to help you navigate through the steps of closing a fixed deposit account before its maturity date.

How To Close A Fixed Deposit Account Before Maturity Offline

How To Close A Fixed Deposit Account Before Maturity,How To Close A Fixed Deposit Account Before Maturity Online

1. Understand the Terms and Conditions:

Before taking any action, familiarize yourself with the terms and conditions of your fixed deposit account. Look for information regarding premature withdrawal, penalties, and procedures.

2. Visit Your Bank:

To close a fixed deposit account before maturity, you’ll need to visit your bank in person. Locate the nearest branch and head over to the customer service or banking counter.

3. Carry Identification Documents:

Ensure you have the necessary identification documents with you, such as your government-issued ID, PAN card, and a copy of your fixed deposit certificate.

4. Speak to a Bank Representative:

Approach a bank representative and express your intention to close the fixed deposit account before maturity. Provide them with your account details and fixed deposit certificate for verification.

5. Request the Closure Form:

Ask the bank representative for the premature closure form. This form is specifically designed for customers looking to close their fixed deposit accounts before the agreed-upon maturity date.

6. Fill Out the Closure Form:

Carefully fill out the closure form, providing accurate details about your fixed deposit account, including the account number, maturity date, and the reason for premature withdrawal.

7. Understand the Penalty:

Be aware that premature closure of a fixed deposit usually incurs a penalty. The penalty amount varies from bank to bank, so make sure you understand the financial implications before proceeding.

Bank Name Premature Withdrawal Charges
SBI 0.50% – 1%
ICICI Bank 0.50% – 1%
Axis Bank 1%
HDFC Bank 1%
Kotak Mahindra Bank 0.50%
IDFC First Bank 1%
Union Bank of India 1%
Canara Bank 1%
IDBI Bank 1%
Punjab National Bank 1%
Bank of India 0.50% – 1%
Citibank 1%
Bank of Baroda 1%
STFC Fixed Deposit 2% – 3%
Bajaj Finance FD 0.55% – 1%

8. Receive the Amount:

Once the closure form is submitted and processed, the bank will release the funds into your linked savings or current account. Confirm the transaction details with the bank representative.

9. Update Passbook or Statement:

If your bank provides a physical passbook or statement for your fixed deposit account, ensure that it is updated to reflect the closure. This documentation is essential for maintaining accurate financial records.

10. Confirm Closure in Writing:

Request a written confirmation of the closure of your fixed deposit account. This document serves as proof and can be handy for future reference.

How To Close A Fixed Deposit Account Before Maturity Online

Are you wondering *how to close a Fixed Deposit account before maturity online*? It’s not as complicated as it might seem. Here’s a straightforward guide for you:

1. Log In to Your Online Banking Account:

Open your web browser and log in to your online banking account where your Fixed Deposit is held.

2. Locate the Fixed Deposit Section:

Look for the section dedicated to Fixed Deposits. It might be under the ‘Accounts’ or ‘Investments’ tab.

3. Identify the Close or Withdraw Option:

Once you’re in the Fixed Deposit section, search for the ‘Close’ or ‘Withdraw’ option. It’s usually prominently displayed.

4. Fill Out the Closure Form:

You might be required to fill out an online closure form. Provide the necessary details, including your account information and reasons for premature closure.

5. Confirm Closure Terms:

Review the terms and conditions related to premature closure. Ensure you understand any penalties or fees associated with closing the Fixed Deposit before maturity.

6. Submit the Request:

After filling out the form and understanding the terms, submit your request for closure.

7. Await Confirmation:

Once you’ve submitted the request, wait for confirmation from your bank. This might be via email or a notification within your online banking portal.

FAQ:

Q: Can I close my Fixed Deposit (FD) with SBI before it reaches maturity?

A: Yes, you can, SBI allows premature withdrawal of FDs.

Q: Is it possible to withdraw money from a Fixed Deposit before the maturity date?**

A: Yes, it is possible to withdraw money from a Fixed Deposit before maturity, but it comes with certain conditions.

Conclusion:

Closing a fixed deposit account before maturity is a financial decision that requires careful consideration. By following these simple steps and being aware of the associated terms and penalties, you can efficiently navigate the process and access your funds when needed. Always consult with your bank if you have any questions or concerns regarding the premature closure of your fixed deposit account.

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