Special Deposit Scheme 1975
The Reserve Bank of India (RBI) has issued a circular regarding the payment of interest for the calendar year 2014 under the Special Deposit Scheme 1975.
The scheme was introduced in 1975 to mobilize deposits from individuals and institutions, with the primary objective of reducing liquidity in the economy.
As per the scheme, deposits were accepted from individuals, firms, companies, and institutions, with a minimum deposit amount of ₹10,000 and a maximum of ₹1 lakh.
The interest rate payable on these deposits was 4% per annum, compounded half-yearly.
The RBI has now announced the payment of interest for the calendar year 2014, which will be credited to the accounts of the depositors.
The payment of interest is in accordance with the scheme’s guidelines and is subject to the applicable tax deductions.
Note: The circular is applicable to all banks and institutions that have accepted deposits under the Special Deposit Scheme 1975.
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Download: Special Deposit Scheme 1975 – Payment of interest for the calendar year 2014