New Delhi: Not only do Fixed Deposits (FDs) or Time Deposits (TDs) guarantee a return, but they can also be utilized by customers in times of liquidity shortfall or other financial emergencies.
Can my fixed deposit be used for a loan?
You can borrow money from your fixed deposit without having to wait for it to mature if you have one. To secure the amount of the loan, you can use your FD as collateral. This indicates that you can borrow against your fixed deposit. Instead of looking at the CIBIL score, these loans, also known as loans against FDs, can be secured with collateral.
Can a loan be secured by my SBI FD?
The online service is available to SBI customers who hold TDR/STDR/e-TDR/e-STDR with SBI in a single name only (no joint account holders). At the Branches, this service is available to Joint Account holders. The loan is also approved at the branch level with the FCNR(B) Deposits and RD/e-RD as security.
How much of a loan can I get on FD from SBI?
Customers can get a Demand Loan or Overdraft for 90% of their underlying security value at SBI branches.
What is SBI’s overdraft interest rate compared to FD?
Customers of SBI are required to pay an interest rate that is 1% higher than the relative time deposit rate.
What is the maximum SBI Fixed Deposit Overdraft Limit?
Online overdrafts against SBI Fixed Deposits are limited to a maximum of Rs 5 billion. However, the Branches do not have a specific loan limit for advances.
