Expanded as the Kerala Transport Development Finance Corporation LTD, it is a Non Banking Financial Corporation which is currently registered under the Reserve Bank of India. KTDFC is entirely owned by the government of Kerala. It accepts deposits from the public. These deposits are guaranteed by the Government of Kerala, whose job is to ensure absolute security and fair returns for the investors. KTDFC offers many loan products which can be chosen based on the needs of every investor. There are options with low, receding EMI rates, hassle free process and premature closure options which ultimately ensure increased savings to the people.
KTDFC fixed deposit
There are two KTDFC fixed deposit options. They are as follows:
- Periodic Interest Payment Scheme (PIPS)
Under the Periodic Interest Payment Scheme (PIPS), the interest shall be paid on monthly or quarterly basis with monthly rests.
- Money Multiplier Scheme (MMS)
Under the Money Multiplier Scheme (MMS), the interest shall be compounded monthly and paid on maturity to the investor.
In order to make deposits under any of these schemes, the minimum amount required will be Rs 10,000 and in the multiples of Rs 1,000 subsequently.
KTDFC fixed deposit accepts fixed deposits from its customers. Consequently, the repayment of such deposit is assured by the Government of Kerala up to an amount of Rs 2,000 Crores.
The minimum period of KTDFC fixed deposit is 1 year and maximum period is 5 years.
Income Tax shall not be deducted up to an interest earning of Rs.5,000 during a financial year. If such amount exceeds 5,000, forms 15G / 15H will have to be produced.
How to open KTDFC fixed deposit?
The different mediums through which KTDFC receives an application for Fixed Deposit are as follows:
- Forms that are submitted directly to different KTDFC offices.
- Forms which are received through authorized fund arrangers / agents who were appointed by KTDFC.
Cheques drawn in favour of Kerala Transport Development Finance Corporation Ltd, payable at Thiruvananthapuram can be deposited at HDFC / IDBI banks in any branches in India, through a dedicated CMS facility.
Can you withdraw money prematurely?
In the case of premature withdrawal after a period of 3 months, interest shall be paid as follows:
- After a period of 3 months but before 6 months from the date of deposit – No Interest.
- After a period of 6 months from the date of deposit but before the date of maturity – Interest will be paid @2% lower than the initial contracted interest rate.
What are the main features of KTDFC fixed deposit?
Some of the major features and benefits of such fixed deposits are as follow:
- High earning interest rates of up to 8.25%
- 25% additional interest rates for deposit of more than Rs 25 Lakhs
- 25% additional interest rates for senior citizens
- No lien on deposits will be recognised
- Fixed deposit may be in the names of not exceeding three joint applicants
- The fixed deposits are a safe investment options, as they are guaranteed by the Government of Kerala