MUMBAI, 22 NOVEMBER, 2022 (GPN): Federal Bank launched a Deposit scheme for NRIs titled ‘Deposit Plus’, which offers higher interest than the existing NRE fixed deposits. The maximum interest rate offered in this scheme is 7.50% for a tenure of 700 days.

The interest accrued on this scheme will be added to the principal (re-investment plan) on a quarterly basis. It is an exciting opportunity for Non-Residents to invest their funds as the interest earned is exempt from Income Tax. The deposits cannot be closed prematurely; however, customers have the option of availing loans up to 75% of the deposit amount in the event funds are required prior to maturity.

While officially launching the new deposit scheme, Ms. Shalini Warrier, Executive Director of the Bank remarked, “Federal Bank is excited to announce a deposit scheme that offers a higher interest rate on NRE Deposits. We have always been at the forefront in providing the best offers and rates to our customers. The Bank is a key player in the Non-Resident India segment, holds a market share of close to 7% in NR segment and routes 22% of personal inward remittances to India. We are confident this scheme will delight our NR patrons”.

The new variant of NR deposit scheme will surely be an attractive investment option for NRI customers to gain better return than normal NRE term deposits. Federal Bank has a significant share of the NRE market as well as the remittance business in India. This product will help Federal Bank make further inroads and build market share.Ends

About Federal Bank

Federal Bank (NSE: FEDERALBNK) is a leading Indian private sector bank with a network of around 1,323 banking outlets and 1,876 ATMs/Recyclers spread across the country. The Bank’s total business mix (deposits + advances) stood at ₹ 3.50 Lakh Crore as on 30 September, 2022. Capital Adequacy Ratio (CRAR) of the Bank, computed as per Basel III guidelines, stood at 13.84% as on 30th September 2022. Federal Bank has its Representative Offices at Dubai and Abu Dhabi that serve as a nerve centre for Non-Resident Indian customers in the UAE. The Bank also has an IFSC Banking Unit (IBU) in Gujarat International Finance Tec-City (GIFT City). Federal Bank is transforming itself, keeping its principles intact, into an organization that offers services beyond par. It has a well-defined vision for the future as a guidepost to its progress.