The public sector bank, Allahabad Bank, has introduced a new fixed deposit scheme called "AllBank Liquid Term Deposit Scheme" which will become applicable from September 17 onwards.
The bank issued a statement according to which it is offering an interest rate of 7.60 percent per annum on deposits of Rs. 15 lakh to Rs. 5 crore, as part of the scheme. The fixed deposits have maturity periods of 7 to 179 days.
The scheme does not attract penalty on withdrawal of funds before maturity but in case funds are withdrawn before the completion of a week (7 days), no interest will be paid on it. The scheme will be offered till September 30.