Mumbai based private bank, YES Bank has launched a new recurring deposit (RD) scheme. With it, the customer will be able to calculate their monthly deposits to meet their financial goals.
The service would be available to the customer online, and is based on systematic investment plan (SIP) model, in which the investor pays monthly money based upon his/her long term financial goals.
Time horizon, amount required, current interest rates, inflationary pressures would all be considered to provide a customized solution.
"The goal-based recurring deposits will encourage customers to commit themselves into disciplined savings," said Ms. Chitra Pandeya, Sr. President, and country head , Savings Liabilities Management, Cards and Direct Banking.
"Additionally, customers can give the RD a distinct name tag of their goal, such as 'Family Trip to Singapore' or 'Savings for Family Car' or 'Higher Education for kids' etc, creating an emotional value in the customer's mind," she added.
The bank at present offers 7% on savings account, the highest amongst domestic banks, and 9% on NRE fixed deposits.