Module: | Capital Adequacy, Basel Norms & Monetary Policy
Q34: According to the RBI (Commercial Banks - Interest Rate on Deposits) Directions, 2025, which of the following pairs regarding minimum deposit tenors are correctly matched?
1. Domestic Term Deposits: Minimum 7 days.
2. NRE Term Deposits: Minimum 1 year.
3. NRO Term Deposits: Minimum 7 days.
4. Recurring Deposits: Minimum 14 days.
Which of the statements given above is/are correct?
2. NRE Term Deposits: Minimum 1 year.
3. NRO Term Deposits: Minimum 7 days.
4. Recurring Deposits: Minimum 14 days.
Which of the statements given above is/are correct?
✅ Correct Answer: B
The correct answer is B. Statements 1, 2, and 3 correctly match the RBI mandated minimum tenors.
For Domestic Term Deposits and NRO Term Deposits, the minimum tenor is 7 days.
For NRE Term Deposits, it is strictly 1 year.
Statement 4 is incorrect because there is no separate 14-day minimum specifically defined for Recurring Deposits that overrides the base term deposit rules.
For Domestic Term Deposits and NRO Term Deposits, the minimum tenor is 7 days.
For NRE Term Deposits, it is strictly 1 year.
Statement 4 is incorrect because there is no separate 14-day minimum specifically defined for Recurring Deposits that overrides the base term deposit rules.