• Acceptance Of Deposits
• Interest Payment
• Income Tax
• Renewal
• Payments
• Loans
• Transmission
• NRI Deposits
• General

Yes. A copy of the Power of Attorney to be obtained and filed.

No

There are two schemes namely Fixed and Cumulative Deposit schemes.

In Fixed deposit scheme, interest is payable at specified frequencies. The scheme will be convenient for persons like pensioners, who require periodical interest payment. In Cumulative deposit scheme, interest is payable at the time of maturity along with the principal. This scheme is suitable for persons who do not require periodical interest payment and this can be thought of as a money multiplier scheme.

For both the schemes, the minimum deposit amount is Rs.10000/-. Additions can be made in both schemes in multiples of Rs.1000/-

Click here to see the present rate of interest.

12 Months, 24 Months & 36 Months

By means of a Cheque/DD/P.O. issued in favour of SUNDARAM FINANCE LIMITED or SUNDARAM HOME FINANCE LIMITED, as the case may be. Depositor can send the DD Payable at Chennai/P.O. of a bank in Chennai.

Yes. Both in FD & CD. However, deposits in the same order of names only would be controlled in the same account, though different term deposit receipts will be issued from time to time for different maturities.

No. The cheque should be issued in favour of SUNDARAM FINANCE LIMITED or SUNDARAM HOME FINANCE LIMITED.

No

Yes. Application for deposit should be made on the prescribed form of respective companies.

Only the person(s) who have been appointed as guardian by the Competent Court should sign the application. A copy of the Court Order has to be given for our files.

The erstwhile guardian should send us a letter intimating the same duly attaching the signature of the Minor turned Major.

A photograph of the depositor should be pasted in the deposit application form with the left hand thumb impression affixed and duly attested by a Gazetted Officer/or may be authenticated by a bank manager.

You can make a deposit in the sole name of the minor. Also, in the name of minor jointly with one or two individuals. In case of a minor, the date of birth of the Minor should be indicated in the deposit application form in the space provided. In the case of Hindus, the application form should be signed by the father or mother of the Minor. In case of minors belonging to the Muslim Religion, only the father should sign the application form as guardian.

Yes, maximum in the names of three persons payable to "Anyone or Survivor" or "No.1 or Survivor".
ANYONE OR SURVIVOR (A OR S) - The deposit receipt can be discharged by Anyone of the depositors on maturity. For premature payment & loan all the depositors signatures are required.


NUMBER 1 OR SURVIVOR (N OR S) - Only the first named depositor is entitled to receive the amount prematurely or on maturity. The first depositor has the sole control over the deposit during his/her life time. On the death of the first named depositor, the deposit will be transmitted to the Survivor on production of Death Certificate issued by the Municipality/Village Panchayat. For premature payment & loan the first depositor's signature is sufficient.

Yes. However, the depositor would find it convenient to have one IW in respect of all TDRs in an account by opting for uniform periodicity of interest payment

Periodical IWs to depositor, Periodical IWs to bank, Periodical IWs to depositor with bank details printed, Periodical IWs to bank through Electronic Clearing Service (ECS)

No. Interest will be paid to the first depositor only.

Three.

We do not allow monthly interest on 1 and 2 year deposits

Yes. Monthly can be changed to quarterly, viceversa in the case of 36 months deposits.

Yes. If the depositor desires so, and if full particulars of the bank are furnished in the application form, periodical IWs will be sent direct to the bank concerned for credit of the depositor's account.

State Bank of India, Gopalapuram Branch, Chennai 600086 payable at Par at all SBI branches in India without any charges (ie : If there is SBI in the place of the depositor's bank, SBI will not levy any commission etc and the full amount will be paid through local clearing).

In case there is no SBI branch available, the bank where you present the IW will levy collection charges

No. As the interest would already have been paid (monthly / quarterly) such a conversion is not possible.

Interest will be credited in our books as on 31st March, every year and is payable on the date of maturity along with the principal.

No change since we are obliged to pay the contracted rate till its maturity as per current rules.

It depends upon the Directives of the Reserve Bank of India. If RBI is specific that the increase should bear prospective effect from a particular time, it cannot be done automatically. The revised rates will apply only to fresh deposits and renewals. However, the benefit of the revision can be passed on to the existing depositors by a process of `Premature renewal' subject to RBI rules.

No. All deposits held in the same name, or in the same order of names (in case of joint deposits) are required to be clubbed together for the purpose of calculation of income tax.

An Assessee means a person, including an individual, association of persons, firms etc. whose total income during a particular financial year exceeds the amount liable to be taxed. All other persons are known as Non-assessees.

It is obligatory on our part to deduct income tax at source if the estimated annual interest paid/credited on a deposit account exceeds Rs.5000. However, Non Assessees (individuals, HUF, Trust) can avoid such deduction by furnishing a self-declaration in Form 15G/15H.

Form 15G/15H is a self declaration by the depositor, which can be got from the company. It is a self declaration, which needs no attestation by anybody except in case of Left Hand Thumb impression, which needs to be attested by a Gazetted Officer/Bank Official. Since a copy has to be retained in our files and one copy sent to IT dept. it is required to be furnished in duplicate. We will send Form 15G/15H declaration in the month of March and the depositor is required to return the same in duplicate duly completed and signed by the first Depositor. Form 15G/15H is sent to the depositor on the basis of the estimated interest payable for the full financial year and such estimation is calculated as on 31st March. In Cumulative deposit the estimation will be on the assumption that the deposit will be renewed for the entire maturity value on the due date in the following year.

No. Since there may be changes in the Income Tax laws, the Form 15G/15H is required at the beginning of each financial year or at the time of deposit, where applicable.

Since, one copy of Form 15G/15H is required to be sent to I.T.O. it is possible that the ITO may raise some query, when they deem it necessary.

No. Since he is an Assessee.

A Consolidated Tax Deduction Certificate at source in the prescribed Form 16A, giving details of the interest remitted to Govt. etc. will be sent during second/third week of April every year.

Yes. Since it is a renewal of the existing contract.

Yes. In case of A or S only. In case of N or S joint accounts, the first name cannot be changed but the second name can be changed.

A computer generated renewal application form (MIL) is sent two months in advance of the maturity.

The completed renewal form and the matured TDR are to be sent to us for renewing the deposit.

Presently, on line services are available for SF Deposits at HO, Adyar, T.Nagar and Annanagar in Chennai only. All the other branches of SF will, however, accept the renewal documents and forward it to the centralised deposit department.

Interest ceases on maturity unless the deposit is renewed within 2 months.

Only if renewal is effected within 60 days from its maturity date. Otherwise the deposit will be renewed only prospectively.

On renewal, arrears of interest on the matured deposit will be included in the forthcoming interest warrant in case of fixed deposits.

Yes only in CD for maturity value. In case of FD only in multiples of Rs.1000/-.

RBI directions prohibit us from allowing withdrawal of deposits within 3 months from the date of deposit renewal.

Yes- Premature withdrawal can be done after 3 months from the date of deposit/renewal as per the Directions of Reserve Bank of India and the terms and conditions of the Company in force from time to time.

Yes. The same procedure which is applicable for full premature payment. However, in such cases, the depositor can also consider availing a loan upto 75% of the deposit amount.

The premature withdrawal form and the deposit receipt discharged on its reverse on Re.1 Revenue stamp, have to be sent to us with instructions to repay the deposit before maturity. In case of A or S joint accounts, all the depositors have to give their discharge on the TDR and premature withdrawal Form. However in case of N or S joint accounts, only the discharge of the first depositor is necessary. In both cases the premature proceeds will be favouring the first depositor only.

No. Premature payments will be made to the first depositor only.

The deposit receipt discharged over 1 Re. revenue stamp on its reverse to be sent to us with repayment instructions.

Yes. Subject to the minimum of Rs.10000/- per account

Yes, in case of A or S. However, in N or S cases, the first depositor's signature alone is needed.

Yes. In A or S Account. However, in N or S joint accounts, the payment will be made to the first depositor only.

In branch areas, where we have cheque facility of our banks, post dated payment cheques can be sent a week in advance of the maturity. In places where such a facility is not available, repayment will be made by way of DD on the date of maturity. If the date of maturity falls on a Sunday or a Holiday, the payment will be made on the next working day.

No. Payment will be made by A/c Payee Crossed cheque/ DDs only.

Yes

As per RBI's directives, we are allowed to grant loan upto 75% of the deposit amount after 3 months from the date of deposit.

2% over and above the contracted rate of interest.

Demand Promissory Note, Deposit Receipt, Letter of Lien. These documents have to be signed by all the depositors in A or S and by the first depositor alone in N or S and sent us.

In case of FD, it is recovered from the periodical interest warrants. In case of CD, the same is adjusted in the repayment proceeds at the time of maturity.

Yes subject to a minimum of Rs.500 per instalment. Interest on the loan will be calculated on diminishing balance.

In case of `A or S' or `N or S' joint accounts, TDRs along with an attested photo copy to the death certificate issued by the Corporation / Municipality / Village panchayat to be produced. Burial ground receipts, Doctor's certificate etc. will not be sufficient for the purpose.

Attested copy of Death Certificate, Term Deposit Receipt, Will or testamentary disposition, if any, or An attested copy of Legal Heirship Certificate issued by a Tahsildar / Coporation

For details on NRI deposits please Click Here

SF adopts sound financial policies which enhance the inherent strength of the company like ploughing back profits to build up a strong capital base, depreciating its assets under the written down value method, careful selection of risk and proper deployment of funds. An effective collection machinery with a large net work of branches all over India ensures a very high rate of collection of receivables. These ensure security for the depositors' money.

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