Frequently asked questions !
DEPOSITSIs TDFC a Government Organisation?
Yes. TDFC is a Government Organisation, fully owned by the Government of Tamilnadu
Whether TDFC is registered with RBI?
Yes. TDFC is registered with Reserve Bank of India as a Non-Banking Finance Company and the Registration No. is 07.00403.
Who can make deposits ?
- Any individual can make deposit
- The minors can make deposit with the natural guardian
- Various Private Institutions, Educational Institutions / Educational Trust / Temples / Government Departments / Boards may also invest in the name of the institutions / Department / Board.
- RBI has permitted TDFC to accept NRI Deposits on Non-Repatriation Basis – However, there is no NRI Deposit with TDFC now.
What is the mode of deposit?
Chennai depositor can make deposit either through local cheque or
Bankers Cheque.
Outstation depositors can make deposit through cheque payable at par / Demand Draft. (Bank charges can be deducted since it is
borne by TDFC) Outstation cheques not accepted
No cash receipt or payment is entertained.
What are the Deposit Schemes offered by
TDFC?
TDFC is offering two types of Deposit Schemes viz.
1.Periodical Interest Payment Scheme (PIPS) (Interest is
payable monthly or quarterly or annually).
click here for the scheme
2. Money Multiplier Scheme (MMS) (Interest is payable at
the end of the maturity period)
click here for the scheme
Where from the Application form can be
obtained?
Application forms can be obtained from the Registered Office of
the Corporation at Tourism Complex (4th Floor), No.2, Wallajah
Road, Chennai – 600 002 Ph. (044) 25333930 / 25333931 / 25333932 and Deposit Moblisation Center, Coimbatore. (Address: SETC Bus Stand Complex, Gandhipuram, Coimbatore-641044. Ph: 0422-2527102) The
prescribed application form can also be downloaded from our website.
Click here for application form.
How is the deposit amount to be remitted?
The deposit amount should be remitted in the form of crossed
Demand Draft or at par Cheque in the name of TAMILNADU TRANSPORT
DEVELOPMENT FINANCE CORPORATION LTD. payable at Chennai.
Outstation depositors can remit the amount by at par cheque / demand draft (eg. for depositing Rs.10,000/-,
depositor may send DD for Rs.9980/- after deducting bank
commission of Rs.20/-)
Whether Nomination facility is possible?
Yes. Nomination facility is available subject to the provisions of the RBI (Amendment) Act 1997. Further a nomination can be made only in respect of a deposit account which is held in the individual capacity of the depositor, and not in any respresentative capacity such as the holder of an office like Director of a company, secretary of an Association, partner of a firm, or Karta of an HUF. There should be only one
Nominee. The prescribed form for nomination has to be submitted.
click here for the nomination form.
Whether TDFC has collection centers or
branches?
Yes. We have Deposit Mobilisation Centre at Coimbatore. (Address: SETC Bus Stand Complex, Gandhipuram, Coimbatore-641044. Ph: 0422-2527102)
Whether Joint deposit is possible?
Yes, the amount may be deposited jointly with not more than two
persons. (The number of depositors should not exceed three
including the first named depositor)
Who is a Senior Citizen?
Persons who have completed 58 years.
Deposit with Joint Names Vs Deposit with
nomination
During the tenure of deposit, no addition or deletion or change of
joint depositor is permitted except in case of any eventuality to
any of the depositor.
However nomination can be cancelled or modified during the tenure
of deposit.
NRI DEPOSITS
Whether deposits from NRI can be
accepted?
Yes. The deposits from NRI can be accepted. The maturity value
of the deposits and interest on deposits will be not repatriated
outside India. Income tax at the applicable rate will be deducted
at the time of payment of interest.
The deposit amount should be remitted in our account at HDFC Bank,
Mariam Centre, Anna Salai, Chennai-2 through normal banking
channel or from ordinary non-resident / non-resident external /
foreign currency non-resident accounts of the prospective investor
maintained with the bank authorized to deal in foreign exchange in
India.
RATE OF INTEREST
What is the rate of interest payable on
Deposits now?
click here for
the rate of interest
Whether ECS facility is available for
payment of interest?
Yes. ECS facility is available for payment of interest on
deposits under Regular Interest Payment Scheme.
Is there any benefit for Senior Citizens?
Yes. Senior Citizens are offered with additional interest @ 0.25%
for 1 year and 2 years deposit and @ 0.50% for the period of 3
years to 5 years.
LOAN ON DEPOSITS
Whether loan can be availed on deposit?
Yes. The loan (only one) can be availed during the tenure of the
Deposit upto 75% of the deposit amount after three months from the
date of deposit.
What is interest rate on loan on
deposits?
The rate of interest on loan will be 2% more than the rate of
interest payable on deposits.
What is the procedure for obtaining loan
on deposit?
A prescribed loan application form duly executed by all the
depositors along with duly discharged Original Deposit Receipt
should be submitted to TDFC Ltd.
click here for loan application
form.
What is the procedure for repayment of
the loan on deposit?
The loan amount along with interest should be repaid in one lump
sum. In case, if the loan is not settled upto the date of
maturity, the deposit amount will be adjusted against loan
together with interest, as applicable, and the balance will be
refunded.
PREMATURE CLOSURE OF DEPOSITS
Whether the deposit can be pre-closed?
Yes. The deposit can be pre-closed after three months from the
date of deposit.
The preclosure of deposit will not be permitted upto 3 months from
the date of deposit.
What will be the rate of interest on
pre-closure of deposit?
If the deposit is pre-closed, the interest will be regulated as
follows:
After 3 months from the date of deposit but
before completion of 6 months from the :No
interest
date of deposit
After 6 months from the date of deposit but
:Interest @ 3% p.a. less from the
before completion of 12 months from the date :rate
applicable for 12 months deposits
of deposit
After 12 months but before the date of maturity :Interest
will be paid 2% less than the
rate which the company would have
ordinary paid, had the deposit been
accepted for the periods for which such
deposit had run.
Eg.: on a particular date the rate of interest on deposits is as
follows:
Period |
1st year |
2nd year |
3rd year |
4th year |
5th year |
Rate in % |
8.50 |
8.75 |
9.25 |
9.25 |
9.25 |
Assuming the deposits was made for 36 months, whereas premature
withdrawal is opted after 26 months, then the eligible interest
will be as follows:-
Interest for 24 months as per the chart = 8.75
Less: deduction for premature withdrawal = 2.0
Eligible interest due to premature withdrawal= 5.50% (8.5–3.0)
The excess interest paid, if any, will be adjusted and the balance
amount paid.
What is the procedure to be adopted for
pre-closure
The Original Deposit Receipt duly discharged by all the Depositors
has to be submitted along with the request signed by all the
Depositors for premature closure of Deposit.
MATURITY OF DEPOSIT
What is the procedure for closure of
Deposit on maturity?
The original deposit receipt duly discharged by all the depositors
by affixing one rupee revenue stamp on the back side of the
deposit certificate has to be forwarded to TDFC. On receipt of
the certificate, the amount will be refunded by at par cheque.
What is the procedure for Renewal of
Deposit?
The deposit receipt duly discharged by all the depositors together
with fresh application form duly filled in has to be submitted on
or before the date of maturity.
What is the procedure of renewal of
Deposit after the date of maturity?
- Belated renewal with full benefit is applicable only if renewal request is received within 6 months of maturity.
- In case of belated renewal after the six months of maturity
but before one year
- Interest @ 4% p.a. from the date of maturity to the date of renewal application the amount received.
- Renewal from the date of receipt of application at the rate of interest as applicable on that day. - Renewal request is received after one year from the date of maturity, renewal will be done from the date of receipt of application at the rate of interest applicable on that day.
What is the procedure for transfer of
deposit in joint account in the event of death of the first name
depositor?
In the event of demise of the first named depositor, all payment
will be made to the person first in order of the survivor (s) and
for all purposes he / she will be considered as the first named
depositor.
What is the procedure for transfer of
deposit in single name (without joint holder)?
In the event of demise of the depositor (without joint holder),
all payment will be made to the legal heir of depositor on
production of the death certificate. If there are more than one
legal heir, other legal heir should give a consent letter signed
before the Notary Public, on whose name the FDR has to be
transferred.
Whether Income Tax will be deducted from
the interest on deposit?
Income Tax in terms of provisions of Income Tax Act, 1961 as
amended from time to time will be deducted from the interest
payable.
As per statutory provisions, if the aggregate amount of interest
payable to a depositor in anyone Financial Year exceeds
Rs.5,000/- Income Tax at applicable rate as prescribed in the
Income Tax Act / Finance Act as amended from time to time will
deducted.
Non-Assessee are required, if necessary, to furnish Form 15G for
individuals / 15H for senior citizen (60 years for income-tax
purposes) or Form 15AA for Trust in case
of Trusts for Financial year as per the Income Tax Act, for
non-deduction of tax at source.