Fixed Deposit

SHRIRAM TRANSPORT FINANCE COMPANY LIMITED Fixed Deposit – FAQs

1. What options are available while opening a Fixed Deposit ("FD")("FD") account with SHRIRAM TRANSPORT FINANCE COMPANY LIMITED ("STFC”)?
You have the option of opening/renewing the fixed deposits under either of the Fixed or cumulative scheme. Under the Fixed scheme, interest would be paid on quarterly, half yearly/or annual basis depending on the scheme subscribed to, by you as depositor.
In cumulative deposits, interest is added to the deposit amount, which again is eligible to earn interest on quarterly compounding. The principal as well as the accumulated interest is paid to the customer on maturity or premature withdrawal.

2. Who can open FD account with SHRIRAM TRANSPORT FINANCE COMPANY LIMITED?

Any resident Indian

HUF

Domestic Company

3. Under what regulations, the fixed deposits accepted by NBFCs are governed?
The public fixed deposit schemes of NBFCs are subject to the directions issued by the Reserve Bank of India under Non Banking Financial Companies Acceptance of Deposits (Reserve Bank) Directions, 1998 as amended from time to time

4. How to purchase SHRIRAM TRANSPORT FINANCE COMPANY LIMITED FD online from www.icicidirect.com?
You may logon to www.icicidirect.com with your login id & password, click on “ Fixed Deposit “ &select SHRIRAM TRANSPORT FINANCE COMPANY LIMITED FD

5. What is the minimum amount required to place a FD with SHRIRAM TRANSPORT FINANCE COMPANY LIMITED?
The minimum amount required to place a Fixed Deposit with SHRIRAM TRANSPORT FINANCE COMPANY LIMITED is Rs. 25,000 and thereafter-in multiples of Rs. 1,000.

6. Will I get the FD receipt?
Yes, SHRIRAM TRANSPORT FINANCE COMPANY LIMITED will issue FD receipt acknowledging the money deposited by you with us.

7. When will I get the FD receipt?
FD receipt (for customers opting for tax deduction) will reach the customers within 4 weeks from the date of order placement. FDR for customers who are not opting for tax deduction, certificates will be despatched after receipt of 15G/15H
FDR for customers who are opting for nomination facility will only be despatched after processing of nomination form. Customer will receive FDR within 3 weeks post this.

8. What is the range of tenure for which I can open a FD account?
If you are a resident Indian individual/entity, you can open a FD account with SHRIRAM TRANSPORT FINANCE COMPANY LIMITED for a minimum tenure of 1 year to maximum tenure of 5years

9. At what frequency will I receive interest on my FD?
Interest is paid as per the FD income plan selected by you while depositing money with SHRIRAM TRANSPORT FINANCE COMPANY LIMITED. For the Fixed scheme, the interest on FD is paid on quarterly/ half yearly /annual basis based on the option selected by you. For the cumulative scheme, the interest is Compounded (quarterly compounding) to the deposit amount and the accumulated interest will be paid on maturity along with deposit amount.
If an investor has opted for TDS deduction, then the tax that is paid is reduced from accrued interest and then this is added to the principal amount for further compounding

10.What is compounding in FDs?
In case of deposit with Cumulative option, interest accrued is added to the existing deposit amount at the end of every year

11. What is the start date of interest on FD?
Interest would accrue from the date when the money is debited from your ICICI Bank account. SHRIRAM TRANSPORT FINANCE COMPANY LIMITED may revise the above policy of interest accrual from time to time, at its sole discretion.

12. Can different FD accounts be opened in the name of single depositor?
Yes, single depositor may open several deposit accounts in the same name.

13. What is 'nomination'?
Through nomination facility, the depositor may nominate a person to whom SHRIRAM TRANSPORT FINANCE COMPANY LIMITED has to pay the deposit amount in case of death of the depositor. For availing this facility, you should fill the nomination details in the appropriate space provided in the order book.

14. How can the deposits be redeemed?
The deposit receipt duly discharged with a revenue stamp of requisite value should be surrendered to SHRIRAM TRANSPORT FINANCE COMPANY LIMITED at least two weeks prior to the maturity date of FD. FDR to be dispatched along with the maturity form at below mentioned address:
SHRIRAM TRANSPORT FINANCE COMPANY LIMITED, Office No. 1-7 1st floor, A wing Agarwal Trade Centre, Plot no 62, Sector 11 , CBD Belapur, Navi Mumbai 400 614

15. What is the mode of getting payment on redemption/interest?
The redemption/interest payment will be directly credited to your ICICI Bank Limited account

16. Can I redeem my FD before the original term? If so, are there any conditions applicable to the same?
Yes, FD can be withdrawn before the original term of the FD in accordance with the directions issued by Reserve Bank of India under Non -Banking Financial Companies Acceptance of Deposits (Reserve Bank) Directions, 1998 as amended from time to time on a request being made by a depositor, Premature withdrawal of the deposit may be allowed subject to the following conditions:

No deposit will be repaid within three months from the date of its acceptance.
After three months but before 6 months from date of deposit - No interest
After six months from date of deposit but before the date of maturity - The interest payable shall be 2 percent lower than the interest rate applicable to a public deposit for the period for which the public deposit has run or if no rate is specified for that period then 3 percent lower than the minimum rate at which the public deposits are accepted by the company

17. How is the FD renewed?
Subject to the FD scheme being open, the deposit may be renewed on maturity by submitting a duly filled fresh FD Application Form within one month from the date of maturity. It is necessary that the fresh FD Application Form should be submitted along with the duly discharged old FD receipt with revenue stamp of requisite value. The renewal will be subject to the terms and conditions of the FD scheme as applicable on the maturity date of the old deposit.

18. Is FD transferable?
No, FD is non- transferable.

19. Can a loan be obtained from SHRIRAM TRANSPORT FINANCE COMPANY LIMITED against the security of the FD?
Yes, loan facility is available at the discretion of SHRIRAM TRANSPORT FINANCE COMPANY LIMITED, which can be availed only after three months from the date of deposits and up to 75% of the deposit amount subject to certain terms and conditions. Interest on such loans will be 2% above the deposit rate.

20. How can a depositor change the address etc. during the term of deposit?
AAn application requesting to update the address etc. may be submitted to SHRIRAM TRANSPORT FINANCE COMPANY LIMITED (at the above mentioned address) along with the proof of such change, like new Residence proof. The account holders should sign the application.

21. What if one loses the FD Receipt.?
In the event of loss of the Fixed Deposit Receipt, SHRIRAM TRANSPORT FINANCE COMPANY LIMITED should be immediately informed about the loss of the instrument. SHRIRAM TRANSPORT FINANCE COMPANY LIMITED may issue a duplicate Fixed Deposit Receipt, subject to non encashment of the original instrument, upon receipt from the depositor of a 'letter of loss of instrument' and an indemnity in the prescribed form to its satisfaction and after compliance with such other formalities as may be required by the SHRIRAM TRANSPORT FINANCE COMPANY LIMITED

22. If legal disputes arise, what is the resolution mechanism?
Disputes, if any, arising in connection with SHRIRAM TRANSPORT FINANCE COMPANY LIMITED's FDs, will be subject to jurisdiction of Court at city of Chennai

23. Are public deposits guaranteed by RBI?
No. Though the fixed deposits of SHRIRAM TRANSPORT FINANCE COMPANY LIMITED are within its regulatory framework, RBI does not undertake any responsibility for the repayment of deposits/discharge of liabilities by SHRIRAM TRANSPORT FINANCE COMPANY LIMITED. The depositor is advised to satisfy himself about the financial position and all relevant aspects before placing his deposit

24. When do I become liable for TDS?
If the aggregate interest income that you are likely to earn for all your deposits is greater than Rs. 5,000/- in a financial year, you become liable for TDS, subject to submission of Form 15G for individuals and 15H for senior citizens((Citizen who is of the age of 65 years or more)

25. When is TDS deducted?
TDS is deducted every time the Company pays or credits interest during the financial year. In addition, TDS is also deducted on interest accrued (but not yet paid) at the end of the financial year viz. 31st March.

26. Where should I submit form 15 G / 15 H ?
You should download applicable form 15 G / 15 H by clicking on the link provided in the order book under Fixed Deposit section & send it to SHRIRAM TRANSPORT FINANCE COMPANY LIMITED within 7 days of making the application. Forms need to be sent at below mentioned address:
All communications with regard to deposits should be addressed to
The Manager (Deposit),
Shriram Value Service,
Office No. 1-7,
Aggarwal Trade Centre, 1st Floor, "A" Wing, Sector-11, CBD Belapur,
Navi Mumbai -400 614. Ph. 022-41574545

NOTE:
This FAQ is only meant to clarify certain basic questions on Fixed Deposit scheme. The information given is included only for general purpose and the depositors should be aware that the relevant rules, regulations, or their interpretation might change. We strongly advise depositors to contact our Call Centre/SHRIRAM TRANSPORT FINANCE COMPANY LIMITED branches/Registrar for any additional information/clarifications. Please read the terms & conditions, Financial statements & Declarations available on www.icicidirect.com com before investing in SHRIRAM TRANSPORT FINANCE COMPANY LIMITED FD. ICICI Securities Ltd. acts as a referral agent to SHRIRAM TRANSPORT FINANCE COMPANY LIMITED. and the offer is brought to you by SHRIRAM TRANSPORT FINANCE COMPANY LIMITED subject to fulfillment of eligibility criteria, terms and conditions etc.