The Recurring deposit in Bank is meant for someone who want to invest a specific sum of money on a monthly basis for a fixed rate of return. At the end, you will get the principal sum as well as the interest earned during that period. The scheme, a systematic way for long term savings, is one of the best investment option for the low income groups.
A Recurring Bank Deposit account can be opened at any branch of a bank that offers this facility. However, some banks insist that you maintain a savings bank account with them to operate a Recurring Bank Deposit account. The terms and conditions vary from bank to bank. When a depositor opens a Recurring Bank Deposit account with a bank, a pass-book or an account statement is issued to him.