Deposit Policy 2023-2026 PDF

)Hcri3ll!li~ ~ Bank of Baroda g ::.:- : 11,fMWM DEPOSIT POLICY 2023-26 DEPOSIT POLICY- (2023-2026) SNO CONTENTS...

)Hcri3ll!li~ ~ Bank of Baroda g ::.:- : 11,fMWM DEPOSIT POLICY 2023-26 DEPOSIT POLICY- (2023-2026) SNO CONTENTS PAGE NO 1. Preamble 4 Chapter - I 2. Types of Deposit Account 5-6 3. Account Opening and Operations of Deposit Accounts 7-15 3.1 Account Openinq 7-9 3.2 Operations of Deposit Accounts 10 3.3 Operational Instructions 10-11 3.4 Addition or Deletion of the name/s of Joint Account Holders 11 3.5 Nomination 11-12 3.6 Minors' Account 12-13 3.7 Account of illiterate/ Blind Person 13 3.8 Transfer of Account 13 3.9 Account Statement 13 3.10 Interest Payment 14 3.11 Debit Card Hot Listinq 14 3.12 Stop Payment Facility 14 3.13 Dormant Accounts/ Inoperative Accounts 15 3.14 Unclaimed Account/Deposit 15 4. Term Deposit 16-24 4.1 Tvoe of Term Deposit 16-18 4.2 Interest Payment 18-20 - 4.3 Premature Withdrawal of Callable Term Deposit 20-22 4.4 Renewal of Term Deposit before maturity 22 4.5 Renewal of Overdue Term Deposit 22-23 -- 4.6 Advances Aaainst Deposits 23 4.7 Settlement of dues in Deceased Deposit Account 23-24 4.8 Interest payable on Term Deposit in Deceased Account 24 4.9 Insurance Cover for Deposit 24 Chapter - II 5. Accounts related to Non-Resident Indian, OCI and PIO 25-37 5.1 General Information/Definition 25 5.2 Non- Resident Indian 25-26 5.3 Person Of Indian Oriqin 26 5.4 (a) For Overseas Corporate Bodies (OCB) Accounts 26-27 ----- 5.4 (b) Overseas Citizenship of India (OCI) commonly known as 'Dual Citizenship' 27-28 5.5 General Guidelines 28-30 Page 1 of 59 , IXI~~ ,' /M) lfilj 3ll!li ~ ~ Bank ofBaroda g.... lj,fW#M DEPOSIT POLICY 2023-26 5.6 Non-Resident (Ordinary) Rupee Account 30-34 5.7 NRO Term Deposit 34-37 6. Non-Resident (External) Rupee Account 37-39 6.1 NRE Term Deposit - Tenor 37 6.2 Joint Account 37 6.3 Nomination and Settlement of Deceased Account 38 6.4 Temporary Overdrawing 38 6.5 Waiver of Penalty 38 6.6 Interest rate on NRE Savings Deposit Account 38 6.7 Tax Exemption 39 6.8 Penalty on premature withdrawal of NRE deposits 39 Foreign Currency (Non-Resident) Account (Bank) Scheme [FCNR 7. (B) Account] 39-44 7.1 General 39 7.2 Nomenclature of the scheme 39 7.3 Eligibility 39 7.4 Currency 40 7.5 Period 40 7.6 Rate of Interest 40-41 7.7 Repatriation 41 7.8 Permissible Debits/ Credits 41 7.9 Calculation of Interest 42 7.10 Payment of Interest on FCNR (8) deposits 42 7.11 Payment of Interest on Overdue FCNR (8) Deposit 42-43 7.12 Payment of Interest on Premature Withdrawal 43-44 7.13 Interest payable on the deposit of a deceased FCNR (8) depositor 44 8. Special Non-Resident Rupee Account (SNRR Account) 45 9. Baroda Resident Foreign Currency (RFC) Account 46-49 9.1 Type of Accounts 46 9.2 Rate of Interest on Term Deposit 46 9.3 Other Aspects 46 9.4 Joint Account 47 9.5 Remittance after account holder's death by a Nominee Resident Outside India 47 Resident Foreign Currency (Domestic) Account. [RFC 9.6 (0) Account] 47-48 9.7 Operation in the Account 48-49 10. Exchange Earners' Foreign Currency (EEFC) Account Scheme 49-50 11. Diamond Dollar Account (DDA) Scheme - DDA Account.~ 50-51 ', I Page 2 of 59 IMJ ifi1i 3ii!n ~ ~ Bank ofBaroda g ::::-: 11,[M. DEPOSIT POLICY 2023-26 12. Baroda Advantage Fixed Deposit (Non-Callable) under RIRD / MIP / QIP Scheme for NRI Customers 51 Chapter- Ill 13. Interest rate Framework 52-54 14. Prohibitions and Exemptions 55-56 15. Other Important Information 57-59 15.1 Customer Information 57 15.2 Rights of Depositors 57 15.3 Secrecy of Customers Accounts 57 15.4 Suo Moto Closure of Saving and Current Account 57-58 15.5 Redressal of Complaint and Grievance 59 15.6 Compliance 59 15.7 Periodicity of Review of the Policy (Sunset Clause) 59 ' ! _,_ - - ;,m';jq ,, I ~L ,I L1~biiitiAS ~.~~ Page 3 of 59 {M) tm, 3ll!li ~ ~ Bank of Baroda a.... lh&#M DEPOSIT POLICY 2023-26 DEPOSIT POLICY 1. PREAMBLE: One of the important functions of the Bank is to accept deposits from the public for the purpose of lending. In fact, depositors are the major stakeholders of the Banking System. The depositors and their interests form the key area of the regulatory framework for Banking in India and this has been enshrined in the Banking Regulation Act, 1949. The Reserve Bank of India is empowered to issue directives / advices on interest rates on deposits and other aspects regarding conduct of deposit accounts from time to time. With liberalization in the financial system and deregulation of interest rates, Bank is now free to formulate deposit products within the broad guidelines issued by RBI. This policy document on deposits outlines the guiding principles in respect of formulation of various deposit products offered by the Bank and terms and conditions governing the conduct of the account. The document recognizes the rights of depositors and aims at dissemination of information with regard to various aspects of acceptance of deposits from the members of the public, conduct and operations of various deposits accounts, payment of interest on various deposit accounts, closure of deposit accounts, method of disposal of deposits of deceased depositors, etc., for the benefit of customers. It is expected that this document will impart greater transparency in dealing with the individual customers and create awareness among customers of their rights. The ultimate objective is that the customer will get services they are rightfully entitled to receive without demand. While adopting this policy, the Bank reiterates its commitment to individual customers outlined in Bankers' Fair Practice Code of Indian Bank Association. This document is a broad framework under which the Rights of common Depositors are recognized. Bank reserves the right to amend/modify this policy as and when deemed fit and proper at its sole discretion. Detailed operational instructions on various Deposit Schemes and related services are issued from time to time. Page 4 of 59  ) Hcfi 3ll!li ~ ~ Bank of Baroda 1:1.... 1HM DEPOSIT POLICY 2023-26 CHAPTER 1 2. TYPES OF DEPOSIT ACCOUNTS AND DEFINITIONS: While various Deposit products offered by the Bank are assigned different names. The Deposit products can be categorized broadly into the following types. Definition of major deposits schemes are as under: - a) "Demand Deposits" means a Deposit received by the Bank which is withdrawable on demand. b) "Savings Deposits" means a form of interest bearing Demand Deposit which is subject to restrictions as to the number of withdrawals as also the amounts of withdrawals permitted by the Bank during any specified period; c) "Term Deposit" means a Interest bearing deposit received by the Bank for a fixed period and include Deposits such as Recurring /Cumulative /Annuity /Reinvestment deposits and Cash Certificates; d) "Deposit at Notice" means Term Deposit for specific period but withdrawable on giving at least one complete Banking days' notice. e) "Current Account Deposits" means a form of non-interest bearing Demand Deposit wherefrom withdrawals are allowed any number of times depending upon the balance in the account or up to a particular agreed amount and also includes other Deposit accounts which are neither Savings Deposit nor Term Deposit. f) Bulk Deposit Bulk Deposit" Single Rupee term deposits of Rupees two crore and above for Scheduled Commercial Banks (excluding Regional Rural banks) and Small Finance Banks. g) "Daily product" means the interest applied on the end of day balance. h) "Domestic Rupee Deposits" mean rupee deposits maintained in India in the form of current account, savings deposits or term deposit. i) "Family" includes members as mentioned in the bank's Service/Staff Regulations. j) "Individual" means a natural person. Page 5 of 59 ~.) ti/i 3ll!li iJl!TGf 1~ Bank ofBaroda g ~.. I l fW\i/M DEPOSIT POLICY 2023-26 k) "Member of the bank's staff' means a person employed on a regular basis, whether full-time or part-time, and includes a person recruited on probation or employed on a contract of a specified duration or on deputation and an employee taken over in pursuance of any scheme of amalgamation, but does not include a person employed on casual basis. I) "Retired member of the bank's staff" means an employee retiring whether on superannuation or otherwise as provided in the bank's Service/Staff Regulations. m) "RFC account" means a Resident Foreign Currency account referred to in Foreign Exchange Management (Foreign currency accounts by a person resident in India) Regulations, 2000, as amended from time to time. Modes of Deposits: Deposits in account can be made by way of cash, cheques, electronic transfers (RTGS,IMPS,UPI), ECS, or through any other means such as Internet/Mobile Banking which may come into usage after giving due notice by the Bank on its web-site. Cash Deposits transactions at non- home branches are subject to certain restrictions and may also involve payment of service charges. Modes of Withdrawal: Withdrawals in account can be by way of Cheques, Withdrawal forms, through the use of ATM's, POS machines, by means of electronic transfer through Internet, by use of biometric cards, by giving Standing Instructions to the Bank, ECS which may come into usage after giving due notice by the Bank on its web-site. Instructions or through any other means which may come into usage after giving due notice by the Bank on its web-site. Cash withdrawal should be in round rupees. Bank does not carry out any financial transactions requested by the Customers through e-mail even if the request is made by a letter scanned as an attachment. Page 6 of 59 !M) tcff 3ll!li ~ ~ Bank of Baroda 1:1 :;;:;-: rj,,M#M DEPOSIT POLICY 2023-26 3. ACCOUNT OPENING AND OPERATIONS OF DEPOSIT ACCOUNTS 3.1 Account Opening: The Bank will provide its customers with details of various types of accounts that they may open with the Bank. Customers can make a choice on what type of account best suits them, based on their requirements and applicable guidelines. a) The Bank before opening any Deposit account will carry out due diligence as required under "Know Your Customer" (KYC) , "Anti Money Laundering" guidelines issued by RBI , Customer Acceptance Policy adopted by the Bank and or such other norms or procedures adopted by the Bank. If the decision to open an account of a prospective depositor requires clearance at a higher level, reasons for any delay in opening of the account will be informed to him and the final decision of the Bank will be conveyed at the earliest to him. b) The Bank is committed to provide basic Banking services to disadvantaged , sections of the society. Banking services will be offered to them through small accounts, BSBD accounts / PMJDY accounts. Small accounts will be opened with relaxed KYC norms as per regulatory guidelines. BSBD and PMJDY Savings Bank account holders may be provided with overdraft facilities as per regulatory norms and guidelines provided by regulators from time to time. As per regulatory guidelines, a customer can have only one BSBD / PMJDY account and is not allowed to have any other Savings Bank Account. c) The account opening forms and other material would be provided to the prospective depositor by the Bank. The same will contain details of information to be furnished and documents to be produced for verification and for record. It is expected of the Bank official opening the account, to explain the procedural formalities and provide necessary clarifications sought by the prospective depositor including information to prepare a profile for Risk categorization of the Customer into High /Medium /Low when he approaches for opening a Deposit Account. The Bank may not open account where the prospective customer is unable to furnish information and or in the event of non-cooperation by him. d) For deposit products of Savings Bank Account and Current Deposit Account, the Bank would normally stipulate certain minimum balances to be maintained from time to time as part of Terms and Conditions governing operation of such accounts. In case of BSBD / PMJDY accounts relaxation in minimum balance norms as per regulatory guidelines will be provided. Failure Page 7 of 59  !M) tcI, 3ll!li ~ lt{fl!) Bank of Baroda g ~ 11+C#W DEPOSIT POLICY 2023-26 to maintain minimum balance in the account may attract levy of charges or conversion of accounts to different product as specified by the Bank from time to time. For Saving Bank Account the Bank may also place restrictions on number of transactions, Cash Withdrawals, etc., for given period. Similarly, the Bank may specify charges for issue of cheque books, additional statement of accounts, duplicate pass book, folio charges, etc. All such details, regarding Terms and Conditions for operation of the accounts and schedule of charges for various services provided will be displayed by the Bank on its web site to the prospective depositor while opening the account. Any changes in the schedule of charges or the Terms and Conditions will be displayed by the Bank on it's website to the customers 30 days in advance. During the notice period, the Bank will not charge for non- maintenance of higher minimum balance prescribed. e) Bank is offering digital account opening channel for both Savings Account and Current Account through TAB Banking. Bank is providing online opening of Savings account through website and through Mobile Banking which is being opened through Video KYC. The Account opening process is available in public domain and can be accessed on web through internet enabled Mobile/TAB/PC /Laptop. Eligibility for Account Opening: a) Savings Bank Accounts can be opened for Eligible Person / Persons and certain Organizations / Agencies (as advised by Reserve Bank of India from time to time). b) As per Master Direction - Reserve Bank of India (Interest Rate on Deposits) Directions, 2016, Bank shall not Open a Savings deposit account in the name of Government departments / bodies depending upon budgetary allocations for performance of their functions / Municipal Corporations or Municipal Committees / Panchayat Samitis / State Housing Boards / Water and Sewerage / Drainage Boards / State Text Book Publishing Corporations / Societies / Metropolitan Development Authority / State / District Level Housing Co-operative Societies, etc. or any political party or any trading/business or professional concern, whether such concern is a proprietary or a partnership firm or a company or an association and entities other than individuals, Karta of HUF and organisations/agencies listed by RBI in Schedule -1. Explanation: For the purposes of this clause, 'political party' means an association or body of individual citizens of India, which is, or is deemed to be registered with the Election Commission of India as a political Page 8 of 59 !M) tri1i 3ll!li ill!ri:T ~ Bank of Baroda g :;-::; 1i+Mi?M DElOSIT POLICY 2023-26 party under the Election Symbols (Reservation and Allotment) Order, 1968 as in force for the time being. Schedule -I 1) Primary Co-operative Credit Society which is being financed by the bank. 2) Khadi and Village Industries Boards. 3) Agriculture Produce Market Committees. 4) Societies registered under the Societies Registration Act, 1860 or any other corresponding law in force in a State or a Union Territory except societies registered under the State Co-operative Societies Acts and specific state enactment creating Land Mortgage Banks. 5) Companies licensed by the Central Government under Section 8 of Companies Act, 2013 or Section 25 of Companies Act, 1956 or under the corresponding provision in the Indian Companies Act, 1913 and permitted, not to add to their names the words 'Limited' or the words 'Private Limited'. 6) Institutions other than those mentioned in section 28(h) and whose entire income is exempt from payment of Income-tax under the Income-Tax Act, 1961. 7) Government departments / bodies / agencies in respect of grants/ subsidies released for implementation of various programs / Schemes sponsored by Central Government / State Governments subject to production of an authorization from the respective Central / State Government departments to open savings bank account. 8) Development of Women and Children in Rural Areas (DWCRA). 9) Self-help Groups (SHGs), registered or unregistered, which are engaged in promoting savings habits among their members. 10) Farmers' Clubs - Vikas Volunteer Vahini - WV. " Current Accounts can be opened by individuals/ partnership firms /Private and Public Limited Companies/ HUFs / Specified Associates/ Societies/ Trusts, Departments of authority created by Government (Central or State), Limited Liability Partnership etc. " Term Deposits Accounts can be opened by Individuals / Partnership firms / Private and Public Limited Companies / HUFs/ Specified Associates / Societies / Trusts, Departments of authority created by Government (Central or State), Limited Liability Partnership, etc. KYC and due diligence process is to be complied as per Bank's Global Policy On Know Your Customer (KYC) Norms Anti- Money Laundering (AML) Standards Combating of Financing of Terrorism (CFT) And Obligation of Bank under PMLA, 2002. Page 9 of 59  ) tl'ili 3ll!li ilSir:r ~ Bank ofBaroda g = 1j,f&#lii DEPOSIT POLICY 2023-26 3.2 Operations of Deposit Accounts: a. Deposit accounts can be opened by an individual in his own name (status: known as account in single name) or by more than one individual in their own names (status: known as Joint Account). b. The Joint Account opened by more than one individual can be operated by single individual or by more than one individual jointly (Jointly by all/ Either or Survivor/ Anyone or Survivor/ Latter or Survivor / Former or Survivor). Operating instructions of this nature are obtained from the customer at the time of account opening or at a later date with due consent of all the account holders. The Savings Bank Account opened by minor jointly with natural guardian / legal guardian can be operated by natural guardian / legal guardian only. c. Individuals resident in India may be permitted to include non-resident close relative (s) (relatives as defined in Section 6 of the Companies Act, 1956) as a joint holder (s) in their resident Bank accounts on "Former or survivor" basis. However, such non-resident Indian close relatives shall not be eligible to operate the account during the life time of the resident account holder. (RBI circular no. RBl/2011-12/173 dated 15.09.2011) 3.3 Operational Instructions: The joint account holders can give any of the following mandates for the disposal of balance in the above accounts: a. Either or Survivor: If the account is held by two individuals say, A & B, the final balance along with interest, if applicable, will be paid to survivor on death of anyone of the account holders. b. Anyone or Survivor/s : If the account is held by more than two individuals say, A, B and C, the final balance along with interest, if applicable, will be paid to the survivor on death of any two account holders. c. Former or Survivor: If the account is held by two individuals A& B, the final balance along with interest ,if applicable will be paid to the former i.e. A on date of maturity and to survivor(B) on death of any one of the account holders. The clause "Former or Survivor" becomes effective only in case of death of the original depositor and the second named account Page 10 of 59 /M) trili 3ll!li iff/i"i;T ~ Bank of Baroda g ~.;;-; 1HM1M DEPOSIT POLICY 2023-26 holder (B) does not have right to revoke the instructions during the lifetime of the first named account holder (A). d. Latter or Survivor: If the account is held by two individuals say, A & B, the final balance along with interest, if applicable, will be paid to latter (B) on maturity and to survivor on death of any one of the account holders. Clarification: A joint account opened as "Either or Survivor" or "Anyone or Survivors" or "Former or Survivor" or "Latter or Survivor" will permit the surviving account holder(s) to have unimpeded access to the credit balance in the account for withdrawal if one of the co-account holders dies. The above mandates can be provided to the Bank at the time of opening the account or can be changed at any time later during the term of Deposit. Such Mandates can be modified by the consent of all the account holders. At the request of the depositor, the Bank will register mandate / Power of Attorney given by him authorizing another person to operate the account on his behalf. In the normal circumstances premature closure of a joint deposit shall be permitted only if all the deposit holders sign a request to that effect. 3.4 Addition or deletion of the name/s of Joint Account Holders: The Bank may at the request of all the joint account holders allow addition or deletion of name/s of joint account holder/s if the circumstances so warrant or allow an individual depositor to add the name of another person as a joint account holder. However, the name of the first (considered to be the principal holder) cannot be deleted. 3.5 Nomination: a. Nomination facility is available on all deposit accounts opened by the individuals singly or jointly. This is not available in accounts in the name of an Institution or Society or in any representative capacity as the holder of an office or otherwise. e.g. M.D. of a Company, Secretary of an Association, Partner of a Firm, Karta of a HUF etc. However, the facility of nomination is available in respect of deposits held in the name of a sole Proprietary Concern also. Nomination can be made in favour of one individual only. Nomination so made can be cancelled or changed by the account holder/(s) any time. b. In case of depositors putting his/her thumb impressions on the prescribed Forms for making nomination, cancellation or change Page 11 of 59 /M) d'ili 3/mi il"lfri:T ~ Bank of Baroda g.... 1j,fW4iM DEPOSIT POLICY 2023-26 thereof, the form is required to be attested by two witnesses. Nomination can be made in favour of a minor also. c. Printing of name of Nominee is available in the Passbook/Term Deposit advices/Statement of accounts, if a customer opts for this. d. Nomination facility is available for joint deposit accounts with operating instructions as 'E' or 'S' also. In the case of joint accounts, the nominee's right arises only after the death of all the depositors. Bank recommends that all depositors avail of the nomination facility for smooth settlement of claim by the legal heirs in unforeseen circumstances. The nominee, in the event of death of the depositor/s would receive the balance outstanding in the account as a trustee of legal heirs. e. Bank recommends that all depositors avail Nomination facility. If depositors do not want to give nomination, they will give in writing that they do not want nomination in the account. The depositor will be informed of the advantages of the nomination facility while opening a deposit account. f. An acknowledgment of Nomination details will be issued to the depositor/s on request. 3.6 Minor's Accounts: The minor can open Savings Bank Account and the same can be operated by the natural guardian or by minor himself/ herself, if he/she is above the age of 10 years provided the minor should be able to read and write and be capable in the opinion of Branch Manager/ Joint Manager of understanding what he /she does. However, no cheque books will be issued and no overdraft /loan will be granted to such Minor Accounts. a. The account can also be opened jointly with natural guardian / Legal guardian (appointed by the Court) or with mother as the guardian. b. On attaining majority, the erstwhile minor should confirm the balance in his/her account and if the account is operated by the natural guardian, fresh specimen signature and the photograph of erstwhile minor duly verified by the natural guardian would be obtained and kept on record for all operational purposes. Cheques issued by the guardian prior to the date of minor becomes major but presented after the minor becomes major would require confirmation from the minor. C. Time Deposits account may also be opened in name of minors. II \i Page 12 of 59.) dcfi 3ll!li ~ ~ Banko/Baroda g '.';:. :; 1jifM§M DEPOSIT POLICY 2023-26 d. Minors can open account through BC points under Financial Inclusion Scheme. 3.7 Account of Illiterate/Blind Person: The Bank may at its discretion open deposit accounts other than Current Accounts of illiterate/blind person. The account of such person may be opened provided he/she calls on the Bank personally along with a witness who is known to both the depositor and the Bank.. The Bank will explain the need for proper care and safe keeping of the passbook etc. given to the account holder. The Bank official shall explain the Terms and Conditions governing the account to the illiterate/blind person. Bank shall invariably be offering all the banking facilities such as cheque book facility including third party cheques, ATM facility, Net banking facility, locker facility, retail loans, credit cards etc. to the visually challenged without any discrimination and all possible assistance shall be rendered to these persons for availing the facilities. Joint account of an illiterate can be opened with a literate close relative i.e. father, son, husband, wife, mother and daughter but not with two cousins. Joint account of two or more illiterates can be opened on following terms and conditions All the joint account holders should be close relatives i.e. spouse, children, parents, brothers and unmarried sisters. - Not cousins. The operations in the account should be allowed jointly by all account holders, survivors or survivor. No cheque book facility should be provided in case of illiterate account and all the account holders should come personally to the branch for withdrawals. Account of Transgender Persons: Transgender persons can decide their self-identified gender such as male, female or third gender, which has been made available 1n all forms/applications etc. All transgender customers shall be treated equally to other male/female customers without any discrimination. 3.8 Transfer of Account: The deposit accounts may be transferred to any other branch of the Bank at the request of the depositor. The account number will continue to be same. 3.9 Account Statement: A statement of account will be provided by the Bank to Savings Bank as well as Current Deposit Account Holders periodically as per Terms and Conditions of opening of the account. Alternatively, the Bank provides facility of Pass Book also. Page 13 of 59 ,.} tki, 3ll!li iJdTi:r ~ Bank of Baroda g '.:.. li- I< , ;. ,. ~ If 1- , ~Y- Page 45 of 59 ~J lcfi 3ll!li ~ ~ Bank of Baroda g :-:::; 1j,fW#M DEPOSIT POLICY 2023-26 9. RESIDENT FOREIGN CURRENCY (RFC) ACCOUNT: A person resident in India may open, hold and maintain in India a Foreign Currency Account, to be known as a Resident Foreign Currency (RFC) Account, out of foreign exchange - a) received as pension or any other superannuation or other monetary benefits from his employer outside India; or b) realized on conversion of the assets which were acquired by him when he was a non -resident and repatriated to India; or c) received or acquired as gift or inheritance from a person resident outside India and repatriated to India; or d) received as the proceeds of life insurance policy claims/maturity/surrender values settled in foreign currency from an insurance company in India permitted to undertake life insurance business by the Insurance Regulatory and Development Authority e) any income arising or accruing thereon which is held outside India in pursuance of a general or special permission granted by the Reserve Bank; 9.1 Type of Accounts: The accounts may be maintained in the form of Current Account, Savings Account and Term Deposit Account. 9.2 Rate of Interest on Term Deposit: One year and above but below 5 years period, same rates as applicable to FCNR (B) Deposits. 9.3Other Aspects: Pre- Pa ment Same as FCNR B De osits Same as FCNR B De osits Same as FCNR B De osits Same as FCNR B De osits Page 46 of 59  ) deli 3ll!li iff/Tc:T ~ Bank of Baroda g ~= IViW#M DEPOSIT POLICY 2023-26 9.4Joint Account: RBI has permitted Resident Indians to include Non-resident close relative as defined in Sec 6 of Companies Act, 1956 as a joint holder in their RFC Account on "Former or Survivor' basis. However, such Non-Resident close relative shall not be eligible to operate the account during the lifetime of the Resident Account holder. 9.5 Remittance after Account Holder's Death by a Nominee Resident outside India: a) RBI has given general permission to AD to allow a nominee being a person resident outside India to remit funds to the extent of his share or entitlement from the account of the deceased account holder. b) A nominee being a person resident in India, who is desirous of remitting funds outside India out of his share for meeting the liabilities abroad of the deceased, may apply to the RBI for such remittances. c) No loan/overdraft shall be granted by the Bank against balances in RFC Accounts. 9.6 Resident Foreign Currency (Domestic) Account. [RFC (D) Account] : 1. A resident individual may open an RFC(D) account to retain in a bank account in India the foreign exchange acquired in the form of currency notes, bank notes and travellers cheque from overseas sources such as: a. payment while on a visit abroad for services not arising from any business or anything done in India; b. honorarium or gift or for services rendered or in settlement of any lawful obligation from any person not resident in India and who is on a visit to India; c. honorarium or gift while on a visit to any place outside India; d. gift from a relative; e. unspent foreign exchange acquired from an authorised person for travel abroad; f. representing the disinvestment proceeds received by the resident account holder on conversion of shares held by him to ADRs/ GDRs under the ADR/GDR scheme approved by Government of India. g. by way of earnings received as the proceeds of life insurance policy claims/ maturity/surrender values settled in foreign currency from an insurance Page 47 of 59 !M) f{ifi 3ll!li iJdii:r lf{fJ!J Bank ofBaroda g :'... I j,f ##lll DEPOSIT POLICY 2023-26 company in India permitted to undertake life insurance business by the Insurance Regulatory and Development Authority h. The sum total of the accruals in the account during a calendar month should be converted into Rupees on or before the last day of the succeeding calendar month after adjusting for utilization of the balances for approved purposes or forward commitments. i. Balances in the account can be used for any current or capital account transactions in accordance with the provisions of the Foreign Exchange Management (Current Account Transactions) Rules, 2000 or the Foreign Exchange Management (Permissible Capital Account Transactions) Regulations, 2000, respectively. j. Balances may be credited to NRE/ FCNR (B) Accounts, at the option/ request of the accountholders consequent upon change of their residential status from resident to non-resident. 9.7 Operation in the Account:- The sum total of the accruals in the account during a calendar month should be converted into Rupees on or before the last day of the succeeding calendar month after adjusting for utilization of the balances for approved purposes or forward commitments. i) Debits to the account shall be for payments towards a current account transaction in accordance with the provisions of the Foreign Exchange Management (Current Account Transactions) Rules, 2000 and towards a Capital Account transaction permissible under the Foreign Exchange Management (Permissible Capital Account Transactions) Regulations, 2000. ii) The account shall be maintained in the form of Current Account and this account will be Non-Interest bearing. iii) Cheque Book facility may be provided. iv) There shall be no ceiling on the balances in the Account. v) Instant credit against currency notes and Traveller's Cheques received for credit of such account should be accorded (Relative expenses should be absorbed to the branch Profit & Loss Ale). vi) Notional rates as applicable to EEFC, FCNR (B) and RFC will be the rate for converting the foreign currency amount into Indian Rupee in the branch books. vii) Minimum balance to be maintained in these accounts is USO 500/- or its equivalent. /'..,, Page 48 of 59  } trifi 3ll!li ~ ~ Bank of Baroda El ~ IHW DEPOSIT POLICY 2023-26 viii)Charges for not maintaining minimum balance etc. will be as applicable to normal current accounts. ix) Nomination facility is available. x) All the precautions / procedures including "Know Your Customer" as applicable for opening any other domestic account will be applicable for opening these accounts. 10 EXCHANGE EARNER'S FOREIGN CURRENCY (EEFC) ACCOUNT SCHEME:- EEFC Account Scheme was introduced in 1992, which enables exporters and other exchange earners to retain 100 percent of their receipts in foreign exchange with an authorised Bank in India. A person resident in India (which includes individuals, firms, companies, etc.) may open, hold and maintain with an Bank in India, a Foreign Currency Account to be known as Exchange Earner's Foreign Currency (EEFC) Account. The EEFC Account shall be opened, held and maintained in the form of non-interest bearing current account only. The sum total of the accruals in the account during a calendar month should be converted into Rupees on or before the last day of the succeeding calendar month after adjusting for utilization of the balances for approved purposes or forward commitments. Fund-Based/ Non-Fund Based credit facilities should not be granted against the balances held in EEFC Accounts. Exporters can repay packing credit advances, whether availed of in Rupee or in foreign currency, from balances in their EEFC account to the extent exports have actually taken place. Balances held in the account may be credited to NRE/ FCNR (B) Accounts. at the option/ request of the account holders consequent upon change of their residential status from Resident to Non-Resident. The credits permitted to this account are: a. 100 percent of the foreign exchange earnings by way of inward remittance through normal banking channel, (other than loans or investments); b. payments received for the purpose of counter trade; c. advance remittance received by an exporter towards export of goods or services; d. professional earnings including director's fees, consultancy fees, lecture fees, honorarium and similar other earnings received by a professional by rendering services in his individual capacity; e. interest earned on the funds held in the account; f. Re-credit of un-utilized foreign currency earlier withdrawn from the account; Page 49 of 59 V "A) tlcJi 3ll!li ildi"f:r ~ Bank of Ba;oda g.... 1iotlCAAII DEPOSIT POLICY 2023-26 g. repayment of trade related loans/ advances (which were granted to the account holder's importer customer out of balances held in the EEFC accounts); h. disinvestment proceeds received by the resident account holder on conversion of shares held by him to ADRs/ GDRs under the ADR/GDR Scheme approved by the Government of India. i. Payments received in foreign exchange by an Indian startup arising out of sales/export made by the start up or its overseas subsidiaries. Debits: The debits allowed in these accounts are: a) Payment outside India towards capital or current account transactions in accordance with the provisions of Foreign Exchange Management (Permissible Capital Account Transactions) Regulations, 2000 or Foreign Exchange Management (Current Account Transactions) Rules, 2000, respectively; b) payment in foreign exchange towards cost of goods purchased from a 100 percent Export Oriented Unit or a Unit in an Export Processing Zone/ Software Technology Park/ Electronic Hardware Technology Park; c) payment of customs duty in accordance with the provisions of Export Import Policy; d) trade related loans/ advances, by an exporter account holder to his importer customer outside India, subject to complying the provisions of FEMA and the rules/ regulations made thereunder; e) payment in foreign exchange to a person resident in India for supply of goods/ services including payments for air fare and hotel expenditure Withdrawal in rupees are permitted from this account, provided the amount so withdrawn cannot be re-credited to the account. The claims settled in rupees by ECGC/ insurance companies should not be construed as export realization in foreign exchange and the claim amount will not be an eligible credit to the EEFC account. 11. DIAMOND DOLLAR ACCOUNT (ODA) SCHEME - DOA Account: Firms and companies which comply with the eligibility criteria stipulated in the Foreign Trade Policy of the Government of India may open DOA accounts, details of which are laid down in Schedule II of FEMA 1 O(R), as amended from time to time, with an AD in India. The salient features of the Scheme are: a) Realization of export proceeds and local sales (in USO) of rough, cut, polished diamonds; and pre and post shipment finance availed in USO can be credited to such account. b) Payments for purchase of rough, cut and polished diamonds can be made from DOA account. Funds can also be transferred to rupee account of the exporter. Page SO of 59  !M) tk,, 3ll!li ll1ii:r ~ Bank of Baroda g -~.. lj,fM§M DEPOSIT POLICY 2023-26 c) The account should be maintained in the form of a Non-Interest bearing current account. d) The sum total of the accruals in the account during a calendar month should be converted into Rupees on or before the last day of the succeeding calendar month after adjusting for utilization of the balances for approved purposes or forward commitments. 12. BARODA ADVANTAGE FIXED DEPOSIT (NON-CALLABLE) UNDER RIRD/MIP/QIP SCHEME FOR NRI CUSTOMERS: Main feature of the product is as under a. As per Direction of RBI, Bank can pay differential rate of interest on term deposit above Rs.1.00 crore and without premature withdrawal option. Bank has made Non-callable Deposit for NRE / NRO FDR over and above the card rate where minimum deposit is of Rs.1.00 crore to less than Rs.2/-Crore with additional interest revised from time to time and without premature option. In exceptional condition premature withdrawal permission may be granted by Head Retail Liability Vertical. The Retail Liability Head will assess the exceptional condition and after being satisfied with the reason he may allow. Exceptional Conditions are: i. Branch made deposit erroneously. 11. Non-Callable auto renewed in Non-Callable iii. Customer wanted modification within 15 days of making of Non- callable Deposit iv. Customer's Death. v. Non- callable Deposit held in the name of Govt Bodies. In case of Premature Withdrawal, the rate applicable to Non- Callable shall not be applicable and the deposit will be treated as Callable Term Deposit. Further 2% Penal Interest on callable deposit rate will be applicable for premature payment of deposits (i.e. the date of contract) for period for which the deposit has actually remained with the Bank or the Contracted Rate whichever is lower. Penalty will not be applicable in case of error made by the branch. b. Minimum Period 01 year and maximum is 10 years. Page 51 of 59 !M) tl'm 3jfy; iH1ic:T ~ Bank of Baroda g '.'.::: ihf..... DEPOSIT POLICY 2023-26 CHAPTER -Ill 13. INTEREST RATE FRAMEWORK: a) "The rates are uniform across all branches and for all customers and there shall be no discrimination in the matter of interest paid on the deposits, between one deposit and another of similar amount, accepted on the same date, at any of its offices". "Interest rates payable on deposits shall be strictly as per the schedule of interest rates disclosed in advance. Bank is maintaining the bulk deposit interest rate card in Core Banking system to facilitate supervisory review". All transactions, involving payment of interest on deposits shall be rounded off to the nearest rupee for rupee deposits and to two decimal places for FCNR (B) deposits. b) Deposits maturing on Non-Business working day. If a term deposit is maturing for payment on a non-business working day, interest will be at the originally contracted rate on the original principal deposit amount for the non- business working day, intervening between the date of the maturity of the specified term of the deposit and the date of payment of the proceeds of the deposit on the succeeding working day. In case of reinvestment deposits and recurring deposits, Bank shall pay interest for the intervening non-business working day on maturity value. In respect of a term deposit maturing for payment on 2nd or 4th Saturday /Sunday or a holiday or a non-business working day, branches may pay interest at the originally contracted rate on the deposit amount for the 2nd or 4th Saturday/Sunday/non-business working day intervening between the date of expiry of the specified term of the deposit and the date of payment of the proceeds of the deposit on the succeeding working day. c) In case of reinvestment deposits and recurring deposits, Bank shall pay interest for the intervening Non-Business working day on the maturity value d) Payment of Additional Interest on domestic deposits at the Bank's discretion, we allow additional interest of one per cent per annum, over and above the rate of interest mentioned in the schedule of interest rates on savings or a term deposits of Bank's staff and their exclusive associations as well as on deposits of Chairman, Chairman & Managing Director, Executive Director or such other Executives appointed for a fixed tenure, subject to the following conditions: i) The additional interest is payable till the person continues to be eligible for the same and in case of his ceasing to be so eligible, till the maturity of a term deposit account. Page 52 of 59  ) tifi 3ll!{i illfii:r ~ Bank of Baroda g.... ihfM!#M DEPOSIT POLICY 2023-26 ii) Benefits of additional interest to Bank's staff member or retired staff member is available only in case of the staff member or retired staff members has an account singly or jointly with family member where the staff member/retired staff member is the "Principal Account Holder". iii) In case of employees taken over pursuant to the scheme of amalgamation, the additional interest is allowed only if the interest at the contractual rate together with the additional interest does not exceed the rate, which could have been allowed if such employees were originally employed by the Bank. iv) In the case of employees taken on deputation from another Bank, the Bank from which they are deputed may allow additional interest in respect of the savings or term deposit account opened with it during the period of deputation. v) In the case of persons taken on deputation for a fixed tenure or on a contract of a fixed tenure, the benefit will cease to accrue on the expiry of the term of deputation or contract, as the case may be. vi) Bank Employees' Federations, in which Bank employees are not direct members, shall not be eligible for additional interest. vii) The additional interest may be paid on the following deposits after obtaining a declaration from the depositor concerned, that the monies deposited or which may be deposited from time to time into such account belong to the depositor: a) Member or a retired member of the Bank's staff, either singly or jointly with any member or members of his/her family; or b) The spouse of a deceased member or a deceased retired member of the Bank's staff; and c) An Association or a fund, members of which are members of the Bank's staff. d) Resident Indian retired staffs, who are senior citizens, the benefit of additional interest rates as admissible to senior citizens over and above the additional interest payable to them by virtue of their being retired members of the Bank staff. e) Bank shall, at their discretion, formulate term deposit schemes specifically for resident Indian senior citizens, offering higher and /. 1, /-:...:!'· ; Page 53 of 59 !IA) -a'ili 3ii!fi ~ ~ Bank of Baroda 1:1.... I 1,,11¥l1M DEPOSIT POLICY 2023-26 fixed rates of interest as compared to normal deposits of any size. f) Term Deposit schemes specifically for resident Indian senior citizens, offering higher and fixed rates of interest as compared to normal deposits of any size. Provided that this facility is not offered on the Term Deposit standing in the name of an HUF or the Karta of the Hindu Undivided Family (HUF), even if the Karta is a resident Indian Senior Citizen. e) Consequence of transfer of branch of one bank to another bank Deposits accounts transferred from one bank branch to another bank branch on account of takeover of bank branches in rural and semi-urban centres shall adhere to the following conditions: " deposit accounts shall deemed to be transferred to the new bank branch and will continue to be governed by the terms of contract agreed to between the customer and the bank branch that is being taken over. " the same rate of interest shall be payable till maturity on such transferred deposits, as was payable at the time of takeover of the branch. Exclusions & Inclusions for additional interest payment to Sr. Citizens@ 0.50% Exclusions: All Non Individual/Corporate Customers/Non Resident Customers HUF Accounts under NRE/NRO/FCNR (TD2/TD3/TD8) Schemes All Capital Gains Schemes # Accounts under subsidy Schemes Accounts under KVP schemes Bulk Deposits ( Deposit amount >2 er) # TD accounts closed within 7 days SB accounts Overdue Deposits Inclusions: # Individual Customers who attains the age of 60 years or more on the date of TD account opening or Renewal. As per scheme specific where Sr. Citizen Interest benefit is applicable as per Bank's guidelines. Additional interest @0.50% would be payable or as decided by the Bank from time to time. Separate interest table code to Sr. Citizen Interest benefit would be available for each eligible schemes. Additional interest should not be paid through customer or account preferential field in FINAGLE. Page 54 of 59 /M) trifi 3#g; ~ ~ Bank of Baroda g :;... IHW DEPOSIT POLICY 2023-26 14. PROHIBITIONS AND EXEMPTIONS: Bank shall not: a. Pay any remuneration or fees or commission or brokerage or incentives on deposits in any form or manner to any Individual, Firm, Company, Association, Institution or any other person except: i. Commission paid to agents employed to collect Door-to-Door deposits under a special scheme. ii. Commission paid to Direct Selling Agents/Direct Marketing Agents as part of the outsourcing arrangements. iii. Remuneration paid to Business facilitators or Business Correspondents. b. Offer prize/lottery/free trips (in India and/or abroad), etc. or any other incentive having element of chance for mobilizing deposits. However, inexpensive gifts costing not more than Rupees 250/- which is the amount prescribed by the Indian Banks' Association (IBA) as part of the Ground Rules and Code of Ethics framed by them may, at the Bank's discretion, be given to depositors at the time of accepting deposits. c. Resort to unethical practices of raising of resources through agents/third parties to meet the credit needs of the existing/prospective borrowers or to grant loans to the intermediaries based on the consideration of deposit mobilization. d. Issue any advertisement/literature soliciting deposits from public highlighting only the compounded yield on term deposits without indicating the actual rate of simple interest offered by the Bank for the particular period. Simple rate of interest per annum for the period of deposit should be indicated invariably. e. Accept interest-free deposit other than 1n current account or pay compensation indirectly. f. Accept deposits from/at the instance of private financiers or Unincorporated Bodies under any arrangement which provides for either issue of deposit receipt/s favoring client/s of private financiers or giving of f ,, Page 55 of 59 !M) lfi/i 3ll!li ~ ~ Bank ofBaroda g.... 1j,fC#M DEPOSIT POLICY 2023-26 an authority by power of attorney, nomination or other-wise, for such clients receiving such deposits on maturity. g. Grant advances against Term Deposits maintained with other Bank. h. Open a Savings Deposit account in the name of Government departments / bodies depending upon budgetary allocations for performance of their functions / Municipal Corporations or Municipal Committees / Panchayat Samitis / State Housing Boards / Water and Sewerage / Drainage Boards / State Text Book Publishing Corporations / Societies / Metropolitan Development Authority / State / District Level Housing Co-operative Societies, etc. or any political party or any trading/business or professional concern, whether such concern is a proprietary or a partnership firm or a company or an association and entities other than individuals, Karta of HUF and organisations/agencies listed in Schedule -1. Explanation For the purposes of this clause, 'political party' means an association or body of individual citizens of India, which is, or is deemed to be registered with the Election Commission of India as a political party under the Election Symbols (Reservation and Allotment) Order, 1968 as in force for the time being. i. Create any fund to be utilized for charitable purposes in consultation with the depositors. Exemptions: The provisions in the above paragraphs shall not be applicable to: (a) A Deposit Received by the Bank: i. From the institutions permitted to participate in the Call/Notice/Term Money Market both as lenders and borrowers. ii. For which it has issued a participation certificate; iii. Under the Capital Gains Accounts Scheme, 1988, framed by the Government of India in pursuance of sub-section (2) of Section 54, sub-section (2) of Section 548, sub-section (2) of Section 54D, sub- section (4) of Section 54F and sub-section (2) of Section 54G of the Income-Tax Act, 1961; and iv. Under the Certificate of Deposit Scheme. (b) Payment of Interest on Delayed collection of outstation instruments like cheques, drafts, bills, telegraphic/mail transfers, etc.. _... ,,,_ \ Page 56 of 59  Im) dcfi 3ll!li ~ ~ Bank of Baroda g ::.. lhfMM DEPOSIT POLICY 2023-26 15. OTHER IMPORTANT INFORMATION: 15.1 Customer Information: The Bank ensures to maintain the secrecy of the customers personal information. The information is used, if necessary, only internally or for creating awareness (telephonic/written) of the new products/services to the customers. 15.2: Rights of Depositors: Bank is having an exclusive "Customers Rights Policy" in vogue duly approved by its board. The policy clearly spells out the rights of depositors. The policy is available on Bank's website. 15.3 Secrecy of Customer Account: The Bank shall not disclose details/ particulars of the customer's account to a third person or party without the expressed or implied consent from the customer. However, there are some exceptions, viz. disclosure of information under compulsion of law, where there is a duty to public to disclose and where interest of the Bank requires disclosure. The Bank may also disclose the customer information, as per the prevailing practice, amongst Banks to exchange credit information and credit opinion on the standing (general position) of the customers/ borrowers. The Bank follows the guidelines framed by IBA in this regard. 15.4 Suo-Moto Closure of Saving and Current Account: The Bank shall close accounts, which are in contravention of the contract constituting the basis of Banker-Customer relationship, do not adhere to the prescribed rules and are considered undesirable and un-remunerative. These accounts shall be closed only after sending proper written notice to the customer with a notice period of 30 days, at the address of the customer as per Bank records. Examples of undesirable and un-remunerative features are: a) Drawing cheques without funds. b) Rash / fraudulent transactions routed through Bank account which may expose the Bank to unnecessary risks. c) Zero Balance Accounts d) Dormant/ Inoperative accounts as per extant RBI Directives. Page 57 of 59  ) tili 3ll!li i@:T -~ Bank ofBaroda g ~--· 1j,FM§M DEPOSIT POLICY 2023-26 e) Accounts where transactions, such as huge cash transactions, are being made, disproportionate to the given profile of the customer. f) Accounts in which, in the opinion of the Bank, transactions having Money Laundering angle are being conducted. g) Accounts, in which, the Bank is not able to apply appropriate KYC measures due to non - furnishing of information by customer and / or non-cooperation in this regard. h) Non-compliance of Minimum Balance requirements for current and savings account as applicable to the relevant scheme/ product. i) Issuing of "Stop Payment" instructions frequently. j) Number of transactions far in excess of stipulated limit without maintaining sufficient balance. k) Default in/Arrears of statutory dues and other payments. I) Frequent receipt of Attachment Orders/Notices from various Authorities. m) Frequent involvement in section 138 (N.I. Act) proceedings. n) Evidence of usage of funds and or receipts of funds for terrorists and disruptive activities against the State or society. o) Any directive from any Government or Regulatory Authorities for closure of account. p) An account has been opened by oversight or otherwise in contravention of the IBA code for Banking Practice containing, inter-alia, prohibition against opening of accounts in the name of certain bodies / organizations, the same should be closed after reasonable notice. q) Post issuance of notice by Bank, informing Bank's decision to close the A/c along with reason if there is no response within the stipulated time (30 days of notice), the branch may close the account and remit the balance by means of Banker's Cheque / Draft in his/her favor after deducting all usual service charges. For further clarification and guidance please refer to KYC AML Policy. Page 58 of 59  ) -trili 3ll!li ifdic:r ~ Bank of Baroda I.I =. IHM DEPOSIT POLICY 2023-26 15.5 Redressal of Complaints and Grievances: Depositors having any complaint / grievances with regard to services rendered by the Bank has a right to approach authority (ies) designated by the Bank for handling customer complaint / grievances. The names of the nodal officers for redress of complaints / grievances will be displayed in the branch premises and internal set up for redress of complaints is displayed on the Bank's website. The branch officials shall provide all required information regarding procedure for lodging the complaint. In case the depositor does not get response from the Bank within 60 days from the date of complaint or he is not satisfied with the response received from the Bank, he has a right to approach Banking Ombudsman appointed by the Reserve Bank of India. 15.6 Compliance: a. The schedule of Interest Rates payable on deposits be disclosed in advance for the information of the customers. b. The interest paid on deposits below Rs.2.00 crores to all the customers should be as per schedule and should not be subject to negotiation between the depositor and the Bank. c. In case the customer is having Cash Credit or Overdraft facilities in banking system, "No Current Account" should be opened of the concerned customer except if the same is permissible under RBl's Consolidated Circular on Opening of Current Accounts and CC/OD Accounts by Bank issued vide Circular No. RBl/2022-23/27 DOR.CRE.REC.23/21.08.008/2022-23 dated 19.04.2022. d. In case of introduction of New Product, it is to be intensively monitored in the first 6 months after introduction. e. The Statutory/Regulatory guidelines issued by Regulator/Statutory Body/Bank Board be followed scrupulously. 15.7 Periodicity of Review of the Policy (Sunset Clause): The policy will be valid up to 30/09/2026. The directives/guidelines issued by RBI in this regard shall automatically become part & parcel of this Policy. The policy will remain in force till the renewal of the new policy.The Managing Director & CEO may allow continuation of the policy for maximum period of Six Months from due date of review in case the policy cannot be reviewed on or before due date. Page 59 of 59