Public Sector
Private Sector
Bank of Baroda vs Tamilnad Mercantile Bank Recurring Deposit Comparison2025
Compare interest rates, features, and returns between Bank of Baroda (Public Sector) and Tamilnad Mercantile Bank (Private Sector). Compare the security of public sector banking with the convenience of private sector services.
Five Thousand rupees
Interest Rate Comparison
General rates across different tenures
Current selection: 3 years (1095 days) -BOB: % |TMB: %
Direct comparison of general rates
Feature Comparison
| Features |  BOB Public Sector |  TMB Private Sector |
|---|---|---|
Minimum RD Amount | ₹100 | ₹100 |
Current Interest Rate (Selected Tenure) | % | % |
Premature Withdrawal Penalty | 1% | 1% |
Official Rate Source | View Official Rates | View Official Rates |
Key Advantages:
Key Advantages:
₹5 Lakh Insurance Limit
The Deposit Insurance and Credit Guarantee Corporation (DICGC) provides insurance coverage of up to ₹5 lakhs per depositor per bank. This includes both principal and accrued interest for RDs.
⚠️ Recommendation:
Keep your total deposits (RDs + FDs + Savings) under ₹5 lakhs per bank. If you need larger investments, distribute them across multiple banks.
Smart Distribution Strategy
Multiple RDs: Open RDs in both BOB and TMB
Family Accounts: Use different family members' accounts for additional coverage
Best of Both: Combine BOB (security) with TMB (convenience)
💡 Pro Tip:
RDs are perfect for goal-based investing. You can open separate RDs for different financial goals across different banks to maximize returns and safety.
Key Insights & Recommendations
- • Minimum amount: ₹100
- • Public Sector banking preference
- • Government-owned bank with strong security
- • Wide branch network across India
- • Competitive interest rates
- • Minimum amount: ₹100
- • Private Sector banking preference
- • Private Sector Bank established in 1921
- • Consistently offers higher FD rates for several years
- • Special TMB400 deposit scheme at 7.00% for senior citizens
- • Open multiple RDs for different goals
- • Keep ≤₹5L per bank for insurance
- • Use BOB for stability
- • Use TMB for convenience
- • Review rates periodically
Ready to Invest in Recurring Deposits?
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