SWEEP IN ACCOUNT
Link your Fixed Deposit to your NRI Savings or Current Account and it’ll take care of deficits, if any, in your NRI Savings or Current Account without losing out on the interest.
Features & Benefits
Why choose this product:
- Make an automatic withdrawal from Fixed Deposit to meet the shortfall in your account
- Break your Fixed Deposit into the exact amount required to cover your
deficit in your NRI Savings and Current Accounts
- Continue earning interest
on the balance amount
after the money
- Withdraw only the exact amount you need from your Fixed Deposit
- Choose between an NRI Savings and Current account for linking
- Only an exact amount required to make up for the deficit in the Savings account is withdrawn from your Fixed Deposit (units of Re. 1/-) thereby minimising interest loss.
- Multiple deposits can be linked to the Savings account.
- Flexibility in altering the period of deposit, maturity and payment instructions, principal amount and rollover mode.
- Sweep-in with Savings Account
In case of Saving Accounts, the average balance applicable to the Savings Account chosen by you, needs to be maintained irrespective of the value of the fixed deposit. Service charges applicable would be as per the Savings Account selected by you.
- Sweep-In with Current Account
In case of Current Accounts, the average balance applicable to the Current Account chosen by you, needs to be maintained irrespective of the value of the fixed deposit. Service charges applicable would be as per the Current Account selected by you.
If the Fixed Deposit is held for less than 7 days, your interest for the amount transferred is forfeited.
Note: As per the Terms & Conditions of Fixed Deposit Accounts of the bank, the penalty on premature closure of Fixed Deposits including sweep-in and partial closures has been fixed by the Bank at the rate of 1%. This will be applicable for deposits booked on or after 24th January 2011.
- Sweep-in with Savings Account
- All NRI account holders are eligible to open the Sweep-In Account.
- The facility is available against the NRO/NRE Term Deposits and is not available against FCNR Term Deposits.
What is the Sweep-In facility?
The Sweep-In facility is a cluster deposit (held in units of Re.1) with a cheque book and ATM/ Debit card as applicable.
We will automatically break units of term deposits held by you, if there are insufficient funds in your Sweep-In Savings/Current Account to clear a cheque. The same will happen when you wish to withdraw money using your ATM/Debit Card and there are insufficient funds in the account.
What are the benefits of the Sweep-In facility?
The Sweep-In facility gives you the high interest rates of a Fixed Deposit and the liquidity of a NRI Savings Account.
You only need to have a NRI Savings Account with the Bank. The Sweep-In facility will link the deposits you choose to the Savings Account. Whenever there are insufficient funds in the Savings Account to clear a cheque, we will break units of the deposit (to the next Rupee) to clear the cheque. On this portion of the deposit being broken, you will earn a rate of interest for the tenor that the deposit has remained with the Bank and that was applicable at the time when the original deposit was placed. The rest of your deposits will continue to earn the original high rate of interest.
Who can avail of the Sweep-In facility?
The Sweep-In facility can be offered to NRI Individual customers.
How will the Sweep-In work?
Here's an example to illustrate how the Sweep-In Account works: A has Sweep-In facility on his NRI Savings Account and the linked Fixed Deposit is for Rs. 50,000/-.
On a particular day, the balance in his NRI Savings Account is Rs. 1000/-. He has issued a cheque for Rs. 4000/- on this account and it has come to the bank for clearing.
Our system will mark a lien on the Fixed Deposit to the extent of Rs. 3000/- (4000/- less 1000/-) and clear the cheque. However, these units will only be prematurely encashed at the end of the day, if the customer has not deposited any funds in his NRI Savings Account, during the course of the day.
Can I have a Sweep-In facility with multiple deposits?
Yes, you can link more than one deposit to the Sweep-In NRI Savings Account. In this case, the system will first Sweep-In amount from the deposit which was booked last or recently. Effective 23rd Feb 2014, Sweep in of funds from your Fixed Deposit (FD) to Saving/ Current account will trigger on Last in First out basis (LIFO).
Can I have both a Super Saver facility and a Sweep-In facility on the same Fixed Deposit?
No. You can only have one of the two facilities on a single Fixed Deposit.
Can a customer have both a Super Saver facility and a Sweep-In facility on the same NRI Savings Account?
Yes, you can have both these facilities on the same NRI Savings Account. When there are insufficient funds in your NRI Savings Account, your overdraft limit will be exhausted before units of the Sweep-In Fixed Deposits are encashed prematurely.
Can I link accounts held in different account titles to the same NRI Savings Account for the Sweep-In facility?
No. You can only link the Sweep-In facility to the accounts with the same account title. For example, a Fixed Deposit held by A-B can be linked to a NRI Savings Account branches. However, Fixed Deposits held by A or A-C or A-B-C or B or B-A cannot be linked to a NRI Savings Account held by A-B.
Can a Fixed Deposit be linked to two different NRI Savings Accounts for the Sweep-In?
No. A single Fixed Deposit can only be linked to one NRI Savings Account for the Sweep-In facility.