Terms and Conditions

Terms and Conditions

Payment of interest

  • Interest on My Passion Fund will be calculated from the date the instalment is paid.
  • The method of calculation of interest on My Passion Fund will be on Actual / Actual Quarterly Compounding. Bank computes interest based on the actual number of days in a year. In case, deposit is spread over a leap or a non-leap year, interest is calculated based on the number of days i.e. 366 days in a leap year & 365 days in a non- leap year.
  • The interest for My Passion Fund will be corresponding rate as applicable for a Fixed Deposit. Interest on the deposits is compounded at quarterly intervals, at the applicable rates.
  • Interest payment on My Passion Fund is only on maturity.

Lock in period

  • The My Passion account has a minimum lock in of one month.
  • In case of premature closure within a month, no interest shall be paid out & only principal amount shall be returned.


  • The deposit shall be due for repayment & shall mature on completion of the contracted tenure even if there are installments remaining to be paid. The maturity amount mentioned on the My Passion Fund confirmation advice is subject to payment of all installments on time.
  • In case of any delay in payment of scheduled installments, the maturity amount shall change due to delay in payment Maturity amount mentioned on the confirmation advice shall also change in case of TDS recovery.

Payment of Installment

  • The Installment amount once fixed will not be allowed to be altered at a later date. However, in addition to instalments, Customer can also do top up every month to a maximum cumulative amount of twice the instalment amount.
  • In case of more than one installment is being overdue at the time of payment, the paid installment if sufficient to cover only one. installment will be appropriate towards first/earliest installment overdue.
  • Partial payment of installment will not be permitted.
  • HDFC bank shall not be responsible for informing the depositor to maintain adequate balance in his/her HDFC bank account in My Passion Fund deposit to pay his/her installments in the event of failure of the standing instruction due to shortfall of funds in the transacting amount.

Overdue Installments

  • If frequent defaults (non-payments) are observed in the monthly installments and six installments fall in arrears, the bank reserves the right to close the My Passion Fund account. The interest rate applicable on such closed accounts will be as per the premature withdrawal policy of the bank.

Premature withdrawal

  • In the case of premature encashment, all signatories to the deposit must sign the encashment instruction. Partial withdrawal/ sweep in / OD not allowed on My Passion Fund accounts.
  • All premature encashment will be governed by rules of Reserve Bank of India prevalent at the time of encashment.
  • Repayment of deposit of Rs 20,000/- or more will be made by manager’s cheque or by credit to the customer account as per applicable income tax rules.
  • With effect from July 22nd, 2023, the interest rate applicable for premature withdrawal will be the rate on the date of deposit booked, to the period for which deposit remained with the bank and not at the contracted rate. 
  • In case of death of the primary holder of the My Passion Fund account prior to the maturity date, premature termination of the deposit would be allowed as per the terms of contract subject to necessary verifications and submission of proof of death of the depositor. Such premature withdrawals will not attract any penal charge.

Insurance Cover for Deposits

  • The deposits in the Bank are insured with DICGC for an amount of Rs 5 lakhs (principal + interest) per depositor.

Tax Deduction at Source (TDS)

  • Interest paid on resident Deposit would be liable to TDS (Tax Deducted at Source) @10%, wef 14th May’2020 till 31st March’2021 @ 7.5%under section 194A similar to that of interest paid on FD. (Not Applicable for NRE Deposit).
  • TDS on My Passion fund is applicable as per Finance Act 2015. TDS on My Passion Fund will be recovered from the linked CASA.
  • TDS rates will be as applicable from time to time as per the Income Tax Act, 1961 and Income Tax rules. The current rates applicable for TDS would be displayed by the Bank on Its website. Currently, TDS is deducted when interest payable or reinvested on FD, RD and My Passion Fund per customer, across all Branch, exceeds Rs 40,000/- (Rs. 50,000/- for senior citizen) in a Financial Year. Further, TDS is deducted at the end of the financial year on Interest accruals if applicable.
  • If interest amount is not sufficient to recover the TDS amount the same may get recovered from the principal amount of fixed deposit.
  • Pan is mandatory to invest in My Passion Fund 

    As Per Section 139A(5A) of the Income Tax Act, every person receiving any sum of income or amount from which tax has been deducted under the provisions of the Income Tax Act shall provide his PAN number to the person responsible for deducting such tax. In case your PAN is not updated with the Bank or is incorrect; please visit your nearest HDFC Bank branch to submit your PAN details.
  • In case the PAN number is not provided to the Bank as required, the bank shall not be liable for the non availment of the credit of Tax deducted at Source and non-issuance of TDS certificate.
  • No deductions of Tax shall be made from the taxable interest in the case of an individual resident in India, if such individual furnishes to the Bank, a declaration in writing in the prescribed Format (Form 15G / Form 15H as applicable) to the effect that the tax on his estimated total income for the year in which such interest income is to be included in computing his total income will be Nil. This is subject to PAN availability on Bank records.
  • Every person who has been allotted a Permanent Account Number (PAN) and is eligible to obtain Aadhaar number, must update their Aadhaar number to the Income tax department (PAN- Aadhaar Linkage) as per Section 139 AA of the Income Tax Act 1961 by 31st March 2022. Further non linking of PAN with Aadhaar shall make PAN “inoperative” and may attract higher TDS rate.

The maximum interest not charged to tax during the financial year where form 15 G/H is submitted is as below:

  • Upto 3, 00,000/- for residents of India below the age of 60 years or a person (not being a company or firm).
  • Upto 7,00,000/- for senior citizen residents of India above the age of 60 years any time during the FY
  • Form 15 G / 15H should be submitted by customer in Duplicate copy to the bank, one copy for use by Branch and the second copy to be returned to the customer with Branch seal as an acknowledgment copy.
  • A fresh Form 15G / 15H needs to be submitted in each new Financial Year by the start of the Financial Year. In case form 15G/ H is submitted post interest payout/credit, waiver shall be effective from the day next to the interest payout /credit immediately preceding the date of submission of form 15G/H. Form 15G / H needs to be submitted for every My Passion Fund / Recurring Deposit / Fixed Deposit. booked with bank for Tax exemption.
  • The bank shall not be liable for any consequences arising due to delay or non-submission of Form 15G/ Form 15H To enable us to serve you better kindly submit the Form No. 15G/15H latest by April 1st of the new financial year.

Note: The above guidelines are subject to change as per Income Tax regulations / directives of Finance Ministry Govt of India prevalent from time to time. Payment of Top Ups:

In addition to instalments, Customer can also do top up every month to a maximum cumulative amount of twice the instalment amount

The maximum number of top ups customer can do in a month is unlimited, however maximum top up allowed is twice the instalment amount The top up payment will knock off only one overdue instalment and will be appropriated towards the first/earliest instalment overdue 

Top up will not be used to offset current month instalment scheduled for the future

Important Points:

Please Ignore this advice If you have redeemed or renewed this deposit on or after the maturity date as mentioned herein

The instalment amount is an indicative amount to meet your passion. the maturity value basis the above monthly instalment may slightly differ from your My Passion Fund amount

In case if My Passion Fund is not booked as per the applicable T & C of the bank, Bank reserves the right to rebook the same with correct details Customer holding My Passion Fund with holding pattern as Either or Survivor can only replicate nominee details as captured in the linked CASA account. In case your My Passion Fund is booked without nomination details, the customer needs to visit the nearest branch for adding/changing nomination.

We hereby authorize you to act upon my/our instruction regarding nomination, cancellation or variation of the nomination of the Fixed/Recurring/My Passion Fund/FCNR Deposit (given through various modes). I/we shall not hold the bank responsible should any claim be raised against the Bank for acting on the instruction of nomination and the Bank does not suffer any loss. I/we will keep it indemnified from time to time.

Minimum installment is Rs. 1000. (in multiples of 100 thereafter) Maximum installment 1.99 Cr and minimum tenure is 6 months (and in multiples of 3 months thereafter) upto a maximum of 10 years.

Maturity proceeds of My Passion Fund can be credited to account only. My passion fund can be availed only by Resident individuals

Only Senior Citizens / Retired Personnel (60 years and above) who are Resident Indians are eligible for senior citizen rates. The senior citizen rates are applicable only for Resident deposits.

The benefit of additional interest rate on deposits on account of being bank’s own staff or senior citizens shall not be applicable to NRI Deposits. Please visit our website / nearest branch / contact Relationship Manager for further clarification.