As per the Housing Finance Companies (NHB) Directions 2010, no premature withdrawal is allowed for a period of first 3 months from the date of deposit subject to regulatory conditions. In case of premature withdrawal after the expiry of 3 months, the following rates shall apply.

• After 3 months but before 6 months – No interest is payable on the deposit. Only the principal is payable

• After 6 months but before the date of maturity - The interest rate payable is 2% lower than the interest rate applicable for the period for which the deposit has run for. In case of no interest specified for the period run, interest payable will be 3% lower than the minimum rate at which the public deposits are accepted by the company.

• For premature withdrawals of deposits, the duly discharged FDR with a revenue stamp of requisite value must be surrendered to the company. Premature withdrawals of single or jointly held fixed deposits shall be processed only after such a request is signed by all the depositors along with FDR duly discharged and a cancelled cheque leaf should be submitted.

• Premature closure requests should be received 30 days prior to the maturity date in physical form to the designated office as there is no provision online for premature withdrawals.

• In the event of the death of a depositor, the deposit may be repaid prematurely to the surviving depositors in the case of joint holding with survivor clause, or to the legal heirs with interest at the rate that would have ordinarily been paid, had such deposit been accepted for the period for which deposit had run upto the date of repayment