Section 12 in The National Housing Bank (Tax Saving) Term Deposit Scheme, 2008
12. Rate of interest.
(1)The rate of interest on the term deposit shall be in accordance with the rate fixed by the National housing Bank from time to time.(2)The interest will he paid either in lump sum at the time of maturity or it may be paid yearly/half yearly depending upon the option exercised by the depositor.(a)Fixed Deposit. - The fixed deposit can be issued with half yearly/yearly interest payment option with interest compounded quarterly.(b)Cumulative Deposit. - Interest is compounded at quarterly rests and payable with principal on maturity.
