FD rule change: Now, premature withdrawal allowed on fixed deposits up to Rs 1 crore; applies to NRE & NRO deposits too

The Reserve Bank of India has updated FD rules, now allowing premature withdrawal of fixed deposits up to ₹1 crore, including NRE and NRO deposits. This change gives depositors greater flexibility and immediate access to funds in emergencies, though penalties or reduced interest may apply depending on the bank and tenure. The new rules aim to enhance financial control and convenience for both resident and non-resident depositors