Option I (TSTDS –I):
Here, simple interest is applied on quarterly basis as in the case of a FDR and is paid to the customer in cash or credited to his /her account every quarter.
Option II (TSTDS –II):
Here, discounted simple interest is paid to the customer in cash or credited to his /her account at the end of every month.
Option III (TSTDS –III):
Here, compound interest is paid along with the principal at the time of maturity.