A Recurring Deposit is a type of savings account offered by banks that allows individuals to deposit a fixed amount of money regularly, usually monthly. This scheme encourages disciplined saving, as it requires a commitment to contribute a set sum over a specified period, typically ranging from six months to ten years. The interest earned on a Recurring Deposit is generally higher than that of a regular savings account, making it an attractive option for those looking to grow their savings. At the end of the deposit term, the total amount, including interest, is paid out to the account holder.