The Nitya Nidhi Deposit is Canara Bank's name for its pigmy-style daily-deposit account. It is the direct continuation of the Pigmy Deposit Scheme that Syndicate Bank launched in Udupi on 8 October 1928; when Syndicate Bank merged into Canara Bank on 1 April 2020, the scheme was folded into Canara Bank's own products and renamed.
Canara Bank's own published terms, as read on its site, set a minimum contribution of ₹50 a month, a daily collection cap of ₹1,000 per account, ₹30,000 a month, a single 63-month tenure, and interest of 2.00% a year paid at maturity, with a loan facility available up to 75% of the outstanding balance. Closing the account early costs more than the low headline rate suggests: Canara's deposit policy reduces the interest by slab and adds a penalty inside 12 months.
The name is easy to confuse with a similarly named product at a different institution. Karnataka Gramin Bank, a regional rural bank, publishes its own "New Nithya Nidhi Deposit", a different spelling, a different bank, and different terms: nil interest under 12 months, rising in steps to 4.00% at a 60-month maturity. The two are not the same product and do not share a regulator relationship beyond both being banks, so a depositor should not assume Canara's terms apply to the Karnataka Gramin Bank product, or the reverse, just because the names sound alike.