SBI FD Interest Rates

Among the many FD providers in the industry, SBI is one of the most dependable. SBI FDs provide investors with a variety of advantages, including higher yields, a longer-term, a lower minimum deposit requirement, and the ability to borrow against their FD. When it comes to FD interest rates, SBI offers the highest rate of 5.40 percent. On the other hand, the current SBI FD interest rate for senior citizens varies from 3.40 percent to 6.20 percent.

SBI provides its customers with a range of fixed deposit account options in which they can park their excess savings and gain competitive interest over a specified period of time. The depositor simply needs to deposit the required sum at the time of account opening and choose a term that suits their needs. During the current term, the customer is not permitted to deposit or withdraw any additional funds. SBI’s FD rates are very competitive, and they are higher than their savings deposit rates.

SBI FD Features

SBI FDs are one of the best investment options for depositors searching for a fixed income instrument with better returns than a savings account. The following are some of the main features of an SBI Fixed Deposit:

• Deposit Amount: SBI FDs can be opened with as little as $1,000 and as much as No Limit.
• The tenure of FDs varies from 7 days to 10 years.
• Interest Rates: 2.90 percent per annum to 5.40 percent per annum
• SBI FD Prices for Senior Citizens: 3.40 percent to 6.20 percent per annum
• SBI’s highest interest rate on FDs is 5.40 percent for a 10-year term, as of today’s rate.
• SBI deposits are safe because they are protected by the RBI’s Deposit Insurance Scheme, which ensures
• Loan against FD: SBI offers a loan against FD to its depositors to help them fulfill their liquidity needs without having to split their FD.
• Auto-renewal service is available.
• A nomination service is available.
• SBI Tax Savings Scheme, Reinvestment Plan, SBI Multi Choice Deposit Scheme, Daily Fixed Deposit, Money Multiplier Plan, Flexi Deposit Scheme, SBI Wecare Deposit Scheme are some of the most common SBI FD schemes. up to 5 lakh of a depositor’s total deposits.

SBI FD Interest Rates

Tenure	FD Interest Rates	Senior Citizen FD Interest Rates
7 days to 45 days	2.90%	3.40%
46 days to 179 days	3.90%	4.40%
180 days to 210 days	4.40%	4.90%
211 days to 364 days	4.40%	4.90%
1 year to 1 year 364 days	4.90%	5.50%

SBI FD Schemes

SBI Tax Savings Scheme:

• The scheme was created to assist residents and HUFs in saving money on taxes and obtaining effective yields and returns on their fixed deposits.
• Section 80C of the Income Tax Act of 1961 provides for tax benefits on deposits.
• There is a nomination option open.
• On the deposit, there is a credit facility of up to 90%.
• Only at the maturity of the deposit is interest charged.
• Senior citizens are entitled to an additional 0.50 percent interest rate.

Who is eligible?

• Residents of India may apply for a Karta for a HUF if they have a valid PAN number.

Reinvestment Plan: 

• This is a form of fixed deposit where the interest is only paid out at the end of the term.
• Only at the maturity of the deposit is interest charged.
• There is a nomination option open.
• On the deposit, there is a credit facility of up to 90%.
• Auto-renewal service is available on the deposit.
• Senior citizens are entitled to an additional 0.50 percent interest rate.

Who is eligible?

• Indians who reside in India and are over the age of 18.

SBI Multi Option Deposit Scheme:

• You can withdraw multiples of Rs. 1,000 from your MOD account as required if it is connected to a savings or current account.
• Only at the maturity of the deposit is interest charged.
• There is a nomination option open.
• On the deposit, there is a credit facility of up to 90%.
• Deposits made under this system are entirely refundable.
• Withdrawals in multiples of Rs. 1,000 are permitted.

Who is eligible? 

• Indians who may or may not reside in India, Hindu undivided families as well as various corporations and associations.

Regular Fixed Deposit:

• The depositor is permitted to invest in the deposit to gain attractive and higher returns, as well as flexibility and stability, under this scheme.
• Only at the maturity of the deposit is interest charged.
• There is a nomination option open.
• Senior citizens are entitled to an additional 0.50 percent interest rate.
• Auto-renewal service is available on the deposit.
• Get a better return on your money by depositing it.

Who is eligible?

• Indians who live in the country, private or public limited companies, Hindu undivided families, trust and partnership firms

Money Multiplier Plan: 

• Money multiplier plans allow depositors to connect their fixed deposit account to their savings account, resulting in a higher interest rate.
• On the deposit, there is a credit facility of up to 90%.
• There is a nomination option open.
• Only at the maturity of the deposit is interest charged.
• Senior citizens are entitled to an additional 0.50 percent interest rate.
• Section 80C of the Income Tax Act of 1961 provides for tax benefits on deposits.

Who is eligible?

• Indians who live in the country, private or public limited companies, Hindu undivided families, trust and partnership firms

Flexi Deposit Scheme

• This scheme is similar to recurring deposits, where instead of making a single fixed deposit, a depositor may make several deposits at any time during the month.
• Deposits can be made at any time during the month and in any amount.
• There is a nomination option open.
• The interest on your deposit is compounded on a quarterly basis.
• On the deposit, there is a credit facility of up to 90%.
• Senior citizens are entitled to an additional 0.50 percent interest rate.

Who is eligible?

• Indians who live in the country, private or public limited companies, Hindu undivided families, trust and partnership firms

SBI Wecare Deposit:

• This program was created to provide financial assistance to senior citizens during the Covid-19 pandemic when interest rates were dropping. Senior citizens will receive an additional 30 basis points on SBI FD interest rates, on top of the 50 basis points provided to them on fixed deposits, under the program.
• In the current situation, SBI Wecare senior citizen deposit was introduced to offer higher fixed deposit interest rates to senior citizens.
• The service has been extended until March 31, 2021.
• This deposit scheme is for term deposits of more than 5 years.
• Benefits are valid on fresh deposits as well as renewals of maturing deposits.

Who is eligible? 

• Residents of India who are 60 years or older.

Documents required to open SBI FD Account 

• PAN Card or declaration in Form No. 60 or 61 as per the Income Tax Act

Premature Withdrawal SBI FD Rates

Premature termination of an SBI Term Deposit is accompanied by a lower interest rate of 0.50 percent to 1% below the negotiated rate. The penalties for prematurely closing an SBI FD are subject to adjustment and can vary depending on the deposit scheme.

Loan against Fixed Deposit SBI

SBI provides loans of up to 90% against its own deposit. SBI will not lend you money if you have an FD with another bank. SBI provides a loan against a fixed deposit (FD) at a rate ranging from 3.9 percent to 6.4 percent.

The maximum loan tenure is limited to the FD’s maximum term.

Example – Mr. Rahul has opened an SBI FD account for an amount of Rs. 1,00,000 for a period of two years. Later, the creditor agreed to take out a loan against his FD. The bank has approved a 90 percent credit cap against his FD, with a ten percent interest rate. Today, if the borrower takes out a loan for Rs. 90,000 on the first of the month and repays it on the first of the next month, he must pay interest on the Rs. 90,000 lent for one month only. After one month, he must repay a total of Rs. 90,744. As a result, the interest rate on the loan taken is 744.

How to Calculate SBI FD Rates?

The amount of interest you gain on your deposit is calculated by a variety of factors, including the amount invested, tenure, rate of interest, compounding frequency, and taxes. The SBI FD calculator, which is available on the internet, is one of the easiest ways to measure the interest received on your FD. It is the simplest method for measuring interest. All you need are the specifics of your SBI FD account, such as the investment number, interest rate, and tenure.

SBI FD Account Opening Process 

You can open a Fixed Deposit account with SBI by going to their official website and logging in. Pick Fixed Deposit from the menu, then the Form of FD you want to open and click Next. After that, fill in the deposit sum and, if you are over 60, select the ‘Senior Citizen’ choice. You must select the deposit term and the frequency of interest payments. After reading the terms and conditions, click Submit to open the SBI FD.

Nomination Facility on SBI FD

SBI has a nominating facility for Fixed Deposits, allowing the depositor’s estate to claim the funds in the event of the depositor’s death. A nominee may be appointed by a person, a single account holder, or a joint account holder. No more than one person may be named as a candidate. When you open an SBI fixed deposit, you can fill out nominee details. At the time of argument, the nominee must have identity evidence.

Tax Benefits on SBI FD

The State Bank of India provides the ‘SBI Tax Savings Scheme, 2006,’ which requires a minimum deposit of Rs.1,000 and subsequent deposits in multiples of Rs.100. You can deposit a limit of Rs.1.5 lakh in the account. While the account has a 5-year lock-in term, it can be kept open for up to ten years. You can receive income tax benefits under Section 80C of the Income Tax Act of 1961 if you deposit money in this account. Senior citizens receive an extra 0.5 percent interest rate on the applicable rate. Similarly, SBI employees and retirees are charged an extra 1% interest rate on the applicable rate.

Furthermore, the bank can subtract tax at source depending on the interest you receive on your SBI FD accounts at all of the bank’s branches. TDS will be applied at a rate of 10%. Due to the pandemic, it has been reduced to 7.5 percent between May 2020 and March 2021. If your annual income is below the basic exemption cap, you can request that your bank not deduct tax at source using Form 15G/15H.

SBI News 

2021-01-12: Revised FD rates for SBI

With effect from January 8, 2021, the State Bank of India revised its FD prices. The FD rate is 2.90 percent for 7 days to 45 days, 3.90 percent for 46 days to 179 days, and 4.40 percent for 180 days to 364 days. Furthermore, the FD average is 4.90 percent for 1 year to 1 year 364 days, 5.10 percent for 2 years to 2 years 364 days, and 5.30 percent for 3 years to 4 years 364 days. The average for long-term employment of 5 to 10 years is 5.40 percent.

2020-12-10: SBI goes easy on a plan to spin off Yono

The State Bank of India is delaying its plans to sell its interest in the digital platform Yono. YONO stands for “You Only Need One” and is an SBI digital initiative. Customers may use YONO to digitally apply for retail loans such as home, personal, gold, two-wheeler, and car loans, as well as business and mudra loans. It also aids in the purchase of FDs and RDs. The exclusive digital tool also helps users to apply for current and savings accounts.

2020-11-11: SBI to focus on financial inclusion

By March 2022, SBI plans to increase the share of its newly developed business vertical, financial inclusion and micro-markets, from the current 12% to 20%. The bank recently established a separate FI&MM vertical within the bank with the aim of improving customer service in the hinterland by increasing financial inclusion in rural and semi-urban areas.

2020-11-05: SBI net profit rises to ₹4,574 crores in Q2

SBI’s September quarter net profit increased 52 percent year on year to Rs 4,574.16 crore, thanks to lower provisions. The bank’s credit growth improved by 6.02 percent over the previous year, owing to home, personal, automobile, two-wheeler, and gold loans, as well as mudra and business loans. At the end of the second quarter, total advances stood at Rs 23.83 trillion. Furthermore, total deposits, which include fixed and recurring deposits, increased by 14.4% year on year to Rs 34.70 trillion, with current account deposits increasing by 8.55 percent YoY and saving bank deposits increasing by 16.28% YoY.

2020-09-17: SBI changed its Fixed deposit rates

The fixed deposit rate at the State Bank of India has improved. For 7 to 45 days, the FD rate is 2.90 percent; for 46 to 179 days, it is 3.90 percent; and for 180 days to one year, it is 4.40 percent. Furthermore, the fixed deposit rate is 5.10 percent for one year to less than three years, and 5.30 percent for three years to less than five years. The average is 5.40 percent from five to ten years. The new rates will take effect on September 10, 2020.

FAQs on SBI FD Interest Rates 

✅What is the highest FD rate for SBI?

On an SBI fixed deposit, you will receive up to 5.40 percent in interest.

✅Are there any special rates for senior citizens FD of SBI?

Yes, as opposed to FD rates, senior citizens receive a higher return on their deposits. Standard FDs have rates ranging from 2.90 percent to 5.40 percent. In comparison, the FD rate for senior citizens ranges from 3.40 percent to 6.20 percent.

✅Is there any minimum amount that I have to give for opening a Fixed Deposit with SBI?

SBI requires a minimum deposit of 1,000 to open a fixed deposit account.

✅What documents are required to open an FD account in SBI?

PAN Card or declaration in Form No. 60 or 61 as per the Income Tax Act are necessary documents to open an FD account with SBI.

✅Is it possible to change the tenure of my existing fixed deposit account with SBI?

No, once a fixed deposit account is opened, it is not possible to adjust the tenure chosen. You can, however, close your current fixed deposit account and open a new one with the duration you want.