SBI FD Interest Rates

SBI, short for State Bank of Indore, offers its customers multiple fixed deposit account options to park their surplus savings and enjoy attractive interest on it over a certain period. The depositor just needs to deposit the amount at the time of opening the account and choose a tenure that seems feasible to them. During the ongoing tenure, the customer is not allowed to deposit any more money or withdraw either. SBI FD Interest rates are quite competitive and are higher than the rates on their savings deposits.

(Last Updated 11th Jan 2021)

Tenure FD Interest Rates for General Citizens FD Interest Rates for Senior Citizens
7 days – 45 days 2.90% 3.40%
46 days – 179 days 3.90% 4.40%
180 days – 210 days 4.40% 4.90%
211 days – 364 days 4.40% 4.90%
1 year – 1 year 364 days 4.90% 5.40%
2 years – 2 years 364 days 5.10% 5.60%
3 years – 4 years 364 days 5.30% 5.80%
5 years – 10 years 5.40% 6.20%

SBI FD Interest Rates – Special Features

  • The SBI FD tenures range from 7 days to 10 years
  • The minimum deposit amount needed to open an FD in SBI is Rs. 1000, however, there is no limit on the maximum deposit
  • Senior citizens can avail of a 0.25% extra interest rate for an amount exceeding Rs. 10,000
  • SBI provides a nomination facility so that the depositor can nominate his/her family members or spouse to collect the maturity amount.
  • You can select the interest payment, viz. Monthly/ Quarterly/Calendar quarter basis as per your requirement
  • Auto-renewal facility is available on the deposit
  • Loan against FD facility is also available
  • TDS is deducted at the prevalent rate at source if Form 15G/15H is not submitted.

Different Types of SBI FD Schemes

The following schemes are available to investors under SBI fixed deposit plans.

  • SBI Term Deposit Scheme – Investors can freely pick a maturity term ranging from 7 days to 10 years. The minimum investment is Rs. 1,000. Loan against FD and early withdrawal options are available.
  • Tax Saving SBI Fixed Deposit Plan – Here, the investment tenure is fixed for 5 years. The maximum investment quantum is Rs. 1.5 Lakh. However, loan against FD and premature withdrawal facility is unavailable.
  • SBI Fixed Deposit Reinvestment Plan – The maturity period for this plan is between 6 months and 10 years. Investors can start with a deposit of just Rs. 1,000. The interest earned through this scheme is reinvested into the same plan for higher interest generation. Foreclosure and FD loans are available.
  • SBI Multi Option Deposit – This is a combination of savings account and FD. Investors can withdraw the sum partially, while the remaining amount continues to earn interest. The tenure ranges between 1 and 5 years with a minimum investment requirement of Rs. 10,000.
  • SBI Annuity Deposit – A lump sum amount is invested, but payment is made through Equated Monthly Instalments. Tenure options include 36, 60, 84 and 120 months. The minimum investment allowed under this scheme is Rs. 25,000. Early withdrawal is only possible after the death of the investor.

Benefits of Choosing SBI FD

The following features of fixed deposit offered by State Bank of India make it a profitable approach for many.

  • Investors can earn interest as a lump-sum amount after FD maturity.
  • Individuals can nominate their spouse or children as beneficiaries of FDs.
  • Competitive rate of interest on FDs.
  • An auto-renewal facility is available on applicable FD schemes.
  • Senior citizens are liable to receive additional interest on their fixed deposit investments.

Eligibility Criteria for SBI FD

To invest in an SBI FD, individuals or groups must satisfy the following characteristics –

  • Resident individuals
  • NRIs with NRE/NRO account
  • Minors with parent or guardian as co-signatories
  • Partnership firms
  • Hindu undivided family members
  • Societies, clubs and agencies
  • Sole proprietorship business
  • Educational and charitable institutes

Documents Required for SBI FD

The following documents are required for investing in an SBI fixed deposit scheme –

  • Photo identification document (Aadhaar card, Passport, Voter ID, Driving license, etc.)
  • Resident proof document (Aadhaar card, Passport, Utility bills, Driving license, etc.)
  • Age proof for senior citizen and minor investors (Birth certificate, matriculation certificate, senior citizen ID, etc.)
  • Bank account details with a cheque
  • Passport size photographs

Premature Withdrawal Terms and Conditions

Early removal of funds can result in interest rate deductions, depending on the total value of an investment. If an investor deposits less than Rs. 5 Lakhs, he/she will receive the funds after a 0.5% deduction on the stated rate of interest. For deposits valued higher than Rs. 5 Lakh, this interest deduction is 1%.

Special Forms to Fill

Non-senior citizens are eligible to receive TDS exemptions on interest earnings below Rs. 40,000 for one financial year. Filing Form 15G is mandatory to avail of these tax benefits for applicable investors.

SBI Term wise Fixed Deposit Interest Rates

One of the safest ways of investing your money and earn a profit is parking your surplus amount in FDs. Depending on the tenures, these FDs are further categorized as short-term, medium-term, and long-term deposits.

Short-term Deposits: For an SBI FD with tenure ranging from 7 days to 365 days, the interest rate offered is from 4.50% p.a. to 5.80% p.a. These deposits are known as short term deposits as they have a tenure less than 1 year. For senior citizens, short term SBI FD rates range from 5.00% p.a. to 6.30% p.a.

Medium-term Deposits: Medium-term fixed deposits have their tenures ranging from more than 1 year to less than 5 years. The interest offered by the bank on these deposits ranges from 5.80% p.a.-6.25% p.a.

Long-term Deposits: These deposits’ tenure ranges from 5 years to 10 years and offers an interest rate of 6.10%. Senior citizens can avail of 6.60% p.a.a for such FDs.

Types of SBI Fixed Deposit Scheme

SBI Tax Saving Scheme:

  • As the name suggests, this scheme is specially designed for resident individuals and HUFs to save on the tax and can make substantial returns on their fixed deposit.
  • The depositor can enjoy tax benefits on their deposit under Section 80C of the Income Tax Act, 1961
  • A nomination facility is available
  • Loans up to 90% can be taken against the FD
  • Senior citizens can avail of 0.50% extra interest over regular rates
  • Resident Indians and Karta for a HUF can open this account if they have a valid PAN number

Reinvestment Plan

  • Under this scheme, the SBI FD interest is paid only upon maturity
  • Nomination and loan facility is available
  • Auto-renewal facility is available on the deposit
  • Senior Citizens get 0.50% extra rates over regular rates
  • Resident Indians aged 18 years and above are allowed

SBI Multi Option Deposit Scheme

  • This account is linked to the savings or current account from which one can withdraw multiples of Rs. 1000 account
  • Interest is paid only upon maturity
  • Nomination and loan facility of up to 90% on the deposit is available
  • You can withdraw funds from this account as per you need
  • The withdrawals should be in multiples of Rs. 1000
  • Resident and Non-Resident Indians, HUFs and organizations are eligible

Money Multiplier Plan

  • This plan enables the depositor to link a fixed deposit account to their savings account, hence giving a higher rate of interest.
  • Loan and nomination facility available
  • Interest is paid only at the time of maturity
  • Senior citizens can avail of 0.50% extra interest rates over regular rates
  • Resident Indians, organizations, HUFS, trust and partnership firms are eligible

Regular Fixed Deposit

  • Under this scheme, the depositor can make an investment into the deposit to earn higher returns
  • Interest is paid only upon maturity
  • A nomination facility is available
  • The extra interest of 0.50% is available for senior citizens
  • Auto-renewal facility is available

Flexi Deposit Scheme

  • This scheme is more like recurring deposits in which the depositor can make deposits anytime during a month instead of a single fixed deposit
  • One can make deposits anytime during a month and multiple deposits facilities also available
  • Loan and nomination facility available
  • Extra 0.50% interest rate available to senior citizens

How to Calculate SBI Fixed Deposit Rates?

The interest you earn on your deposited amount depends on a lot of actors such as the invested amount, tenure, rate of interest, compounding frequency and taxation. One of the best ways to calculate the interest earned on your FD is using the SBI FD calculator available over the internet. It is the most hassle-free way of calculating interest. You just need to your SBI FD account details such as the investment amount, interest rate and tenure.

News Snippets

Chennai, March 24, 2021: Indian Overseas Bank has launched ‘IOB Trendy’, a Savings Account that has been thoughtfully customised keeping in mind the banking preferences of the growing millennial population in the country.

Millennials today heavily rely on their savings accounts to manage their finances. They want to carry out their banking activities with minimal hassles, and they routinely rely on technology to help them do it. This is exactly what Trendy has to offer…convenient banking with value-adds for the monies they save for themselves at IOB.

Indian Overseas Bank understands that banking needs are prompted by life needs…small and big. IOB Trendy is a Savings Bank Account Scheme introduced by the bank towards this endeavour of understanding the banking needs of millennials and customising the scheme to those needs.

For more information visit Dialabank official site.

State Bank of Indore Fixed Deposit Interest Rates – FAQs

✅What is the Tenure Range for SBI FD Account?

The tenure for SBI FD ranges from 7 days to 10 years.

✅Is there any minimum amount required to open an FD account?

The minimum amount needed to open an FD in SBI is Rs. 1000.

✅How to open an FD account in SBI?

If you are an existing customer of SBI and have active internet banking, you can just log in to your account and open one FD account. New customers can either visit the nearest SBI branch or apply on SBI’s website and get an FD account opened.

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