sbi fixed deposit interest rate

What is Interest Rate in SBI for Fixed Deposit?

Fixed deposit is an affordable and convenient investment option to receive better returns in the future. SBI’s fixed deposit scheme offers a variety of features and benefits compared to the other banks. You can deposit any amount of your choice and choose the maturity period according to your personal or business requirements. The best part about investing in a fixed deposit scheme is that you get assured returns each year, even if the bank’s current situation is uncertain. With SBI fixed deposit, you can plan your future investments and receive a lump-sum amount at the time of need. At the same time, the interest rate offered by SBI is higher, which allows the fixed deposit account holders to enjoy better returns for a more extended period. 

What is the Fixed deposit interest rate in SBI? 

The interest rate on Fixed deposits offered by SBI is quite higher than most banks. If you invest for 7 days to 1 year, the interest rate would be 2.90% to 4.40% and 3.40% to 4.90% for senior citizens. For investment between the period of 1 year and 3 years, for the public SBI fixed deposit interest rates would be 5% to 5.10% for the public and 5.50% to 5.80% for senior citizens. The interest rate for 5 years to 10 years is around 5.40% for the public. In contrast, senior citizens receive about 6% for the same period. NRIs are offered SBI fixed deposit rates from 2.90% to 5.40% for deposits below

Also Read: Apply For Business Loans: Factors To Think

Features of SBI Fixed Deposit 

SBI fixed deposit scheme has excellent features that you should know about. So, let’s take a look at a few listed below. 

  • SBI offers a fixed interest rate from 2.90% to 5.40% to the public and senior citizens. NRIs are provided not more than 3% to 3.20%. 
  • The higher term deposit rate of SBI is around 5%. 
  • The maturity tenure for the SBI fixed deposit scheme is within 7 days to 10 years. 
  • The minimum fixed deposit required by the bank is Rs.1000 for the term deposit. However, there is no maximum limit on the fixed deposit amount. 
  • If you choose the SBI Multi Option Deposit scheme, then the minimum investment required is Rs. 10000 and no upper limit. 
  • SBI provides an additional interest rate offer to senior citizens, which is 0.50%. 
  • Interest payment options are quarterly, monthly, and yearly basis for various types of schemes. 
  • SBI allows its customers to withdraw the fixed deposit amount before maturity. 
  • With SBI fixed deposit, you get a nomination facility from the bank. 
  • Since SBI offers fixed deposit account holders overdraft facilities, the overdraft limit is between Rs. 25000 and Rs. 5 crores. 
  • A tax deduction applies to the interest income according to the Income Tax Act, 1961. 
  • In case you apply for a loan against a fixed deposit, the interest rate would be 1% more than the SBI fixed deposit interest rate. 
  • You even get the option for automatic renewal of the fixed deposit scheme. 
  • Any fixed deposit account holder can convert interest payout to cumulative payout anytime. 

SBI Fixed Deposit Eligibility Criteria 

The fixed deposit application process does not include the complicated eligibility process; therefore you need not worry about it. SBI eligibility criteria for fixed deposit is mentioned below for you:

  • You must be an Indian resident to qualify for the fixed deposit scheme. 
  • You should be a member of an undivided Hindu family, firms, local bodies, companies, or any government department. 
  • Any minor can be eligible for a fixed deposit provided they have written consent from parents or guardians. 
  • Any individual having a single account can apply for a fixed deposit. 
  • Two individuals with a joint account are eligible for the same. 

Documents required for SBI Fixed Deposit

Not many documents are required when applying for a fixed deposit in SBI. Let’s take a look at a few necessary documents you must-have during the application. 

  • As proof of identity, provide documents such as pan card, Aadhar card, voter ID, or driving license to SBI. 
  • You can provide your pan card, passport, voter ID or Aadhar card as proof of address. 
  • You will even have to provide additional documents like a PAN card or Aadhar card to prove your date of birth. 

Make sure you compare all the offers and schemes before making an investment decision. If you seek guaranteed fixed deposit returns, you should go with a public bank like the State Bank of India. SBI is a highly reliable and trustworthy bank in today’s market situation. You should check their official website to know more about SBI fixed deposits and application procedures. 

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