In old age, most people seek a regular and reliable investment tool to earn a stable income. Stock market instruments fail here due to their high volatility and risk factor. Fixed deposits are a great option for people past the age of 60 years to earn decent and fixed returns on their savings without exposing themselves to market risks. Most banks and non-bank financial companies (NBFCs) offer additional interest rates for senior citizens, and one of India’s largest public sector banks – State Bank of India – is no different. Senior citizens are people aged 60 years and above. SBI’s Senior Citizen Fixed Deposit Scheme allows eligible customers to deposit a minimum of Rs. 1000 for a duration of five years.
SBI FD Interest Rates 2023 for Senior Citizens
Mentioned below are SBI senior citizen FD rates and other details for this scheme.
|Account type||Single or jointly|
Minimum: 5 years
Maximum: 8 years
|Premature closure of account||Available with penalty|
|Multiple withdrawals||Not available|
Current SBI Senior Citizen Fixed Deposit Interest Rates 2023
Here are the revised State Bank of India senior citizen fixed deposit interest rates for public and senior citizens.
|Period||Per Annum Interest Rates (w.e.f. 13th April 2023)||Per Annum Interest Rates for Senior Citizens (w.e.f. 13th April 2023)|
|7 days to 45 days||3.00||3.50|
|46 days to 179 days||4.50||5.00|
|180 days to 210 days||5.25||5.75|
|211 days to less than 1 year||5.75||6.25|
|1 year to less than 2 years||6.80||7.30|
|2 years to less than 3 years||7.00||7.50|
|3 years to less than 5 years||6.50||7.00|
|5 years and up to 10 years||6.60||7.50|
|400 days (Special Scheme i.e. “ Amrit Kalash”)||7.10||7.60|
The specific tenor scheme of 400 days (Amrit Kalash) at Rate of Interest of 7.10% w.e.f. 12- April- 2023. Senior Citizens are eligible for rate of interest of 7.60%. The Scheme will be valid till 30-June-2023.
Please note that the senior citizen SBI FD interest rate for 5 years to 10 years duration includes an additional interest rate of 50 bps under “SBI Wecare’’ scheme.
Source : SBI
SBI Senior Citizen FD Scheme Interest Rates 2023
SBI senior citizen FDs interest rates are 50 bps higher than the interest rates for regular citizens. Moreover, State Bank of India has an exclusive offering for senior citizens called “SBI Wecare” in the Retail TD segment with additional interest rate of 30 bps. This additional interest rate is over and above the existing 50 bps. It is important to note that this additional 30 bps SBI fixed deposit interest rates is available for FDs of a tenure of five years and above. Further, this SBI Senior Citizen fixed deposit interest rate scheme is available for a limited period only.
Features and Benefits of SBI Senior Citizen Fixed Deposits 2023
The minimum duration of an SBI senior citizen FD is seven days while the maximum duration is 10 years.
Senior citizens enjoy an additional 0.80 percent interest rate over regular citizens.
The minimum deposit amount to start an SBI senior citizen fixed deposit is just Rs. 1000 or Rs. one thousand.
Moreover, there is no upper limit to the amount one can deposit in an SBI FD.
Senior citizens can use an SBI FD as a source of fixed income with monthly, quarterly, half-yearly or yearly interest payouts.
For added convenience, SBI allows its customers to transfer an FD from one branch to another.
Loan Against SBI Fixed Deposit
One can conveniently take a loan against SBI FD in case of urgent need for funds. The following margins are applicable on loans against SBI FD.
|Residual tenor of Deposit as on Date of availing loan (For Public)||Margin|
|>36 months & up to 60 months||10 percent|
|>60 months||15 percent|
SBI Senior Citizens Savings Scheme 2023
Apart from SBI fixed deposits, Senior Citizens Savings Scheme is another great option for those looking to earn interest on their savings. Here are the features of this scheme:
- A senior citizen can open an SBI fixed deposit account with a minimum amount of Rs. 1000, and any sum in the multiples of 1000, thereafter. The maximum deposit amount under the scheme is Rs. 1500000 or Rs. 15 lacs.
- After the maturity period of five years, the depositor can extend the account for another three years.
- While the current rate of interest available under this scheme is 7.40 percent, it may change as per the direction by the Government of India.
- In case the depositor fails to claim the quarterly interest, no interest shall be payable on the same.
- In case of a joint account, the whole deposit amount shall be attributed to the first account holder only.
- Multiple withdrawals are not permitted under this scheme.
Frequently Asked Questions about SBI Senior Citizen Fixed Deposit Interest Rates
Q. What is the new SBI FD scheme for Senior Citizens ?
A. SBI Recently launched 400 days "Amrit Kalash" Scheme. Senior Citizens are eligible for rate of interest of 7.60%. The Scheme will be valid till 30-June-2023.
Q. What is the maximum SBI senior citizen fixed deposit interest rate ?
A. Senior citizens can earn up to 7.25 percent interest rate on their SBI fixed deposits. This is 0.50 percent higher than the interest rate applicable on term deposits by regular citizens.
Q. When did the latest SBI senior citizen FD interest rates come into effect ?
A. The latest and currently applicable SBI senior citizen fixed deposit interest rates came into effect on 13th December 2022. The bank has the right to revise these interest rates at its discretion, as per the guidelines set by the Reserve Bank of India.
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Mahindra Finance FD Interest Rates