Earn interest up to 8.10% p.a. by investing in a Bajaj Finance Fixed Deposit | Rated CRISIL AAA/ STABLE and [ICRA]AAA(stable)

** Disclaimer: State Bank of India has not partnered with Bajaj Markets. The information is intended for educational purposes only. You are advised to contact the Banks/NBFCs for additional details.

 

State Bank of India, one of the premier public sector banks in the country, offers several low-risk fixed deposit plans with assured returns. Also, the SBI fixed deposit interest rates tend to be very attractive, making them one of the best investment options in India right now. 

 

Depending on factors such as the tenor of the fixed deposit plan and your age, the SBI FD rates may vary. For instance, the SBI FD interest rates start from 3.00% per annum and go all the way up to 6.75% per annum. And if you’re an individual above the age of 60, you get an additional SBI senior citizen interest rate of 0.50% per annum over and above the base rate applicable for the tenor of your choice. 

 

 As a prospective investor, it is crucial for you to get to know the prevailing SBI FD interest rates. This will allow you to make a more informed investment decision. So, here’s a table clearly outlining the different SBI FD rates for various tenors including SBI senior citizen FD rates. 

Tenor

SBI FD Interest Rates for Non-Senior Citizens

SBI FD Interest Rates for Senior Citizen 

7 days to 45 days

3.00% per annum

3.50% per annum

46 days to 179 days

4.50% per annum

5.00% per annum

180 days to 210 days

5.25% per annum

5.75% per annum

211 days to less than 1 year

5.75% per annum

6.25% per annum

1 year to less than 2 years

6.75% per annum

7.25% per annum

2 years to less than 3 years

6.75% per annum

7.25% per annum

3 years to less than 5 years

6.25% per annum

6.75% per annum

5 years and up to 10 years

6.25% per annum

7.25% per annum

Note: The above SBI interest rates are with effect from December 13, 2022 and are applicable for retail domestic fixed deposits of less than ₹2 Crores. They are subject to change from time to time depending on the bank’s policies.

Yearly Investment
Tenure
Yr
Interest Rate
%
Your Total Maturity Amount is
₹6,78,035
Maturity ₹6,78,035
Investment ₹3,75,000
Interest ₹3,03,035

Features and Benefits of SBI Fixed Deposit

In addition to the attractive SBI FD rates, you also get to enjoy a host of other benefits and features by opening a fixed deposit with the bank. Let’s take a quick look at some of the more important ones. 

  • Flexible Tenors

With an SBI fixed deposit, you get to enjoy flexible tenors ranging from as low as 7 days to as high as 10 years. Depending on the tenor of your choice, the SBI FD rate of interest applicable to you will vary. 

  • Low Minimum Deposit 

You can open an SBI online FD by making a small investment of just ₹1,000. 

  • Easy and Hassle-Free FD Account Opening Process 

You can quickly open an SBI bank FD account with SBI through the Internet Banking portal or by visiting any of the nearest bank branches. 

  • Interest Payout

At the time of FD account opening, you can choose to receive the interest on your fixed deposit either on a monthly, quarterly, semi-annual or annual basis. 

  • Quick and Easy Estimation of Returns

You can get to know just how much of a return you’re likely to earn even before you make the investment using the SBI FD calculator. 

  • Loan Against FD 

In the case of an urgent fund requirement, you can avail a loan against your FD. Using this feature, you can get up to 90% of the FD maturity amount as a loan.

SBI FD Interest Rates for Senior Citizens and Others for up to 5 Years

The fixed deposit interest rate SBI offers varies based on the investment tenor you choose. Furthermore, as shown in the table earlier, senior citizens enjoy higher FD rates. If you are planning to invest in a fixed deposit plan offered by the State Bank of India, you will perhaps want to know more about how the SBI interest rates, the interest amount and the maturity value change with the tenor. The table below shows you these details for an investment of ₹1 Lakh.

Tenor

Non-Senior Citizen

Senior Citizen

Interest Rate

Interest Earned

Maturity Amount

Interest Rate

Interest Earned

Maturity Amount

1 year

6.75%

Rs.6,923

Rs.1,06,923

7.25%

Rs.7,450

Rs.1,07,450

2 years

6.75%

Rs.14,325

Rs.1,14,325

7.25%

Rs.15,454

Rs.1,15,454

3 years

6.25%

Rs.20,448

Rs.1,20,448

6.75%

Rs.22,239

Rs.1,22,239

4 years

6.25%

Rs.28,155

Rs.1,28,155

6.75%

Rs.30,702

Rs.1,30,702

5 years

6.25%

Rs.36,354

Rs.1,36,354

7.25%

Rs.43,226

Rs.1,43,226

Eligibility Criteria and Documents Required To Open an FD in SBI 

To be able to open an FD account with SBI, you should first satisfy the eligibility criteria set by the bank. Also, as part of the application process, you will be required to submit a list of documents as well. Here’s an overview of the eligibility criteria and documents required for a State Bank of India fixed deposit. 

Eligibility Criteria

The following list of individuals and entities are eligible to open an SBI fixed deposit account. 

 

  • Resident Indian individuals

  • Non-Resident Indian individuals

  • Hindu Undivided Families (HUFs)

  • Sole proprietorship firms

  • Limited companies

  • Partnership firms

  • Trust accounts

Documents required

  • PAN card or a declaration in Form Number 60/61, according to the Income Tax Act

  • Photo ID proof - Aadhaar card, passport, driving licence, voter’s ID, etc.

  • Address proof - Ration card, utility bills, passport, driving licence, Aadhaar, etc.

  • Age proof - Birth certificate, Matriculation certificate, etc.

  • Passport-size photographs

  • Bank account details, in case you have an existing account with SBI

How to Open an FD in SBI 

There are two different ways through which you can open a State Bank of India FD - via the internet banking portal or via a bank branch. The process that you would have to follow for both of these ways have been outlined below. 

1. Via Internet Banking 

All that you need to do to create an SBI online FD via internet banking is to follow the steps outlined below. 

 

  • Step 1: Visit the internet banking portal of SBI. 

  • Step 2: Log into your account by entering your user credentials. 

  • Step 3: Click on the ‘Deposit Schemes’ tab and then on ‘Term Deposits’. 

  • Step 4: Click on ‘e-fixed deposit’. 

  • Step 5: Select the type of FD you wish to create and the tenor. 

  • Step 6: Select the account from which you wish to debit the funds for the FD from. 

  • Step 7: Enter the amount of investment. If you’re eligible for the special SBI FD rates for senior citizens, make sure to click the relevant check box under this field before proceeding. 

  • Step 8: If you wish to receive interest payouts periodically, select the frequency. 

  • Step 9: Select auto-renewal if you wish to automatically renew your fixed deposit. 

  • Step 10: Submit the application. 

2. Via a Bank Branch 

On the other hand, if you’re someone who doesn't have internet banking or prefers to apply for the SBI FD offline, here’s what you would have to do. 

 

  • Step 1: Visit an SBI bank branch near you. 

  • Step 2: Request for an FD account opening form. 

  • Step 3: Carefully fill the form and affix your signature in the relevant areas. 

  • Step 4: Submit the form along with all the relevant supporting documents to the bank official. 

  • Step 5: Make the payment. 

Now, whether you’re planning on opening an SBI FD online or offline, remember to check out the prevailing SBI interest rates first since they’re subject to change from time to time. Also, it might be a good idea to use an SBI FD calculator to estimate the amount of returns that you’re likely to get from your investment before proceeding. 

How to Use the SBI Fixed Deposit Calculator?

Using the SBI FD calculator to get an estimate of the amount of returns that you’re likely to get on your investment is easy. All that you need to do is follow the steps given below. 

  • Step 1: Enter the Investment Amount 

The first field that you would need to fill in the SBI FD calculator is the investment amount. It is the amount that you wish to deposit. 

  • Step 2: Enter the FD Tenor 

Next, specify the tenor of the FD in the SBI FD calculator. The tenor is the period of time for which you would like to invest. State Bank of India’s fixed deposit tenor starts from a minimum of 7 days and goes all the way up to 10 years. 

  • Step 3: Enter the Applicable SBI FD rate of interest 

The SBI FD rate of interest varies depending on factors like the tenor and the amount of investment among other things. So, make sure to enter the interest rate that’s applicable to you in the relevant field of the SBI FD calculator. 

  • Step 4: Select the Investor Category

The SBI FD calculator has a field where you get to choose whether you’re a senior citizen or not. If you’re a senior citizen, SBI fixed deposit interest rates will vary since you will be eligible for an additional rate of 0.50% per annum over and above the base rate. 

  • Step 5: Submit the Details 

Once you’ve entered all the details in the SBI FD calculator, simply click on the ‘Calculate’ button. The maturity amount that you will earn on your FD amount will be displayed instantly. 

How is the SBI FD Maturity Amount Calculated?

You can calculate the maturity amount of a fixed deposit through the use of a simple mathematical formula. Here’s a quick look at the formula that’s used to determine the FD maturity amount. 

Maturity amount = P (1 + r/n)nt

Here, P is the amount of investment, r is the SBI FD rate of interest, n is the number of times the interest is compounded during a year and t is the tenor of the investment (in years).

 

Now, let’s take a look at an example to better understand how the maturity amount is calculated using this formula. Assume that you invest ₹5 Lakhs in a fixed deposit with SBI for a period of 5 years. Since you’re a non-senior citizen, the prevailing SBI FD rate of interest would be 6.25% per annum and the interest is compounded on a quarterly basis. 

 

By entering these details in the formula specified above, you would get the maturity amount for your fixed deposit. 

 

Maturity Amount: 

 

= ₹5,00,000 x (1 + 0.0625/4)4x5

= ₹5,00,000 x (1 + 0.015625)20

= ₹5,00,000 x (1.01525)20

= ₹5,00,000 x (1.35350530791)

= ₹6,76,753

 

So, if you invest ₹5 Lakhs in a fixed deposit with SBI for a period of 5 years, you would get ₹6,76,753 back on maturity. 

 

Now, although you can determine the maturity amount manually by using this formula, it is highly recommended that you use an SBI fixed deposit interest rate calculator. This way, you can not only ensure that the results are accurate, but also save a lot of time and effort.

 

With this, you must now have gotten a good grasp of what the prevailing SBI FD interest rates are and the benefits of investing in an SBI FD. That said, if you’re planning on starting a fixed deposit account with the bank, make sure to first use an SBI FD interest rate calculator. Doing so can help you plan your investments in a much better manner by estimating the returns on your investment.

Latest Bank FD News

State Bank Of India Raises Interest Rates On Fixed Deposits By 65 Bps

SBI has raised the interest rates on some fixed deposits (FDs) by up to 65 bps with effect from 13 December 2022. This increased rate of interest would apply to FDs of up to Rs.2 crores. The revised interest rate is applicable to new as well as renewal of old deposits. The bank also offers senior citizens an additional 50 basis points interest rate across all tenors. After the latest revision, senior citizens will get 3.5% to 7.25% on fixed deposits that mature in 7 days to 10 years. The bank last hiked its interest rates on fixed deposits across all tenors by up to 80 bps on 22 October 2022.

 

- Dec 13 , 2022

FAQs about SBI FD

  • ✔️Does SBI FD provide a premature withdrawal facility?

    Yes, SBI FD provides a premature withdrawal facility. However, it charges a penalty of 0.50-1% on premature FD withdrawal. You can either visit the nearby branch or log into your online net banking portal to initiate a premature withdrawal.

  • ✔️Can the tenor of an SBI FD be extended?

    No. You cannot extend the tenor of a State Bank of India fixed deposit. However, you can opt for automatic renewal which will renew the deposit upon maturity for the same tenor. You can renew your deposit by visiting the nearest SBI bank branch or by logging into your netbanking portal.

  • ✔️Can I get a loan against my SBI FD?

    Yes, you can pledge your SBI bank FD to get a loan of up to 90% of the maturity amount.

  • ✔️ How can I calculate the total interest and maturity amount of my SBI FD?

    You can use the SBI FD calculator to determine the total interest and maturity amount of your fixed deposit with the bank.

  • ✔️What are the common types of forms for an SBI FD Account?

    The SBI fixed deposit opening form is the standard form that you need to submit while opening a SBI FD account. It can either be filled online or submitted physically to your home branch. Moreover, there are forms 15G and 15H, which are required to be submitted once to avoid any TDS deduction from your interest amount.

  • ✔️Is there an SBI FD that provides a tax exemption?

    An SBI tax-saving FD with a minimum tenor of 5 years can provide you a tax benefit of ₹1.5 Lakhs under Section 80C of the Income Tax Act. That said, the minimum deposit amount in this case would have to be at least ₹1,000.

  • ✔️Is TDS deducted on SBI FD?

    Yes, by default, TDS will be deducted on your SBI fixed deposit if the interest exceeds ₹40,000 (or ₹50,000 if you are a senior citizen). However, by submitting forms 15G or 15H, you can avoid this deduction.

  • ✔️How to claim a TDS refund on a SBI FD online?

    TDS refunds, in case an additional or incorrect amount has been deducted, can be claimed while filing the IT returns with the government. The refund process can be understood in detail by visiting the Income Tax website.

  • ✔️Is there any nomination facility under SBI FD account?

    Yes, you can add a nominee to your State Bank of India fixed deposit account. It can be done through your netbanking account, the SBI YONO app or by visiting the branch and submitting a physical form.

  • ✔️Is there a loan facility under SBI FD Account?

    Yes, you can avail a loan for up to 90% of the amount held in your SBI fixed deposit account.

  • ✔️Is there any credit card facility under SBI FD?

    Yes, indeed. If you already have an SBI FD, it is very simple to get a credit card against it. All that you need to do is provide an identity proof and submit a credit card application form at the nearest bank branch.

  • ✔️What is the shortest term to open a SBI fixed deposit account?

    The shortest tenor that you can opt for when opening a fixed deposit account with SBI is 7 days. However, keep in mind that the FD interest rates SBI offers on such short tenors tend to be very low.

  • ✔️What is the highest interest rate offered by SBI on a fixed deposit tenor?

    The maximum fixed deposit interest rate SBI offers a resident non-senior individual can get is 6.25% per annum for a tenor between 2 years to less than 3 years. In the case of senior citizens, the highest FD interest rate SBI offers is 6.90% per annum for a tenor ranging from 5 years to 10 years.

    Note: The SBI FD interest rates mentioned above are with effect from October 22, 2022 and may be changed from time to time depending on the bank’s policies.

     

  • ✔️Does SBI offer the option for fixed deposit auto-renewal?

    Yes. State Bank of India offers the auto renewal feature on all its fixed deposit plans. You can opt for this facility at the time of creating an FD itself.