State Bank of India FD Rates

SBI FD Rate – Overview

Looking for a sound investment? A fixed deposit is an attractive investment tool for low-risk appetite investors. Here, your deposited amount gathers interest and can range from 2.9% to 5.54%. The SBI fixed deposit plan is promising as it offers low minimum deposits at high-interest rates.

Let’s look at the SBI FD and find the perfect scheme for you!

About State Bank FD

SBI, the State Bank of India provides a range of investment options. One of the main products is Fixed Deposits, also known as Term Deposits. You can open an SBI FD account with the bank for a duration ranging from seven days to ten years.

For public tenures, interest rates range from 2.90% to 5.40% yearly. Senior folks are given an additional 0.80% interest rate on all tenures. The features of the SBI fixed deposit is:

• An individual can be nominated
• Bulk deposit can be made of INR 2 crores or more
• Beyond the initial deposition of INR 1,000, deposits are to be made in the multiples of INR 100
• Form 15G/15H can be submitted to avail TDS under Income Tax Act
• All branches of SBI offer fixed deposit service which can be transferred among its branches

Classification of SBI Fix Deposit

The fixed deposit in SBI Bank are of the following types:

• Nominal Fixed Deposit

The tenure is fixed and can range from 7 days to 10 years. The interest rate is slightly higher than a savings account.

• Tax Saving Fixed Deposit

This type provides tax exemptions up to INR 1.5 lakhs in a calendar year. The lock-in period is five years, and only a one-time deposit can be made in a lump sum.

• Senior Citizen Fixed Deposit

People aged 60 years or above can apply for this fixed deposit. The tenure is flexible, and senior citizens get special interest rates.

• Cumulative Fixed Deposit

Under this type, the interest is compounded yearly or quarterly and is paid at maturity. This grows your savings exponentially.

• Non-Cumulative Fixed Deposit

This type allows a person to have a choice towards interest. It can be paid monthly, yearly, quarterly or half-yearly. This is the most appropriate type for people looking for a regular source of income.

• Flexi Fixed Deposit

This type of fixed deposit account is linked to your savings account, and the money commutes between the two.

SBI Fixed Deposits Schemes

The table below pertains to the SBI fixed deposit schemes:

Scheme	Meaning	Interest	Tenure	Deposit Amount
SBI Annuity Deposit Scheme	One-time lumpsum amount is deposited. A predetermined amount is received per month	Quarterly compounded	36 – 120 months	Minimum INR 1,000
SBI Multi-Option Deposit Scheme (MODS)	FD account is inked with savings/current account	Constant throughout	1 – 5 years	Minimum INR 10,000
SBI Tax Saver Deposit	Saves tax under Section 80C	Paid at the maturity	At least five years	INR 1,000 – INR 1.5 lakhs
Motor Accident Claims Annuity Deposit Account (MACAD)	A monthly SBI FD plan foe compensation deposition	As per tenure	46 – 216 months	Minimum INR 1,000
SBI Special Term Deposit	A cumulative deposit scheme	Interest is compounded and paid at maturity only	six months – 10 years	Minimum INR 1,000
Floating Rate Bulk Term Deposit (FRBTD)	A bulk deposit scheme with evolving interest rate	Interest will change	91 days – 3 years.	Minimum INR 2 crores

Benefits of SBI Fixed Deposit Schemes

The SBI fixed deposit plan serves the following benefits:

• Interest Rate

The SBI FD interest rate has a competitive advantage. SBI FD offers its investors an interest rate of 5.40%, and the senior citizens get a 6.20% on the deposit. This interest rate claims to be better than the others in the race.

• Deposit

You can begin your journey with SBI FFD by making a minimum deposit of INR 1,000. This allows an Indian citizen to make an easy investment. The minimum deposit is INR 25,000 for the SBI annuity scheme.

• Loan Facility

The fixed deposit in SBI Bank provides you with a loan facility. You can avail yourself of 90% of the outstanding value of FD as and when a need to gain capital arises. These loans have an interest rate of 5.5% to 7.1%.

• Auto-Renewal

Your SBI fixed deposit will get automatically renewed in case you wish for it. You will just have to opt for this option, which will reward you with a renewal for the same period. This facility extends to a few other SBI fixed deposit schemes.

How to Choose the Right SBI Fixed Deposit

To invest in the right SBI fixed deposit scheme, a person will need to evaluate their goals and investment purpose. The next step would be to gather information on the various schemes offered by the SBI FD. The scheme that aligns with a person’s goal and purpose and offers a reasonable interest rate must be chosen.

Eligibility Criteria for State Bank FD,

The eligibility criteria for SBI FD are:

• Investors must be a resident of India,
• Must have a valid PAN Card
• Members from HUF, firms, local bodies etc.

Documentation Required – SBI Fixed Deposits

If you wish to invest in SBI fixed deposit plan, you need the following documents:

• Aadhaar Card
• Driving License
• Passport
• Voter’s ID
• Permanent Account Number (PAN)
• NREGA Card.

How is the Interest Rate Calculated on SBI Fixed Deposit?

At competitive interest rates, several FD accounts are available from the State Bank of India (SBI). The SBI FD account has a duration that runs from 7 days to 10 years.

Under Section 80C of the Income Tax Act, certain FD accounts are eligible for tax benefits. You can use the SBI FD Calculator to determine the mature amount and the interest you will receive. To calculate the SBI FD interest rate, a mixture of the simple and compound interest formulas is used. These formulas are- 

SI = P x R x T / 100

Here:

• SI is Simple Interest,
• P is the Principal Amount,
• R is the Rate of Interest
• T is the FD Tenure.

A = P (1+r/n) ^ (n * t)

Here:

• A is the Maturity Amount,
• P is the Principal Amount,
• R is the Interest Rate,
• n is the Number of Years
• T is the FD tenure.

SBI FD Returns Based on Investment Amount

The SBI fixed deposit plan returns depend upon the invested amount and tenure.

Interest Rate

The SBI FD interest rate as on 5th July 2022 are:

Tenure	Normal Citizen FD Rate	Senior Citizen FD Rate
7 days – 1 month 14 days	2.9%	3.4%
1 month 15 days – 5 months 26 days	3.9%	4.4%
5 months 27 days – 6 months 26 days	4.4%	4.9%
6 months 27 days – 11 months 29 days	4.6%	5.1%
1 year – 1 year 11 months 28 days	5.3%	5.8%
1 year 11 months 29 days – 2 years 11 months 28 days	5.35%	5.85%
2 years 11 months 29 days – 4 years 11 months 28 days	5.45%	5.95%
4 years 11 months 29 days – 9 years 11 months 27 days	5.5%	6.3%

SBI FD Returns

The SBI fixed deposit receipt or returns based on the investment amount can be studied as follows:

Investment Amount (in INR)	For 3 years with interest of 5.45%	For 5 years with interest of 5.5%
50,000	58859	65785
1 lakh	11,7719	13,1570
2 lakh	23,5438	26,3141
5 lakh	58,8595	65,7852
10 lakh	11,77190	1315704

Compare State Bank Fixed Deposit Returns with Top Banks

Indian banks hold a good competition when it comes to fixed deposit returns. A comparison has been made between the top banks in India based on fixed deposit interest rates, minimum deposit amount and tenure.

Bank	Interest Rate (p.a.)	Tenure	Minimum Deposit (in INR)
Bajaj Finance Ltd.	6.03% – 7.75%	1 – 5yrs	15,000
SBI Bank	2.90% – 5.40%	1 – 10yrs	1,000
ICICI Bank	2.50% – 5.60%	1 – 10yrs	10,000
Axis Bank	2.50% – 5.75%	1 – 10yrs	5,000
HDFC Bank	2.50% – 5.50%	1 – 10yrs	5,000
Bank of Baroda	2.80% – 5.25%	1 – 10yrs	1,000
IDFC Bank	3.00% – 4.65%	1 – 10yrs	10,000
Kotak Mahindra Bank	2.50% – 5.30%	1 – 10yrs	5,000
Canara Bank	2.90% – 5.35%	1 – 10yrs	1,000
Yes Bank	3.25% – 6.25%	1 – 10yrs	10,000
IndusInd Bank	2.50% – 6.00%	1yr – 5yrs 1m	10,000
Punjab National Bank	2.90% – 5.25%	1 – 10yrs	1,000
IDBI Bank	2.70% – 5.40%	1 – 20yrs	10,000
Union Bank	3.00% – 5.50%	1 – 10yrs	1,000
Citibank	1.85% – 3.50%	1 – 5yrs	1,000
RBL Bank	3.25% – 6.30%	1 – 10yrs	1,000
Indian Bank	2.80% – 5.25%	1 – 10yrs	1,000

How to Open a State Bank FD Account

The State Bank of India provides a customer to open their fixed deposit account either online or offline. The procedure for each method has been explained below:

Online

You can open your SBI FD account from home. Follow the given steps:

• Visit the official website of SBI
• Log in to your net banking account using your ID and password
• Locate the ‘Deposit Scheme’ option and opt for ‘Term Deposit’
• From the menu, choose ‘E-fixed Deposit’
• Scan through the types of fixed deposits and land on one that suits you
• Once you have clicked on ‘Proceed’, you will be required to enter the necessary details
• Upload the scanned copies of the documents asked
• Once you are satisfied with the information you have put, click on ‘Submit’
• Congratulations! You are a proud owner of the fixed deposit account.

Offline

Your SBI fixed deposit account awaits you at the nearest SBI branch. Follow these steps:

• Visit the nearest branch
• Carry self-attested documents
• Fill out SBI fixed deposit form
• An SBI representative will guide you through the process.