SBI Fixed Deposit

State Bank of India (SBI), the largest bank in the country, offers a multitude of Fixed Deposit products to its customers. SBI has products that cater to every section of society. The most significant advantage of SBI Fixed Deposits is that they are easily accessible from any part of India. The vast network of SBI branches ensures that you are not far from an SBI branch wherever you are in India. Therefore, one can say that the SBI Fixed Deposit is the most liquid of all your financial assets.

Why SBI Fixed Deposits?

Every individual must have a surplus fund to take care of activities like children's education, marriage, unforeseen medical expenses, and other business and personal commitments. SBI has fixed deposit schemes to cater to all your requirements.

SBI Fixed Deposits are preferable because of the vast reach the bank enjoys in India. All its branches are computerised, thereby making it easy for its customers to access their accounts at any time. SBI offers innovative products like the Multi-Option Deposit Scheme that come with a unique break-up facility. It provides complete liquidity while ensuring higher rates of return at the same time.

SBI Recurring Deposit schemes help to accumulate your savings in a phased manner every month. Thus, you can gradually build up your corpus to meet your future requirements.

SBI Fixed Deposits - Features and Benefits

  • A variety of products to suit every family
  • One of the best rates of interest offered in the country
  • Additional interest payable to senior citizens
  • Multi-option deposit scheme that offers liquidity as well as good returns
  • Recurring deposit products to enable the gradual build-up of the corpus
  • Resident Foreign Currency Deposits available
  • Non-Resident Indian Deposit schemes available in Indian Rupees and Foreign Currency
  • Tax Saving Schemes
  • Motor Accident Claims Annuity Deposit Schemes available
  • Capital Gains Deposits
  • TDS if interest exceeds 10,000 in a financial year
  • Facility to submit Form 15G and 15H to avoid TDS

SBI Fixed Deposits - Rate of Interest

SBI offers the best interest rates among all Indian public sector banks. SBI has three different interest rate structures for domestic term deposits depending on the amount of deposit.

 Domestic Deposits

  • These deposit interest rates are subject to revision at periodical intervals. Senior citizens of age 60 years and above get an additional 0.5% in the interest rate in each slab.
  • The rates listed below are effective with effect from 09.05.2019 for amounts below 2 Crores. For amounts ranging from 2 Crores and above, the effective date is 22.02.2019.
Deposit Tenure Below 2 Crores 2 Crores to 10 Crores Above 10 Crores

7 days to 45 days

5.75%

5.75%

5.75%

46 days to 179 days

6.25%

6.25%

6.25%

180 days to 210 days

6.35%

6.35%

6.35%

211 days to < 1 year

6.40%

6.40%

6.40%

1 year to < 2 years

7.00%

6.70%

6.70%

2 years to < 3 years

6.75%

6.75%

6.75%

3 years to < 5 years

6.70%

6.80%

6.80%

5 years and up to 10 years

6.60%

6.85%

6.85%

  • Premature withdrawal of bulk deposits of 2 Crores and above attracts a penalty of 1%
  • The above rates of interest apply to Non-Resident Ordinary Deposits as well

Non-Resident External Deposits - w.e.f. 09.05.2019 

Deposit Tenure Below 2 Crores 2 Crores to 10 Crores Above 10 Crores

1 year to < 2 years

7.00%

6.70%

6.70%

2 years to < 3 years

6.75%

6.75%

6.75%

3 years to < 5 years

6.70%

6.80%

6.80%

5 years and up to 10 years

6.60%

6.85%

6.85%

Premature Withdrawal Conditions

No interest if the deposit is withdrawn before one year

 

Penalty for premature withdrawal

  • Up to 5 Lakhs: 0.50%
  • Above 5 Lakhs: 1%

1%

1%

Applicable rate on premature withdrawal

Contracted rate or the applicable rate for the tenure whichever is less subject to a premature withdrawal penalty.

Foreign Currency Non-Resident Deposits - w.e.f 10.07.2019

Currency

USD < 300,000

USD >= 300,000

GBP

EUR

CAD

AUD

JPY

Tenure

1 Year

2.84

2.94

1.30

0.01

2.10

1.08

0.02

>1 year and < 2 years

2.84

2.94

1.30

0.01

2.10

1.08

0.02

2 years to < 3 years

2.73

2.83

1.34

0.01

1.79

1.04

0.05

3 years to < 4 years

2.72

2.82

1.35

0.01

1.74

1.05

0.05

4 years to < 5 years

2.72

2.82

1.37

0.10

1.72

1.16

0.05

5 years

2.76

2.86

1.40

0.15

1.73

1.22

0.05

Resident Foreign Currency Deposits - w.e.f.10.07.2019

Tenure USD< 300,000 USD => 300,000 GBP EUR

1 year to < 2 years

2.84

2.94

1.30

0.01

2 years to < 3 years

2.73

2.83

1.34

0.01

3 years

2.73

2.82

1.35

0.01

  • For RFC deposits up to one year: Simple interest is payable
  • Above one year: Interest compounded half-yearly
  • Premature withdrawal before one year: No interest is payable
  • After one year: Penalty of 1% applicable

SBI Fixed Deposits - Types of Deposits

SBI offers a range of deposits as follows:

SBI Tax Savings Scheme - 2006

Eligibility

Resident Indian individuals or in the capacity of Karta of HUF having PAN

Quantum of Deposit

Minimum of 1,000 and multiples thereof with a maximum of 1,50,000 in a year.

Type of Account

Special Term Deposit Account

Tenure

  • Minimum tenure: 5 years
  • Maximum period: 10 years

Rate of Interest

As applicable to domestic time deposits

Premature Withdrawal

No premature withdrawal before the expiry of five years from the date of issuance.

Loan Facility

No loans available against this deposit

Other Conditions

  • Tax Benefits available under Section 80C of IT Act
  • Nomination facility available
Reinvestment Plan

Product

Cumulative interest deposit plan where the interest is reinvested and payable along with the principal amount on the maturity.

Quantum of Deposit

The minimum deposit is 1,000 with no maximum limit

Rate of Interest

As applicable to Term Deposits

Tenure

Minimum of six months with a maximum of ten years

Premature Withdrawal

  • Retail deposits up to 50,000: 0.50%
  • Above 50,000 and equal to 1 Crore: 1%
  • No interest if the period is less than seven days

TDS

Applicable as per rules

Loan Facility

Loan or Overdraft available up to 90%

Other Conditions

  • Nomination facility
  • Auto-Renewal
  • Quarterly Interest payment and credited to the principal amount
SBI Multi Option Deposit Scheme

Product

Unique product where term deposits are linked to savings and current deposits.

Facility to withdraw in multiples of 1,000 depending on your requirements.

The balance amount in the account continues to earn interest at the contracted rates.

Quantum of Deposit

Minimum 10,000 and in multiples of 1,000 thereafter

Rate of Interest

As applicable to Term Deposits

Tenure

  • Minimum period: 1 year
  • Maximum tenure: 5 years

Premature Withdrawal

Allowed

TDS

Applicable as per rules

Loan Facility

Available, but further withdrawals are not allowed as long as the loan is outstanding.

Other Conditions

  • Nomination possible
  • Combination of Savings/Current deposits and Term Deposits
  • Withdrawal permitted in multiples of 1,000
Recurring Deposit

Product

Opportunity for the depositor to save through regular monthly deposits of a fixed amount for a specific period.

Quantum of Deposit

  • A minimum deposit of 100 and in multiples of 10
  • No maximum investment

Tenure

The minimum tenure is 12 months while the maximum is 120 months

Rate of Interest

As applicable to other Term Deposits

Loan facility

Available up to 90% of the balance in the RD account

Premature Withdrawal

Allowed

TDS

Applicable

Other Conditions

  • Penalty for non-deposit of monthly instalments
  • The account will be closed if six consecutive monthly instalments are not received.
  • Nomination facility available
SBI Holiday Savings Account

Product

A unique saving plan formulated by SBI in association with Thomas Cook

Save every month in an RD account to avail a tour package listed under the Holiday Savings Account packages arranged by Thomas Cook.

Type of Account

Recurring Deposit Account

How it works

  • Choose a holiday package on the Thomas Cook website
  • Your monthly deposit will be the cost of the package divided by 13
  • The system will direct you to the Online SBI portal where you set up an e-recurring deposit for 12 months.
  • The rate of interest will be as applicable to the 12-month RD A/c
  • At the end of the tenure, the maturity proceeds get credit to the account of Thomas Cook to fund your selected holiday package.
  • Thomas Cook will pay the 13th instalment as you enjoy your holiday

Other Conditions

  • The tenure is fixed at 12 months
  • Premature closure results in cancellation of the holiday package
  • The amount gets credited to the account from where the funding initially took place.
  • Premature withdrawal rules apply
  • TDS applicable
Annuity Deposit Scheme

Product

  • The depositor pays a one-time lump sum amount and receives the same in equated monthly instalments.
  • Payment of EMI starts on the anniversary date of the month following the month of the deposit.

Quantum of Deposit

  • Minimum deposit should not be less than 25,000
  • The minimum monthly annuity should be 1,000 for the relevant period

Tenure

Fixed-term of 36, 60, 84, or 120 months

Rate of Interest

As applicable to Term deposits

Premature Payment

Allowed only in the case of expiry of the depositor

Loan Facility

  • Up to 75% of the balance annuity on a case-to-case basis
  • On disbursal, the annuity will be credited to the loan account

Other Conditions

  • Interest compounded at quarterly rests, but payable at a discounted monthly value.
  • Interest on reducing balance amount
  • Nomination facility available
SBI Flexi Deposit Scheme

Product

  • Similar to the Recurring Deposit account
  • Instead of a fixed monthly instalment, the depositor can vary the instalment amount and the frequency, as well.

Quantum of Deposit

Minimum instalment is 500 with the maximum number of instalments capped at 10.

Minimum Deposit Amount

5,000 in a financial year

Maximum Deposit

50,000 in a financial year

Frequency

Any number of times

Tenure

The minimum tenure is five years, and the maximum is seven years

Rate of Interest

As applicable to term deposits

Premature Withdrawal

Allowed

TDS

Applicable

Loan facility

Available

Other Conditions

  • A minimum instalment in a year is 500 for the account to continue
  • Minimum deposit amount is 5,000 per financial year with a minimum payment of 500 at a time.
Motor Accident Claims Annuity Deposit - MACAD

Product

  • Credit compensation amount awarded by a Court or Tribunal to claimants or victims of accidents.
  • Repay the sum in monthly annuity instalments

Eligibility

  • Individuals in a single name
  • Minors through guardians

Quantum of Deposit

  • No maximum limit
  • The minimum amount should be such that the monthly annuity payment is a minimum of 1,000 for the relevant period.

Tenure

  • Ranging from 36 to 216 months depending on the directions of the court
  • If the period is less than 36 months, normal time deposit is opened

Rate of Interest

As applicable to Term Deposits

Premature Withdrawal

  • Premature closure or payment of lump sum in part is permissible with the permission of the court.
  • No premature closure penalty

TDS

As applicable

Loan Facility

No loan or advance

Other Conditions

  • Instead of a deposit receipt, the depositor will receive a passbook
  • Compulsory to open MACT Claims SB account
  • Annuity less TDS will be credited to this SB account
  • The account is not transferable without the permission of the court
SBI CAPGAINS PLUS - Capital Gains Scheme 1988

Product

Park the proceeds of the sale of an immovable property before reinvesting in a specified asset and claim exemption of Long Term Capital Gains (LTCG) Tax.

Eligibility

Individuals, non-individuals, HUF, NRIs, Resident but not Ordinary Resident, and Artificial Judicial persons having capital gains taxable in India.

Type of Account

  • Savings Account: Deposit Account A
  • Term Deposit: Deposit Account B

Quantum of deposit

  • The minimum amount of deposit is 1,000
  • No upper limit

Tenure

Not exceeding two to three years from the date of sale of original asset as detailed below:

  • Maximum 24 months: If capital gains are under Sec 54, 54B, and 54F
  • Maximum 36 months: If capital gains are under Sec 54, 54D, 54G, and 54GB

 

The depositor has to declare the applicable sections in Form A

Rate of Interest

  • Deposit Account A: SB rates of interest
  • Deposit Account B: As applicable to Term deposits
  • No concession to staff members or senior citizens

Coverage

Metro, Urban, and Semi-urban branches

Premature Payment

  • Closure of TDR allowed before maturity, but proceeds will be credited to CapGains SB A/c.
  • The depositor should produce specific authority certificate from the ITO of the respective jurisdiction at the time of closure of all accounts.

Loan Facility

No loan

Other Conditions

  • Up to three nominees are allowed
  • Account transferable
  • No Auto Renewal facility
Resident Foreign Currency - RFC Account

Product

NRIs and PIOs can park their funds in RFC account on returning to India for permanent settlement.

Permitted Currency

USD, Euro, and GBP

Type of Account

Term Deposit and Special Term Deposit

Permissible Credits

  • Transfer from NRE/FCNR accounts
  • Premature closure of existing FCNR accounts
  • Remittances from abroad
  • Personal cheques drawn on foreign account
  • Foreign Currency/Travellers Cheques accompanied by CDF

Features

  • Interest payment at a frequency of 180 days
  • FC deposits of fixed tenure
  • Minimum deposit amount is 1,000 USD, GBP, or Euro
  • Interest and Principal repatriable
  • Nomination allowed
  • Premature payment allowed
  • Auto-Renewal facility

Tenure

Minimum one year with a maximum of 3 years

TDS

As applicable

Other Conditions

  • Individual and Joint accounts allowed
  • Interest earned is subject to income tax depending on the resident status of the account holder.
  • If the person becomes NRI again, the account is converted into FCNR(B) or NRE A/c.
FCNR (B) Accounts

Product

  • Account opened in a denominated currency like USD, GBP, Euro, JPY, AUD, and CAD.
  • Joint accounts with NRIs/OCIs/PIOs allowed

Eligibility

NRIs, PIOs, and OCIs

Permissible Credits

  • Transfer from NRE or FCNR(B) A/c
  • Transfer from NRO A/c subject to a specific limit
  • Fresh inward remittance
  • Personal cheques drawn on foreign account
  • Proceeds of FC notes/TCs accompanied by CDF

Type of Accounts

Term Deposit and Special Term Deposit

Features

  • Interest frequency: 180 days compounding
  • Fixed tenure
  • Minimum deposit 1,000 USD, Euro, GBP, AUD, and CAD
  • In case of JPY, the minimum deposit is 1,00,000 JPY
  • Fully repatriable
  • Nomination allowed
  • Loan available
  • Premature withdrawal allowed
  • Automatic renewal allowed for the same tenure

Tenure

  • Minimum of one year
  • Maximum period is five years

Tax

Exempt from IT

Other Conditions

  • Loans available in Indian Rupees or Foreign Currency
  • Joint Accounts allowed with close relatives on F/S basis
FCNR(B) Premium Account

Features

  • Combined benefit of FCNR (B) Deposit and Forward Cover
  • FCNR(B) deposit tenure: Minimum 1 year and a maximum of 5 years
  • Forward Contract tenure: Same as that of FCNR(B) deposit

Minimum Deposit

USD 15,000 or equivalent

Conditions

  • FCNR(B) A/c in USD only
  • Forward Contract in all permissible currencies and INR
  • No charges for booking Forward Contract
  • The customer pays the fees on cancellation of the forward contract.
  • No premature penalty on premature closure of FCNR(B) deposit
NRO Tax Saving Scheme

Product

Deposit scheme to avail tax benefits under Sec 80C of IT Act

Eligibility

  • NRIs, PIOs, and OCIs having PAN
  • Minors cannot open an account in their single name

Permissible Credits

  • Transfer from NRO/NRE SB account
  • Fresh inward remittance from abroad
  • Personal cheques drawn on foreign account
  • Foreign Currency notes/TCs along with CDF if the amount is more than USD 5,000/USD 10,000 respectively.

Features of TDR

  • Rupee deposits of five years
  • Interest paid quarterly to the credit of NRO A/c
  • Minimum deposit 10,000 and maximum deposit is 150,000
  • Amount repatriable subject to a prescribed ceiling
  • Nomination facility available
  • Converted to regular NRO A/c after five years

Features of STDR

Same as above but interest compounded every quarter and reinvested instead of crediting to NRO A/c.

Premature Withdrawals

Not allowed

TDS

As per rules

Loans

No loan against NRO Tax Saving Deposits

Documents Required for Opening SBI Fixed Deposits

  • Existing SBI account holders need not provide any new documents for opening SBI Fixed Deposits.
  • New SBI customers should satisfy KYC norms and product ID and address proof documents
  • Minors and senior citizens should provide age proof
  • NRIs, PIOs, and OCIs should provide evidence of the non-resident status

Procedure to Open SBI Fixed Deposit

SBI Fixed Deposits can be opened online as well as offline. Existing customers of SBI using internet banking facility can open FD online. Otherwise, the ideal method of opening SBI FD is to visit the branch and open the FD.

How Do You Open SBI FD Online?

You should have the internet banking or mobile banking facility of SBI to be able to open SBI FD online. The procedure is a straightforward one.

  • Access the official website of SBI, onlinesbi.com and log in to your net banking account using your user ID and password.
  • On the home page, click on the Deposit Schemes option
  • Proceed to Term Deposits and click on the e-Fixed Deposit option
  • Choose the type of FD you want and proceed further
  • Select the amount from where you would like to make the payment
  • Enter the principal value of your FD
  • If you are a senior citizen, tick the concerned tab
  • You have a choice between TDR and STDR
  • Enter your deposit tenure and maturity instructions
  • Go through the terms and conditions and accept them
  • On submitting this information, you complete the process of opening the SBI FD online

Maturity Value Calculator

SBI has a Term Deposit Maturity Value Calculator on its website. Users have to enter the principal amount, the annual rate of interest, and the deposit tenure to get the interest value and maturity value instantly.

Tax Deduction at Source on Interest

The Income Tax Act stipulates that banks have to deduct income tax at source in the interest payable in a financial year is more than 40,000. (Earlier it was 10,000, but has been increased to 40,000 from this fiscal year.

Depositors can submit Form 15G or 15H (for senior citizens) to ensure that the bank does not deduct TDS. They should note to submit this form at the beginning of the financial year. It is necessary to provide the PAN details along with the Form 15G/15H. Otherwise, the bank has to deduct TDS @ 20% instead of the stipulated 10%.

SBI Fixed Deposits - Frequently Asked Questions

What is the difference between Term Deposit Receipt and Special Term Deposit Receipt in SBI?

In TDR, the interest is credited to the depositor account every quarter. Hence, it is a simple interest offering deposit. In the case of STDR, the interest is reinvested by crediting it to the principal amount, thereby ensuring its compounding every quarter.

Is there any minimum age for opening a fixed deposit with SBI?

No, there are no age requirements for opening fixed deposit accounts with SBI. However, minors should open joint accounts with their guardians.

Can you take a loan against your fixed deposit with SBI?

Yes, Loans up to 90% of the value of the fixed deposit are allowed to the deposit holders. However, specific deposit schemes like the Tax Saving Scheme and the Capital Gains Scheme do not offer loan facility.

Is it possible to open SBI deposit online?

Yes, it is possible to open SBI Fixed Deposit online if you use internet banking facility. Fixed deposits opened online can also be closed online. However, deposits opened at the branch do not have this facility.

What are the minimum and maximum tenures for an SBI fixed deposit?

The minimum permissible tenure for an SBI fixed deposit is for seven days, whereas the maximum is ten years. Deposits opened under the MACAD Scheme can be for a maximum of 18 years or 216 months.

Is it compulsory to maintain an SB A/c to have a fixed deposit in SBI?

No, it is not compulsory to have an SB A/c for opening an SBI fixed deposit. However, it is advisable to open one because it becomes easy for the branch to credit the interest or the proceeds of the FD on closure.

Is it obligatory on the bank's part to deduct TDS on interest on deposits?

Yes, the banks have to deduct TDS on interest paid on Fixed Deposits if the interest payable on these deposits exceeds 40,000 in a financial year. However, customers can opt to submit Form 15G or 15H to ensure that the bank does not deduct TDS. Under such circumstances, it is the customer's responsibility to pay tax on the interest if applicable.

Is loan available on deposits in the name of the minor?

If the deposit is in joint names with the guardian, the guardian can apply for a loan against the fixed deposit. He/she should undertake that the loan is for the benefit of the minor and not for any other purpose.

What is the TDS rate on NRO Fixed deposits in SBI?

If the interest income on the NRO fixed deposit is less than or equal to 1 Crore, the TDS rate is 30.90%. If the interest is more than 1 Crore, the tax is payable @ 34.608%. The tax on NRO FDs is on an annual basis or on maturity whichever occurs first.

Can we get the deposit maturity proceeds in cash?

Usually, banks do not pay the deposit maturity proceeds in cash. They credit the SB account or issue DD. Nowadays, they use electronic modes of transfer. However, the rules permit payment of fixed deposit receipts in cash if the maturity proceeds do not exceed 20,000.

OTP is sent to your mobile number

Enter OTP

Resend OTP