SBI FD Plan : In a major relief for India’s aging population, the State Bank of India (SBI) has launched a specialized Fixed Deposit (FD) scheme aimed at senior citizens. The new FD plan promises assured monthly income, allowing individuals above 60 years to earn up to ₹50,000 per month. With rising costs of living and increasing life expectancy, this move is expected to offer financial stability to retirees who seek secure and predictable returns.
What Is SBI’s Senior Citizen FD Scheme?
SBI’s new FD scheme is exclusively designed for individuals aged 60 and above. The bank offers a higher interest rate than regular FDs, along with the flexibility of monthly, quarterly, or yearly interest payouts. The main highlight is the ability to opt for a monthly income payout mode, which is ideal for retired individuals dependent on fixed monthly income.
Key Features of SBI’s Senior Citizen FD Plan
- Only available to individuals aged 60 years and above
- Minimum deposit required: ₹1,00,000
- Maximum deposit limit: ₹2 Crore
- Tenure: 5 to 10 years (flexible)
- Interest payout options: Monthly, Quarterly, Annually
- Assured returns up to ₹50,000 monthly depending on the amount invested
- TDS applicable as per income tax rules
Interest Rates and Earnings Potential
SBI is offering attractive interest rates ranging from 7.3% to 7.9% for senior citizens under this FD plan, depending on the deposit amount and tenure. Here’s a detailed table explaining the monthly income you can earn:
Monthly Earnings Based on Deposit Amount
| Deposit Amount (₹) | Tenure (Years) | Interest Rate (%) | Monthly Income (Approx.) |
|---|---|---|---|
| 5,00,000 | 5 | 7.30 | ₹3,041 |
| 10,00,000 | 5 | 7.30 | ₹6,082 |
| 15,00,000 | 5 | 7.30 | ₹9,123 |
| 20,00,000 | 5 | 7.30 | ₹12,164 |
| 30,00,000 | 5 | 7.30 | ₹18,246 |
| 40,00,000 | 5 | 7.30 | ₹24,328 |
| 50,00,000 | 5 | 7.30 | ₹30,410 |
Note: Monthly income is approximate and subject to TDS deductions and bank-specific terms.
Who Can Apply for This FD Scheme?
To be eligible for SBI’s Senior Citizen FD plan, individuals must fulfill the following criteria:
- Must be an Indian resident
- Age should be 60 years or above at the time of application
- Must have a savings account or existing relationship with SBI
- KYC documents required: Aadhaar, PAN, and Address Proof
Documents Required for Application
| Document Type | Accepted Documents |
|---|---|
| Age Proof | Aadhaar Card, Passport, PAN Card |
| Identity Proof | PAN Card, Voter ID, Passport |
| Address Proof | Electricity Bill, Aadhaar Card |
| Bank Account Details | Existing SBI Account Passbook |
| Recent Photograph | Passport-size color photo |
| Application Form | Available at SBI branches/online |
Benefits of SBI Senior Citizen FD Plan
- Guaranteed monthly income without market risks
- Higher interest rate than normal FDs
- Flexibility to choose payout frequency
- Safe and secure investment backed by a government-owned bank
- Can be used to supplement pension or other post-retirement income
Additional Information and Terms
- Premature withdrawal is allowed but may attract penalty
- Loan against FD is available up to 90% of deposit value
- Nomination facility is available
- Auto-renewal option available upon maturity
- The interest income is taxable under “Income from Other Sources”
Comparison with Other Senior Citizen Schemes
| Scheme | Interest Rate (%) | Monthly Payout Option | Government Backed |
|---|---|---|---|
| SBI Senior Citizen FD | 7.30 – 7.90 | Yes | Yes |
| Post Office SCSS | 8.20 | Quarterly | Yes |
| LIC Pradhan Vaya Vandana Yojana | 7.60 | Monthly | Yes |
| HDFC Senior Citizen FD | 7.50 | Yes | No |
| ICICI Senior Citizen FD | 7.45 | Yes | No |
How to Apply for SBI Senior Citizen FD
Applying for the SBI Senior Citizen Fixed Deposit scheme is simple and can be done through the following channels:
- Online via YONO App or SBI Net Banking
- Visit nearest SBI branch
- Through SBI Relationship Manager (for bulk depositors)
Steps for Offline Application:
- Visit the nearest SBI branch
- Fill out the FD application form
- Submit KYC documents and photographs
- Choose tenure and interest payout mode
- Deposit the amount and receive the FD receipt
The SBI Senior Citizen FD Plan offers a secure and attractive investment option for retirees who wish to earn a fixed income after 60. With assured returns, high safety, and flexible payout options, this FD plan is well-suited to meet the financial needs of senior citizens looking for stable income without risks. It is advisable to consult with your financial advisor or an SBI branch to assess the right deposit amount based on your monthly income goal.