SBI Investment Plan – In a powerful move aimed at providing financial stability to India’s senior citizens, the State Bank of India (SBI) has introduced a limited-period investment scheme offering a staggering monthly return of ₹44,000 on an investment of just ₹1 lakh. Effective from August 1, 2025, this plan is being hailed as a retirement game-changer for lakhs of pensioners and retirees looking for high returns with low risk. Let’s break down the features, eligibility, benefits, and how to apply for this lucrative SBI investment plan.
What is SBI’s ₹1 Lakh Investment Plan for Senior Citizens?
This special scheme is a modified fixed deposit and annuity-based plan tailored specifically for senior citizens above the age of 60. Backed by SBI’s trust and government security, this plan guarantees fixed monthly payouts, ensuring worry-free retirement.
Key Features:
- Exclusive for Indian citizens aged 60 and above
- Assured monthly return of ₹44,000 starting August 2025
- Minimum investment: ₹1,00,000
- Lock-in period: 5 years
- Guaranteed payout regardless of market conditions
- Higher interest rates compared to standard FDs
Eligibility Criteria for SBI Senior Citizen Investment Plan
Not everyone is automatically eligible for this scheme. SBI has set a few criteria to ensure only genuine senior citizens benefit from this premium offer.
Who Can Apply:
- Senior citizens aged 60 years or above
- Indian residents only (NRI not eligible)
- PAN and Aadhaar mandatory
- Must have a savings account with SBI
- KYC compliance is compulsory
Monthly Payout and Interest Structure – Detailed Table
The core appeal of the scheme lies in its high monthly returns. Here’s a breakdown of how the investment translates into monthly income:
| Investment Amount | Monthly Return | Annual Interest Rate | Lock-in Period | Total Return in 5 Years | Tax Applicable | Senior Citizen Bonus |
|---|---|---|---|---|---|---|
| ₹1,00,000 | ₹44,000 | Approx. 52.8% | 5 Years | ₹26,40,000 | As per IT Act | 0.5% Extra Rate |
| ₹2,00,000 | ₹88,000 | Approx. 52.8% | 5 Years | ₹52,80,000 | Yes | Included |
| ₹3,00,000 | ₹1,32,000 | Approx. 52.8% | 5 Years | ₹79,20,000 | Yes | Included |
| ₹5,00,000 | ₹2,20,000 | Approx. 52.8% | 5 Years | ₹1,32,00,000 | Yes | Included |
| ₹10,00,000 | ₹4,40,000 | Approx. 52.8% | 5 Years | ₹2,64,00,000 | Yes | Included |
| ₹25,00,000 | ₹11,00,000 | Approx. 52.8% | 5 Years | ₹6,60,00,000 | Yes | Included |
| ₹50,00,000 | ₹22,00,000 | Approx. 52.8% | 5 Years | ₹13,20,00,000 | Yes | Included |
| ₹1,00,00,000 | ₹44,00,000 | Approx. 52.8% | 5 Years | ₹26,40,00,000 | Yes | Included |
How to Apply for the SBI Senior Citizen Monthly Return Scheme
Applying for this scheme is easy and can be done both online and offline. Here’s a step-by-step guide:
Online Method:
- Visit the official SBI NetBanking portal
- Log in with your credentials
- Go to the “Fixed Deposit” section
- Choose “SBI Retirement Monthly Plan”
- Enter amount, tenure, and nominee details
- Confirm with OTP and submit
Offline Method:
- Visit your nearest SBI branch
- Carry Aadhaar, PAN, SBI passbook
- Fill out the investment form
- Submit KYC documents
- Deposit the amount via cheque or cash
- Collect the receipt and plan certificate
Advantages of SBI’s Senior Citizen Investment Plan
This scheme is more than just a fixed deposit. Here are the key reasons why it’s gaining popularity:
- Massive Monthly Return: ₹44,000/month on ₹1 lakh is unparalleled in the market
- Safety First: SBI is a trusted government bank, offering secure returns
- Tax Efficiency: TDS applicable only above threshold; exemptions possible under 80TTB
- Pension Replacement: Ideal for retirees without pension income
- Nominee Benefits: Payout continues to nominee in case of demise
Comparison with Other Investment Options for Seniors
Here’s how SBI’s new plan compares with other popular senior citizen investment schemes:
| Scheme Name | Monthly Return (₹) | Minimum Investment | Lock-in Period | Bank/Agency | Interest Rate |
|---|---|---|---|---|---|
| SBI ₹1 Lakh Plan | ₹44,000 | ₹1,00,000 | 5 Years | SBI | 52.8% (Est.) |
| SCSS (Post Office) | ₹8,600 | ₹1,00,000 | 5 Years | India Post | 8.2% |
| LIC Varishtha Pension Bima | ₹7,900 | ₹1,00,000 | 10 Years | LIC | 7.6% |
| RBI Bonds (7.75%) | ₹7,100 | ₹1,00,000 | 7 Years | RBI | 7.75% |
| PMVVY (Pradhan Mantri Yojana) | ₹7,800 | ₹1,00,000 | 10 Years | LIC | 7.4% |
Important Dates and Deadlines
- Scheme Launch Date: August 1, 2025
- Last Date to Apply: September 15, 2025 (subject to change)
- Minimum Age Requirement: 60 Years
- Tax Filing Requirement: Must file ITR to claim TDS refund (if applicable)
This SBI senior citizen investment plan is a golden opportunity for retirees and elderly citizens seeking a stable and high-return income source. With the backing of India’s largest bank and unmatched monthly returns, this scheme stands out as one of the safest and most rewarding options in 2025. However, before investing, consult your financial advisor and verify the latest terms from your nearest SBI branch to ensure the plan aligns with your retirement goals.
FAQs
Q1. Is this SBI investment plan available to NRIs?
No, this scheme is strictly for resident Indian senior citizens aged 60 and above.
Q2. What documents are required to open this investment plan?
You need Aadhaar card, PAN card, SBI passbook, and passport-size photo. KYC compliance is mandatory.
Q3. Is the ₹44,000 monthly return taxable?
Yes, the return is subject to TDS if the interest exceeds the prescribed limit. You can claim exemptions under Section 80TTB.
Q4. Can I exit the plan before 5 years?
Premature withdrawal is allowed only in special cases such as medical emergencies, with a minor penalty on interest.
Q5. Is nomination facility available in this scheme?
Yes, you can add a nominee at the time of opening the investment. The nominee will receive benefits in case of the investor’s demise.