Senior Citizens Fixed Deposit Interest Rates in State Bank of India

Financial security becomes all the more important as you age. To prioritise senior citizens' financial security, the State Bank of India offers attractive FD schemes. One of the significant advantages for senior citizens is the opportunity to earn higher interest rates on their FDs compared to the general public.

State Bank of India's competitive interest rates ensure their senior citizen customers are satisfied.

• Enhanced Interest Rates: Senior citizens typically receive a bonus interest rate on top of the regular FD rates. The specific rate hinges on the bank's current offerings.
• Qualification: Only individuals 60 or older can establish a senior citizen FD account.
• Duration: Depositors can choose from a diverse range of FD durations, usually between 7 days and 10 years.
• Early Withdrawal: Although penalties may apply, senior citizens often benefit from more accommodating terms for premature FD closures.
• Borrowing Options: Senior citizens can secure loans against their FDs like other depositors.
• Beneficiary Assignment: The bank allows a beneficiary to inherit the FD funds after the account holder's passing.
• Tax Deduction at Source (TDS) Implications: Earnings from interest are taxable under Indian tax regulations. Yet, by submitting Form 15H, eligible senior citizens can avoid TDS deductions.
• Automatic Renewal:  State Bank of India, like other major banks, offers an automatic renewal mechanism, ensuring the FD's continuation post-maturity unless directed otherwise.
• Deposit Limits: The deposit range for a senior citizen FD can differ. While a minimum threshold is often set, a maximum limit might be absent.
• Unique Offerings: Periodically or based on bank initiatives, exclusive perks or attributes tailored for senior citizens may be presented.

Note: All interest rates shown above are as on 4th Aug 2023

• Must be 60 years or older when opening the FD account.
• Must be a resident of India. However, NRIs are also eligible through NRE and NRO accounts.
• The account can be held individually or jointly. If held jointly, the first account holder must be a senior citizen.

Identity Proofs

• Aadhar Card
• Passport
• Driver’s License

Address Proof

• Gas Bill
• Utility Bill
• Bank Statement
• Cancelled Cheque

Age proof is mandatory to avail of a Senior Citizen FD account.