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SBI Senior Citizen FD Interest Rates: When you cross the retirement age, what do you need to run your daily expenses? It is most likely self-sufficiency, where you don’t have to ask for money for your old age expenses. In life after retirement, nothing beats the feeling of financial independence and self-reliance. But for that, you need a regular source of income, where you need a fixed amount of money so that not only can you run your expenses, but you can also adjust them according to your monthly income. This is why a lot of senior citizens prefer to invest their money in fixed deposit schemes (FD) in their old age.
This is a guaranteed return plan which provides them regular income on lump sum investment.
They invest the money in FD schemes of different tenures and get returns in the form of annual interest.
They can receive this interest in their bank account on monthly, quarterly, half-yearly or yearly basis.
Some of the benefits that senior citizens get from FDs are that banks offer them higher interest rates than ordinary citizens, and deposits up to Rs 1.50 lakh in a financial year in a five-year FD are tax-free.
Like many banks, State Bank of India (SBI) also offers FD facility to senior citizens.
While it offers its highest interest rate at 7.60 per cent in the 400-day Amrit Kalash scheme, the interest rates for its 1-year, 3-year and 5-year FD schemes are 7.30 per cent, 7.25 per cent and 7.50 per cent, respectively.
Know in this article what you will get on investing Rs 80,000, Rs 1,60,000, Rs 2,40,000 and Rs 3,20,000 in 1 year, 3 year and 5 year FDs.
1-year SBI Senior Citizen FD (7.30 per cent annual interest rate)
On investing Rs 80,000 in a one-year FD, you will get interest of Rs 6,002 and the maturity amount will be Rs 86,002.
If you invest Rs 1,60,000 in a 1 year FD, you will get Rs 12,004 interest and the maturity amount will be Rs 1,72,004.
On an investment of Rs 2,40,000, you will get Rs 18,005 as interest and Rs 2,58,005 on maturity.
On the other hand, on an investment of Rs 3,20,000, you will get Rs 24,007 as interest and Rs 3,44,007 on maturity.
3-year SBI Senior Citizen FD (7.25% annual interest rate)
On investing Rs 80,000 in a one-year FD, you will get an interest of Rs 19,244 and the maturity amount will be Rs 99,244.
If you invest Rs 1,60,000 in a 1-year FD, you will get Rs 38,488 interest and the maturity amount will be Rs 1,98,488.
On an investment of Rs 2,40,000, you will get Rs 57,731 as interest and Rs 2,97,731 on maturity.
On the other hand, an investment of Rs 3,20,000 will get you Rs 76,975 as interest and Rs 3,96,975 on maturity.
5-year SBI Senior Citizen FD (7.50 per cent annual interest rate)
On investing Rs 80,000 in one year FD, you will get interest of Rs 35,996 and the maturity amount will be Rs 1,15,996.
If you invest Rs 1,60,000 in a 1-year FD, you will get interest of Rs 71,992 and the maturity amount will be Rs 2,31,992.
On an investment of Rs 2,40,000, you will get Rs 1,07,988 as interest and Rs 3,47,988 on maturity.
On the other hand, an investment of Rs 3,20,000 will get you Rs 1,61,981 in interest and Rs 5,21,981 on maturity.
