Know Your FD Rate: Last date to invest in special SBI FD for senior citizens ends soon; compare estimated returns on Rs 5 lakh/Rs 7 lakh/Rs 10 lakh investments in 5/10 years (with explanation)
Know Your FD Rate: State Bank of India (SBI) offers a wide array of limited-period fixed deposit (FD) schemes with special interest rates. One such scheme is the ‘SBI We-care’ FD, which currently provides annual returns of 7.5 per cent for senior citizens, according to the PSU bank's website, sbi.co.in. In April 2024, SBI—which offers FD tenures ranging from 7 days to 10 years—extended the deadline to open a We-care FD account to September 30. Read on to learn more about this special FD scheme, SBI We-care, with examples.
Know Your FD Rate: Did you know that the State Bank of India (SBI), the country’s largest lender, offers a variety of limited-period fixed deposit (FD) investment schemes with special interest rates? One such scheme is the ‘SBI We-care’ FD, which currently provides annual returns of 7.5 per cent for senior citizens, according to its corporate website—sbi.co.in. In April 2024, the state-run lender—which offers fixed deposit tenures ranging from 7 days to as long as 10 years—extended the deadline to open a We-care FD account to September 30, 2024. Can you guess the maturity amount at the end of 5 years and 10 years under the SBI We-care FD scheme?
Here is every important detail that you need to plan your investment in this special FD scheme, SBI We-care, with examples.
SBI We-care FD Scheme deadline ends soon | Key things to know
What is the SBI We-care FD scheme and who is it for?
Introduced by SBI in 2020, SBI We-care is a special term deposit scheme meant for senior citizens. It provides a higher interest rate than its normal FDs of similar maturities.
The FD has seen a number of extensions since its introduction in the COVID year.
SBI We-care FD Scheme deadline ends soon | Key things to know
SBI We-care FD Scheme deadline ends soon | Key things to know
SBI We-care FD Scheme deadline ends soon | Key things to know
SBI We-care FD Scheme deadline ends soon | Key things to know
Now, let's get to the calculations.
What will be the maturity amounts for investments of Rs 5 lakh, Rs 7 lakh, and Rs 10 lakh in the SBI We-care fixed deposit scheme?
At the current rate of interest, a lump sum of Rs 5 lakh in the SBI We-care scheme will yield interest of an estimated Rs 2,24,974.
This means that the final corpus, at the end of the minimum lock-in period of 5 years, will be Rs 7,24,974 (principal plus interest)