SBI Fixed Deposit Rate: New Senior Citizen Scheme unveiled in term deposit segment; onlinesbi.com lists benefits

SBI Fixed Deposit Rate: The State Bank of India (SBI) has introduced new Senior Citizen Scheme ‘SBI Wecare Deposit’ in the Retail TD segment. In this scheme, a senior citizen will get 50 bps higher than the rate applicable for the general public on term deposits for tenors up to 5 years while for term deposits above 5 years, they will get an additional 0.30 per cent extra premium adding up to 0.80 per cent higher returns than general depositors. The scheme will be effective up to 30th September 2020.

SBI informed about the decision in a statement that read, "To safeguard the interests of Senior citizens in the current falling rate regime, the Bank introduces a new product ‘SBI Wecare Deposit’ for Senior Citizens in the Retail TD segment. Under this new product, an additional 30 bps premium will be payable for Senior Citizen’s Retail term deposits with “5 Years & above” tenor only. This scheme would be in effect upto September 30, 2020." However, this additional premium of 30 bps will not be payable in case of premature withdrawal of such deposits.

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SBI Senior Citizen FD Rates

This SBI Senior Citizen Scheme is attractive for long-term risk-free investment. According to the official website of the SBI — onlinesbi.com or sbi.co.in — SBI Senior Citizen FD rates for tenure 7 days to 45 days is 3.8 per cent, SBI Senior Citizen FD rates for tenure 46 days to 179 days is 4.8 per cent, SBI Senior Citizen FD rates for tenure 180 days to 210 days and 211 days to less than 1 year is 5.3 per cent. These SBI Senior Citizen FD rates for tenor up to less than 3 years are normal 0.5 per cent higher than the general depositors. However, under this new Senior Citizen Scheme in term deposit segment, SBI Senior Citizen FD rates for tenor 5 yeas to 10 years, the SBI FD rate will be 6.5 per cent while for general depositors, it's 5.7 per cent only.