Fixed Deposits (FDs) remain one of the most trusted and secure investment options for Indian investors, and State Bank of India (SBI), being the country’s largest public sector bank, offers attractive FD schemes that cater to various investment needs. While SBI offers flexible tenure options for Fixed Deposits, the 210-day tenure falls within their short-term investment category, making it an ideal choice for investors looking for stable returns with moderate liquidity.
Understanding SBI Fixed Deposit Schemes
SBI FD interest rates for 2025 range from 3.30% to 7.50% per annum, depending on the deposit tenure and customer category. The bank offers competitive rates across different tenure brackets, with special provisions for senior citizens who receive additional interest rates.
For investments in the 180-210 days range, regular customers may earn around 6.25% per annum, while senior citizens may get up to 6.75% per annum on this short-term deposit. This makes the 210-day tenure particularly attractive for investors seeking better returns than savings accounts without committing to longer lock-in periods.
Key Features of SBI Short-Term FD Schemes
Flexible Investment Options: SBI allows investments from a minimum of Rs. 1,000 with no upper limit for individual deposits below Rs. 3 crore. This makes it accessible to investors across all income levels.
Competitive Interest Rates: The 210-day tenure typically offers higher returns compared to savings accounts while maintaining reasonable liquidity. Interest is compounded quarterly and can be paid monthly, quarterly, or at maturity based on the investor’s preference.
Senior Citizen Benefits: Senior citizens receive an additional 50 basis points (0.50%) over the regular interest rates, making their effective rate approximately 6.75% for the 210-day tenure.
Online and Offline Access: Investors can open FD accounts through SBI’s digital platforms including internet banking, YONO app, or by visiting any SBI branch.
Special SBI FD Schemes Worth Considering
SBI Amrit Vrishti Scheme: This special scheme offers 6.85% interest for a tenure of 444 days for general customers, 7.35% for senior citizens, and 7.45% for super senior citizens (80+ years).
SBI Wecare Deposit Scheme: This scheme provides an additional 50 basis points premium over existing senior citizen rates for deposits of 5 years and above.
SBI Patrons Scheme: Super senior citizens (80+ years) get an additional 10 basis points over the senior citizen rates.
Investment Process and Requirements
Eligibility: Resident individuals (single or joint), minors with guardian consent, and Hindu Undivided Families (HUFs) are eligible to invest.
Documentation: Investors need to provide identity proof, address proof, PAN card, and passport-size photographs. A nomination facility is available for all FD accounts.
Online Process:
- Log into SBI Net Banking or YONO app
- Navigate to ‘Term Deposits’ under ‘Deposit Schemes’
- Enter investment amount and tenure details
- Provide nominee information
- Accept terms and conditions
- Submit the application
Safety and Security Features
RBI Insurance Coverage: All SBI deposits are covered under the RBI’s Deposit Insurance Scheme up to Rs. 5,00,000 per depositor.
Loan Against FD: Investors can avail loans up to 90% of their FD amount, with interest charged at 1.5% above the FD rate.
Premature Withdrawal: Premature withdrawal is allowed with penalties – 0.5% for deposits below Rs. 5 lakh and 1% for deposits above Rs. 5 lakh.
Tax Implications
TDS Deduction: TDS of 10% is deducted if interest income exceeds Rs. 40,000 per annum (Rs. 50,000 for senior citizens). If PAN is not provided, TDS is deducted at 20%.
Tax Benefits: While regular FDs don’t offer tax deductions, SBI’s Tax Saving Scheme allows deductions up to Rs. 1.5 lakh under Section 80C with a 5-year lock-in period.
Current Market Scenario and Comparison
SBI’s FD rates are competitive when compared to other major banks. The bank periodically revises rates based on RBI policies and market conditions, with the latest revision effective from May 16, 2025.
For investors considering the 210-day tenure, it’s important to note that this falls within the flexible range offered by SBI, typically categorized under their short-term deposit options alongside tenures like 180 days, 1 year, and other similar periods.
Complete SBI FD Interest Rate Structure
| Tenure Category | General Public | Senior Citizens | Super Senior Citizens |
|---|---|---|---|
| 7-45 days | 3.30% | 3.80% | 3.90% |
| 46-179 days | 4.50% | 5.00% | 5.10% |
| 180-210 days | 6.25% | 6.75% | 6.85% |
| 211 days-1 year | 6.50% | 7.00% | 7.10% |
| 1-2 years | 6.70% | 7.20% | 7.30% |
| 2-3 years | 6.85% | 7.35% | 7.45% |
| 3-5 years | 6.50% | 7.00% | 7.10% |
| 5-10 years | 6.50% | 7.00% | 7.10% |
| Amrit Vrishti (444 days) | 6.85% | 7.35% | 7.45% |
*Rates are indicative and subject to periodic revision by SBI
Calculation Example
For an investment of Rs. 1,00,000 in a 210-day FD:
- General Public: Rs. 1,00,000 × 6.25% × (210/365) = Rs. 3,596 interest
- Senior Citizens: Rs. 1,00,000 × 6.75% × (210/365) = Rs. 3,884 interest
The maturity amount would be Rs. 1,03,596 and Rs. 1,03,884 respectively (before TDS).
Advantages of SBI FD Investment
Guaranteed Returns: FDs offer predetermined returns regardless of market fluctuations, making them ideal for risk-averse investors.
Flexible Tenure: SBI offers tenures from 7 days to 10 years, allowing investors to choose based on their liquidity needs.
Easy Renewal: Auto-renewal facility is available for seamless reinvestment.
Branch Network: With India’s largest branch network, SBI ensures easy access and customer service.
Things to Consider
Inflation Impact: While FDs offer security, returns may not always beat inflation, especially in current economic scenarios.
Interest Rate Risk: If market rates increase after investment, FD holders cannot benefit from higher rates until maturity.
Liquidity Constraints: Early withdrawal attracts penalties, though partial withdrawal isn’t allowed in regular FDs.
Alternative Investment Options
For investors seeking higher returns, SBI also offers:
- SBI Mutual Funds: For market-linked returns
- SBI Life Insurance Plans: Combining investment with life cover
- SBI Gold ETF: For gold investment exposure
Conclusion
The SBI 210-day FD scheme represents an excellent middle-ground investment option for those seeking stable returns with moderate liquidity. With competitive interest rates, especially for senior citizens, and the backing of India’s most trusted bank, it offers a secure investment avenue. However, investors should consider their risk appetite, financial goals, and tax implications before making investment decisions.
The scheme is particularly suitable for short-term financial goals, emergency fund creation, or parking surplus funds temporarily while exploring other investment opportunities. With SBI’s robust digital infrastructure and extensive branch network, investing in and managing FDs has become more convenient than ever.
Frequently Asked Questions
Q: What is the minimum amount required to invest in SBI FD schemes?
A: The minimum investment amount is Rs. 1,000 with no maximum limit for retail deposits.
Q: Can I withdraw my FD before maturity without penalty?
A: Premature withdrawal is allowed but attracts penalties of 0.5% for deposits below Rs. 5 lakh and 1% for higher amounts.
Q: Are SBI FD interest rates the same for all customers?
A: No, senior citizens get an additional 0.5% interest, and super senior citizens get an extra 0.6% over regular rates.
