Unlock a golden opportunity to grow your savings with a limited-time offering from India’s leading bank. Designed to benefit a wide range of customers, this new scheme combines attractive returns with a special advantage for seniors.
On July 16, the State Bank of India unveiled its latest term deposit scheme, “Amrit Vrishti,” offering an appealing interest rate for a 444-day tenure, effective from July 15, 2024. This scheme is available to both domestic and non-resident Indian customers, with senior citizens enjoying an additional interest benefit. Investments in this scheme can be made until March 31, 2025.
What Is SBI Amrit Vrishti Scheme?
The SBI Amrit Vrishti Scheme is a term deposit plan by the State Bank of India. This special scheme offers an attractive interest rate for a fixed deposit with a tenure of 444 days. It is designed to cater to both domestic and non-resident Indian (NRI) customers, with an additional interest rate benefit specifically for senior citizens.
Eligible Deposits
i) Domestic retail term deposits including NRI Rupee term deposits (< Rs 3 crore)
ii) New and renewal of existing deposits
iii) Term deposit and special term deposit only
Exclusions:
i) Other products i.e., recurring deposits, tax savings deposits, annuity deposits, MACAD, multi-option deposits (MODs), capital gains schemes etc.
ii) NRI deposits of staff and senior citizens.
SBI Amrit Vrishti Scheme Minimum Amount
The minimum investment for an SBI Fixed Deposit is Rs 1,000, with no upper limit on the amount you can invest.
SBI Amrit Vrishti Deposit Scheme Interest Rate
Interest Rate: 7.25% per annum
7.75% per annum for senior citizens
Payment of Interest
i) Term deposits – At monthly/ quarterly/half-yearly intervals, special term deposits- on maturity
ii) Interest, net of TDS, is credited to the customer’s account
Tax Deduction at Source (TDS)
The interest earned on a FD is taxable according to the income tax slab applicable to your income.
Premature Withdrawal
i) For retail term deposits up to Rs 5 lakhs, the penalty for premature withdrawal will be 0.50% (all tenures).
ii) For retail term deposits above Rs 5 lakhs but below Rs 3 crores, the applicable penalty will be 1% (all tenures)
iii) There is no discretion for reduction/waiver of penalty for premature withdrawal of term deposits.
iv)The interest will be 0.50% or 1% below the rate applicable on the date of deposit for the period the deposit remained with the bank or 0.50% or 1% below the contracted rate, whichever is lower for retail term deposits up to Rs 5 lakhs and above Rs 5 lakhs respectively.
However, no interest will be paid on deposits that remained with the bank for less than 7 days.
v) No premature penalty will be levied on staff and SBI pensioners’ deposits. The interest rate to be paid on premature withdrawal of term deposits by staff and SBI pensioners will be the same as applicable for the period the deposit has remained with the bank.
Loan Facility: Available
SBI Amrit Vrishti Scheme Last Date
The scheme is available for investment until March 31, 2025, and provides a limited-time opportunity for customers to grow their savings at a competitive interest rate while enjoying the security of a fixed deposit.
How To Invest In the SBI Amrit Vrishti Scheme?
Interested individuals can invest in the scheme through various channels – SBI branches, YONO SBI and YONO Lite (mobile banking apps), and SBI internet banking (INB).
No separate product codes are required for the Amrit Vrishti deposit. On selection of a specific tenure of 444 days in the period of deposits field, the bank system will auto-pick up this scheme.
Should You Invest?
Amrit Vrishti scheme has a short investment period of 444 days, with no option to renew at the same rate. This makes it better suited for investors with short-term goals, rather than those looking for sustainable returns over the long haul. For long-term wealth generation, such as over a decade or more, this scheme may fall short of expectations.
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