SBI (State Bank of India), the country’s largest public sector bank, has launched a unique scheme for its customers called “Har Ghar Lakhpati.” This is a recurring deposit (RD) plan. Through this scheme, investors can accumulate a large corpus by making small monthly savings. Senior citizens will benefit even more from this scheme, as they will receive higher interest rates than ordinary investors.
A great opportunity to build a large corpus from small savings
This scheme is targeted at investors who plan to build a large corpus by depositing a fixed amount each month into the “Har Ghar Lakhpati” RD account. The maturity period of this RD scheme ranges from 3 to 10 years. Simply put, investors can invest in this SBI scheme for a period of 3 to 10 years. Upon maturity, small savings, along with interest, are returned to the investor as a large sum, which can be used to fund children’s education, marriage, or other essential needs.
Age Limit and Eligibility for Opening an Account
Regarding the age limit for opening an account under the ‘Har Ghar Lakhpati’ scheme, everyone, from children to senior citizens, can easily open an account under this scheme. According to the scheme’s terms and conditions, children aged 10 years and above who can invest on their own are eligible. However, accounts for younger children can be opened with their parents or legal guardians.
Highest Interest Rate Up to 7.25%
Regarding the interest rates on investments in this special SBI RD scheme, these rates vary depending on the customer and the maturity period. Under this scheme, general investors are offered an interest rate of 6.75%, while senior citizens are offered a fixed interest rate of 7.25% per annum on investments under the ‘Har Ghar Lakhpati’ scheme. If an SBI employee invests in this scheme, they can earn attractive interest rates of up to 8%.
How to get ₹1 lakh by depositing just ₹591 monthly
State Bank launched this scheme to encourage people to accumulate a large corpus through small monthly savings.
If an investor wishes to deposit ₹1 lakh and chooses a maturity period of 3 years, they will need to save ₹2,500 every month for three years. Adding interest, they will receive ₹1 lakh at maturity.
Now, suppose the customer chooses a long-term maturity period (MTPR) of 10 years; they will need to invest only ₹591 every month.
The monthly installment payable by the customer under the SBI Har Ghar Lakhpati RD scheme will be calculated based on the interest rate applicable at the time of account opening. Account holders can open an account under this scheme by visiting their nearest SBI branch.
Missed installment penalties and account closure rules
If monthly installments are delayed, a penalty is applicable. Under this scheme, a late fee of ₹1.50 to ₹2 per ₹100 may apply. It is important to note that if an investor fails to deposit the required six installments, their account will be closed and the deposited amount will be transferred to their savings account. This ensures that only regular investors can avail themselves of the benefits of the scheme.