SBI FD: Everyone wants to save money. In addition to fulfilling their immediate needs, individuals also set aside savings for the future, which is crucial. Some choose to deposit money in banks, while others opt for insurance policies or different saving methods. If you are a senior citizen, it’s worth checking the interest rates on fixed deposits (FDs) at the State Bank of India (SBI), as they provide extra interest rates specifically for seniors. Let’s explore this further…
What does SBI offer for FD interest?
- The State Bank of India (SBI) is providing its customers with attractive interest rates on fixed deposits.
- This offer is exclusively for senior citizens, defined as individuals over 60 years old.
- The bank grants additional interest on FD accounts.
What interest can you expect on a 12-month FD?
To benefit from this FD, it must be for a duration of 12 months. Only senior citizens will enjoy the interest benefits on this FD. The interest rate is determined by age. For instance, if you are 59 years old and your FD is for 12 months, you will receive an interest rate of 6.25 percent. In contrast, customers aged 60 and above will earn an interest rate of 6.75 percent on a 12-month FD. Additionally, individuals aged 80 years and older are offered a 6.85 percent interest rate on 12-month fixed deposits.
What additional interest do senior citizens receive?
Senior citizens are enjoying higher interest rates compared to others on FDs at the State Bank of India. They are receiving an extra 0.50 percent interest on FD accounts. Furthermore, very senior citizens (those aged 80 years and above) are granted an additional 0.10 percent interest over the rates for senior citizens.
The State Bank of India last updated its fixed deposit scheme interest rates in December 2025. Since that time, there have been no significant alterations to the interest rates that SBI offers on FD accounts. The Reserve Bank of India (RBI) has announced today that it will maintain the repo rate for the fourth consecutive time.
The last adjustment made by the RBI was a reduction of 0.25 percent to 5.25 percent in December 2025. Since then, the repo rate has stayed the same. It’s important to understand that when the repo rate is lowered, both loan interest rates and fixed deposit (FD) interest rates tend to decrease. Conversely, when the repo rate is raised, both loan interest rates and fixed deposit interest rates increase.