State Bank of India is one of the leading and biggest banks in India. Due to the Covid19 pandemic, many customers have stopped going to the bank branches for their banking needs. So how do they do SBI FD Online now?
Well, there is an easy way of doing SBI FD online through net banking. This can be done by sitting at your home quickly. We will go through the process of doing online SBI FD in this article.
Before we move ahead, let’s check the current fixed deposit interest rates of SBI.
SBI FD Interest Rates
Below is the table showing domestic term deposit interest rates.
|Tenure||Interest Rate||Interest Rates for Senior Citizen|
|7 days to 45 days||2.90||3.40|
|46 days to 179 days||3.90||4.40|
|180 days to 210 days||4.40||4.90|
|211 days to less than 1 year||4.40||4.90|
|1 year to less than 2 year||5.00||5.50|
|2 years to less than 3 years||5.10||5.60|
|3 years to less than 5 years||5.30||5.80|
|5 years and up to 10 years||5.40||6.20|
|– From 08.01.2021|
Benefits of SBI Fixed Deposits
- Flexible deposit amount and period
- Interest payment can be monthly/quarterly/yearly
- Additional 0.50 interest rate for senior citizens
- Tenure stars from 7 days and lasts up to 10 years
- The minimum deposit amount is ₹. 1000
- No upper limit of the fixed deposit amount
- One can add a nominee for the fixed deposit
- One can break the FD and do premature withdrawal in case of any emergency
- Option for auto-renewal at maturity
- One can avail of a loan of up to 90% of the FD amount
Types of SBI Fixed Deposits
The fixed deposits from SBI bank offers various option to cater the different needs of the people. Let’s check which type of fixed deposits are available with SBI bank.
SBI Fixed Deposit
SBI offers a fixed-term deposit for a specific time period. The tenure of the fixed deposit decides the interest rates for the fixed deposit. Bigger the tenure, the higher the interest rates for the fixed deposit. One can have a deposit tenure from as low as 7 days to as high as 10 years.
If you have some money lying idle in your bank account, it is better to do a fixed deposit for some period for which you think you will not need the money.
If there is any emergency, then you have an option to break the fixed deposit before its maturity date and withdraw the money you have invested in the fixed deposit. In such cases, there will be a lower interest rate applicable to the amount you have deposited.
SBI Flexi Deposit Scheme
As the name suggests Flexi deposit is the scheme where there is a facility of depositing variable deposit instead of a fixed installment.
This option will help the customers to do long-term deposits for higher returns and at the same time, they have the flexibility of choosing the deposit amount.
This one is a kind of a variable recurring deposit scheme wherein the customer has to deposit a certain amount every month into the account.
The tenure for this kind of deposits starts at minimum of 5 years and go up to maximum of 7 years.
There is also a limit for deposited amount, minimum is ₹ 500 and maximum is ₹. 50000 in a financial year. This Flexi deposit account can be transferrable across all SBI branches in India. The account holder can suggest a name for the nominee for this account.
Annuity Deposit Scheme
Under this deposit scheme, you have to pay a lump sum amount one time and you will get the amount back in Equated Monthly Instalments (EMIs). The amount which you will get return periodically will be a mix of the principal amount and interest earned on the principal amount.
The interest rates applicable here will be quarterly interest rates of the bank. Interest will be paid on the reducing principal amount compounded at quarterly rates and discounted to the monthly value.
The period of deposit is available from 36/60/84 or 120 months. The minimum amount of deposit should not be less than ₹ 25000. Payment of annuity On the anniversary date of the month following the month of deposit.
Annuity payment, net off TDS will be paid to the linked saving bank account. The customer can suggest a nominee for this deposit account.
How to do SBI FD Online?
Once you have decided which type of fixed deposit you want to do with SBI, the next step is to go online and do it yourself. It is very easy to do SBI FD online. You just need your net banking user ID and password to do FD online.
Below is the step-by-step process of doing SBI FD Online.
- Go to SBI Website.
- Log in with your net banking user ID and password.
- Go to the fixed deposit tab.
- You will find e-TDR/e-STDR options there. (TDR = Term Deposit & STDR = Special Term Deposit).
- Select the option you want to go for.
- Enter the fixed deposit amount.
- Select the tenure for which you want to do a fixed deposit.
- Select the maturity instruction. (like withdrawal or auto-renewal).
- Click on the terms and conditions check box.
- Click on the submit button.
- Your term deposit will be generated with all the details you have filled up.
- Check all the details you have filled up and click on the OK button.
- Your fixed deposit is not done and PDF is generated as proof.
- You can download the PDF copy for your future reference.
Documents Required for opening a fixed deposit with SBI.
- Aadhar card/PAN card
- Passport size photo
- Residential address proof
- Proof of age
- Proof of Income
Should you do SBI FD Online?
Well, that depends on the individual as one has to decide that when money can be needed in the future. Based on the requirement of money one has to decide whether go for a fixed deposit of not.
If you ask me, I never do fixed deposit in any bank. I always invest the residual money in to quality stocks and mutual funds based on my future requirement of the money.
Currently, the interest rates for fixed deposits are all time low and there are many other investment avenues available which can give better returns than the fixed deposits.