SBI FD Rate: SBI pays a 6.75% interest to senior citizens on a fixed deposit of one yearState Bank of India (SBI) pays interest rates to the tune of 4.5-6.75 per cent to customers on fixed deposits up to Rs 2 crore.
These fixed deposits, also known as retail term deposits, are available in eight maturity options ranging from seven days to 10 years at the country's largest bank.
SBI pays higher interest rates to senior citizens among itsdepositors.
For example, on a fixed deposit up to Rs 2 crore of one year, SBI pays interest at the rate of 6.25 per cent to non-senior citizen customers and 6.75 per cent to senior citizen customers, according to its corporate website - sbi.co.in.
(: Compare Bank FD Rates Paid By Peers Here)SBI Fixed Deposit RatesMaturity PeriodInterest Rate (With Effect From November 10)PublicSenior CitizenSeven to 45 days4.50%5%46 to 179 days5.50%6%180 to 210 days5.80%6.30%211 days to less than one year5.80%6.30%One year to less than two years6.25%6.75%Two years to less than three years6.25%6.75%Three years to less than five years6.25%6.75%Five years and up to 10 years6.25%6.75%(Source: sbi.com)Investment in fixed deposits with a maturity period of five years offers income tax benefit up to Rs 1.5 lakh per financial year under Section 80C of the Income Tax Act.
Interest income, however, is subject to income tax.