SBI Super Plan for Senior Citizen! ₹ 5 lakh deposit plus interest of ₹ 2 lakh, plus tax benefits

SBI Scheme: Amidst inflation and costlier loans, banks have started paying more interest to customers even on deposits. In recent times, public and private sector banks have increased the interest rates on Fixed Deposits of different tenures.

The country’s largest bank SBI has also increased its deposit rates on FDs. In this, regular customers are getting a maximum interest of 6.75 percent and senior citizens are getting up to 7.25 percent. SBI gives extra benefits to senior citizens under ‘SBI Wecare deposit scheme’. The deadline of this scheme has been extended to 31 March 2023.

₹2 lakh interest on ₹5 lakh deposit

SBI WeCare Deposit, a special scheme for senior citizens of SBI, is getting interest of up to 7.25 percent. If he deposits Rs 5 lakh in this scheme, then he will get Rs 7,16,130 on maturity of 5 years. That is, only interest income will be Rs 2,16,130.

In this scheme, apart from 0.50 per cent, 0.30 per cent i.e. a total of 0.80 per cent more interest is being offered to all senior citizens on FDs with tenure of 5 years or more. These interest rates are applicable from December 13, 2022, on deposits of less than Rs 2 crore.

SBI FD: Will get the benefit of tax deduction

Fixed deposits / term deposits of banks are generally considered safe. This is a good option for risk-averse investors. Tax deduction up to Rs 1.5 lakh is available under Section 80C on 5-year tax saving FD. However, the interest earned on FD is taxable. It has a lock in of 5 years. This period can extend up to 10 years. Let us tell you, SBI offers 1% more interest than the existing FD rates to its employees and pensioners.