FD Scheme: State Bank of India (SBI) has relaunched its special Fixed Deposit scheme ‘Amrit Kalash’ for retail customers. According to SBI’s website, this 400-day fixed deposit offers a rate of 7.1 per cent for general customers and 50 basis points (bps) higher (7.6 per cent) for senior citizens.
The website states that over a tenure of 400 days, the interest rate the customer will receive is an effective interest of 7.29 per cent, if the interest is not withdrawn and is compounded quarterly. The annual yield for senior citizens will be 7.82 per cent.
This Fixed Deposit was first introduced in FY22-23 from February 15, 2023 to March 31, 2023. Now, the bank has relaunched the scheme from April 12, 2023 to June 30, 2023.
SBI Wecare
Currently, SBI is offering a maximum interest rate of 7 per cent for fixed deposits ranging from two years to less than three years, while the highest interest rate for senior citizens is 7.5 per cent for the same period as well as longer tenures. This is under the ‘SBI Wecare’ Fixed Deposit scheme with a deposit tenure of 5-10 years.
Whereas, interest under Amrit Kalash will be payable on monthly, quarterly or half-yearly basis. One can get the interest all together on maturity itself. TDS will be deducted at the tax slab rate applicable to the depositor under the Income Tax Act, 1961. The bank will credit the interest net of TDS to the customer’s account at the end of the tenure.
Can get interest every month
Investors in Amrit Kalash Yojana can take interest on monthly, quarterly and half-yearly basis. The maturity interest on this special FD deposit will be credited to the customer’s account after deducting TDS. TDS will be levied at the rate applicable under the Income Tax Act. Premature and loan facility is also available in Amrit Kalash Yojana.
