State Bank of India (SBI) has announced an extension of its SBIWeCare deposit scheme for senior citizens, now available until March 31, 2024. This special fixed deposit (FD) program offers an attractive interest rate of 7.50% for periods ranging from five to ten years. The extended scheme applies to both new deposits and renewals, providing a lucrative opportunity for seniors looking to secure higher returns on their investments.
The SBIWeCare initiative is part of a broader competitive landscape in the Indian banking sector, where other major banks are also targeting the senior demographic with enhanced FD rates. For instance, HDFC Bank's offer, valid up until November 7, 2023, includes an additional premium of up to 0.25% over the base rate for FDs with a tenure of five years or more. The overall interest rates offered by HDFC Bank fall between 3.5% and 7.75%. HDFC also accommodates depositors by allowing them to submit Form 15G/15H to avoid Tax Deducted at Source (TDS) under Income Tax Rules.
In a similar move, ICICI Bank has set a deadline of April 30, 2024, for their senior citizen FD at a special rate of up to 7.65%, which incorporates a bonus premium of up to an additional .10%. The highest interest rate is available for durations between fifteen months and two years.
These tailored offerings underscore the banking industry's focus on providing senior citizens with more favorable terms to enhance their financial security during retirement. With these extensions and special rates, seniors are given more choices and incentives to invest their savings in fixed deposits, which remain one of the most popular investment instruments in India due to their safety and predictable returns.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.