SBI Tax Saving Fixed Deposit Scheme

The Tax Saving Fixed Deposit of SBI allows individuals to earn a competitive rate of interest on lump-sum contributions while simultaneously providing tax benefits under Section 80C of the Income Tax Act. This type of fixed deposit comes with a lock-in period of five years with a maximum investment amount upto Rs.1.5 lakhs.

The post covers information on the features of SBI Tax Saving FD, eligibility, application process and the latest SBI tax saving FD interest rates.

Features of Tax Saving Fixed Deposit of SBI

The table below highlights the important features of SBI Tax Saving Fixed Deposit:

Eligibility Criteria for Tax Saving Fixed Deposit of SBI

Given below are the eligibility criteria required to apply for State Bank of India Tax Saving FD:

• The applicant should be an Indian citizen and over 18 years of age.
• Hindu Undivided Families (HUFs) are also eligible for SBI Tax Saver FD.

Documents Required to Apply for SBI Tax Saving Fixed Deposit

Individuals who wish to open an SBI Tax Saver Fixed Deposit must present the following documents:

• Application form.
• Identification and evidence of address (Passport, Voter Card, Driver's License, Aadhaar Card, NREGA Card, and PAN Card are some of the acceptable documents).
• 2 passport size photographs.

 Individuals can also contact the customer service department of SBI for more information on the documents that are needed for opening a tax-saver term deposit account.

How to Apply for SBI Tax Saving Fixed Deposit (FD)?

Given below is the step-by-step process to apply for the scheme online:

Step 1: Log in to the Online SBI Banking Portal

The user would have to log on to the SBI Online Banking with a username and password.

Step 2: Click on e-fixed Deposit.

On the home page, the user would go to the top menu and then click on the e-fixed deposit.

Step 3: Click on the option e-TDR/ e-STDR

The user would now have to click on e-TDR/ e-STDR, which will be under the Income Tax Saving scheme option, and then continue to click the proceed option.

Step 4: Select the Account

The users need to select the account from where the amount needs to be debited, then type on FD amount and if needed - also click on the account.

Step 5: The Terms and Conditions

The user needs to select the right cumulative or non-cumulative FD, choose the needed tenure, accept the terms and conditions, give maturity instructions and then click on the option that says submit.

Step 6: The Confirmation Message

The confirmation message will be displayed on the screen.

SBI Tax Saving FD Interest Rate 2024

The current interest rate for SBI tax saving fixed deposit are mentioned below. Please note that these interest rates are subject to change as per the bank’s preference.

Terms and Conditions of SBI Tax Saving Scheme

• Based on the official portal of SBI, the terms and conditions applicable for the SBI Tax Saving scheme are as the following:
• No term deposit will be encashed before the expiry of the lock-in period of five years from the date of that receipt.
• After completing the five years tenure, premature closure would be allowed according to the terms and conditions applicable to the term deposit.
• In the case of death of the account holder, the nominee, legal heirs, could withdraw deposits at any time before or after maturity.
• In the case of death of the first account holder in the joint account, the other holder would be entitled to withdraw the deposit before maturity. The bank will pay interest at the rate that is applicable for the period the deposit has run without any penalty.