Interest Rate of SBI

Are you aware of the Interest Rate of SBI(State Bank Of India)? If you are looking for higher returns at the end of the year, let me clear you that recently SBI has changed interest rates of various deposits schemes. And it’s not good news as this is the second time in a month when SBI cut rates of different deposit schemes.

There is a 40 basis points(bps) cut on Fixed Deposit Plans. All the interest rates are applicable from today onwards i.e. 27 May 2020. The bank also decreased the interest rate of large deposits (2 crores or above) by approximately 50bps.

New Fixed Deposit Rates for General Citizens of India

Interest Rate of SBI

SBI has announced new interest rates for the general citizens of India. The Fixed Deposit Plans can be further divided into five parts based on their duration. Here is the list of interest rates of SBI for different intervals of deposits –

  1. FD Duration – 7 to 45 days
    Interest Rate – 2.9 %
  2. FD Duration – 46 to 179 days
    Interest Rate – 3.9 %
  3. FD Duration 180 days to less than 1 year
    Interest Rate – 4.4 %
  4. FD Duration – 1 to 3 years
    Interest Rate – 5.1%
  5. FD Duration – 3 – 5 years
    Interest Rate – 5.3%
  6. FD Duration – 5 – 10 Years
    Interest Rate – 5.4%

Fixed Deposit Rates for Senior Citizens of India

SBI has different interest rates for senior citizens of the country. The bank pays bit higher interest rates for senior citizens of the country. So here is the list of interest rates of SBI for senior residents of the country –

  1. FD Duration – 7 to 45 days
    Interest Rate – 3.4 %
  2. FD Duration – 46 to 179 days
    Interest Rate – 4.4 %
  3. FD Duration – 180 – 210 days
    Interest Rates – 4.9 %
  4. FD Duration – 211 to less than 1 year
    Interest Rate – 4.9 %
  5. FD Duration – (1- 2) year
    Interest Rate – 5.6 %
  6. FD Duration – (2 – 3) years
    Interest Rate – 5.6 %
  7. FD Duration – 3 to less than 5 years
    Interest Rate – 5.8 %
  8. FD Duration – (5 – 10) years
    Interest Rate – 6.2 %

Earlier on May 12 SBI has already decreased interest rates by 20 bps amounts which are deposited for 3 years. Also, the bank has already cut by 20-50 bps on Fixed Deposits in the month the march.


Benefits of SBI Fixed Deposits

1. The bank offers higher interest rates to senior citizens of the country.

2. SBI is providing almost competitive FD returns with higher security.

3. The bank is also giving automatic FD renewal choices to its customers.

4. Also, there is no restriction on the max deposit amount by Bank.


EMI relaxation for Borrowers

The largest bank of India has also announced a relief package plan a few days before for its customers. On 22 May the bank released news reveling increment of a three-month moratorium on EMIs. It means that the lenders don’t have to pay loan installment amounts for an interval of the next three months.

This was the second chance when the bank extended the loan repayment duration for three months. Overall there is no need to pay loan installments during this coronavirus pandemic i.e. from 1st March to 31st August.

Also, read…Why HDFC Bank is the Largest Private Sector Bank In India in 2020?

Interest Rate of SBI on Home Loans

Interest Rate of SBI

SBI is also providing home loans at reasonable interest rates. The home loan EMI rates can be mainly divided into 5 parts. The bank is providing 0.05% extra off for women borrowers on price amounts.

Here is the list of the interest rate of SBI on all amounts for Male lenders

1. Loan Amount – up to 30 lakh
EMI Installment Rate

  • Male – 7.40 %
  • Female – 7.35 %

2. Loan Amount – (30 – 75) Lakhs
EMI Installment Rate

  • Male – 7.65%
  • Female – 7.60%

3. Loan Amount – 75 lakhs to 1 Cr

EMI Installment Rate

  • Male – 7.75 %
  • Female – 7.70%

4. Loan Amount – Above 1 Cr
EMI Installment Rate

  • Male – 7.75%
  • Female – 7.70%


Benefits of SBI Home Loans

1. SBI offers home loans to both job and self-employed persons.

2. The bank offers a bit more relaxed rates to female borrowers.

3. The loans are delivered to people lying between the age group of 18 years to 70 years.

4. Interest rates are not very high.

5. The loan can be paid in installments for up to 30 years.


Interest Rate of SBI on Business Loans

Interest Rate of SBI

The Bank has also updated business loan rates for lenders. People who are seeking to start their own business can check which plan is best for them. The bank is providing loans at different rates depending on their occupation, loan amount.

The loan interest rate is starting from 11.20 % which is up to 16.30%. The processing fee charges between 2% to 3%. The loan amount can be repaid with an interval ranging from 12 months to 48 months. The lowest EMI cost per lakh is 2594 Rupees. The bank has also fixed the minimum loan amount which is 5 lakhs as well as the biggest loan amount which 5 crores.


Benefits of SBI Business loans :

1. The application process is very easy and fast.

2. Fewer documents are needed for the approval of the loan.

3. The loan doesn’t need any guaranteed documents.

4. Interest Rates are not very high.

5. Returning period is large.


Here is the latest news about new Interest Rates of SBI :

So, these are the new interest rate of SBI which help to plan deposits on better plans. I hope your all confusion regarding interest rates would be clear.

Source: Economic Times

Also, read…Why HDFC Bank is the Largest Private Sector Bank In India in 2020?


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