State Bank of India (SBI), India's largest bank, is catering to senior citizens with its SBI Wecare fixed deposit scheme, offering enhanced interest rates for tenures between 5 and 10 years. This scheme, originally slated to conclude on June 30, has been extended to September 30.
SBI expresses its commitment to senior citizens by launching the 'SBI Wecare' deposit scheme, providing additional interest on term deposits to safeguard their income. This scheme provides a premium of 50 basis points (bps) over the card rate for the general public, totaling 100 bps over the card rate for the general public.
Here are the key features of SBI's Wecare Senior Citizen Fixed Deposit Scheme:
1. Deposit duration: The investment tenures range from a minimum of 5 years to a maximum of 10 years.
2. Eligibility: Only senior citizens aged 60 and above are eligible for this plan, which offers higher fixed deposit interest rates.
3. Interest rate: SBI offers an additional 50 basis points (bps) premium over the card rate for the general public. The interest rate provided on SBI Wecare is 7.50 percent.
SBI's special fixed deposit rates for senior citizens grant a 0.50 percent higher interest rate compared to regular rates. Conventional fixed deposit interest rates at SBI vary from 3.50 percent to 7.50 percent for tenures ranging from 7 days to 10 years.
In addition to SBI, other banks are also providing special deposit schemes for seniors. For instance, HDFC's Special Senior Citizen Care Fixed Deposit offers an extra 0.25 percent interest rate premium, in addition to the existing 0.50 percent premium provided to senior investors on FD accounts. Consequently, investors in the Senior Citizen Care FD scheme earn an overall 0.75 percent higher interest than regular clients.
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