Bank Customer Alert: The State Bank of India (SBI) once again has extended the special fixed deposit scheme for senior citizens. This time, the ‘Wecare senior citizens’ term deposit scheme has been extended till March 31, 2022. Implemented in May 2020, the deadline of this special fixed deposit scheme has been extended on several occasions in view of the ongoing COVID pandemic. The scheme was initially extended till September 2020. But amid the Covid-19 pandemic, the bank has further extended it to March-end next year.
“A special SBI Wecare Deposit for Senior Citizens introduced in the Retail TD segment wherein an additional premium of 30 bps (over & above the existing 50 bps as detailed in the above table) will be paid to Senior Citizen’s on their retail TD for ‘5 Years and above’ tenor only. “SBI Wecare” deposit scheme stands extended till 31th March, 2022,” SBI mentioned on its website.
It must be noted that the special FD scheme for senior citizens offers an additional 30 bps interest rate on their FD for the tenure of 5 years and more.
However, the SBI at present, offers a 5.4% interest rate on five years FD for the general public. If senior citizens put a fixed deposit under the special FD scheme, then the interest rate applicable to the FD will be 6.20%.
Not just SBI, other lenders such as HDFC Bank, Bank of Baroda (BoB) and Axis Bank have also introduced this special FD scheme for senior citizens and extended it several times since then.
Eligibility: Senior citizens above sixty years of age are eligible to invest in SBI’s Wecare deposit scheme.
Interest rates: SBI offers 6.5 percent interest rate for the special FD scheme.
Under the general public, the SBI currently offers 5.4 percent interest rate on their fixed deposits for five years and above.
A senior citizen opting for the general fixed deposit scheme is offered 6.20 percent interest rate.
Tenure: For SBI’s special FD scheme, one can invest for a minimum of five years and a maximum of 10 years.
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