SBI RD Scheme: Looking for a secure and rewarding way to save money regularly? The SBI Recurring Deposit (RD) scheme could be your perfect solution. With guaranteed returns and flexible tenure options, the SBI RD scheme allows you to build a substantial corpus over time—even with small monthly investments. In this article, we break down how much you need to deposit every month to earn ₹2,48,465 and how you can get started today.
What is the SBI RD Scheme?
The SBI Recurring Deposit scheme is a government-backed savings option offered by the State Bank of India, where individuals can deposit a fixed amount every month for a predetermined tenure and earn interest at prevailing rates. It’s an ideal investment choice for salaried individuals and those looking for disciplined savings.
Key Features of SBI RD:
- Flexible tenure ranging from 12 months to 120 months
- Monthly deposit starting as low as ₹100
- Attractive interest rates (as per prevailing fixed deposit rates)
- Guaranteed returns with zero market risk
- Premature withdrawal facility (with applicable penalty)
- Loan and overdraft facility available against RD balance
How Much Should You Deposit to Earn ₹2,48,465?
To accumulate ₹2,48,465 at the end of your SBI RD tenure, the amount you need to deposit monthly depends on the interest rate and tenure you select. Below is a table illustrating different combinations of monthly deposits and tenures to achieve this goal.
Table 1: Monthly Deposit Required to Reach ₹2,48,465 (Assumed Interest Rate: 7.10% p.a.)
| Tenure (in Months) | Monthly Deposit (Approx.) | Maturity Amount | Interest Earned |
|---|---|---|---|
| 60 (5 Years) | ₹3,500 | ₹2,48,465 | ₹38,465 |
| 48 (4 Years) | ₹4,400 | ₹2,48,682 | ₹36,482 |
| 36 (3 Years) | ₹6,050 | ₹2,48,618 | ₹30,418 |
| 30 (2.5 Years) | ₹7,380 | ₹2,48,730 | ₹26,530 |
| 24 (2 Years) | ₹9,300 | ₹2,48,415 | ₹24,015 |
| 18 (1.5 Years) | ₹12,500 | ₹2,48,580 | ₹23,080 |
| 12 (1 Year) | ₹20,050 | ₹2,48,600 | ₹9,000 |
Note: Actual interest rates may vary. Calculations are approximate.
SBI RD Interest Rates 2025
Interest rates on SBI RD schemes are the same as those offered on Fixed Deposits (FDs). As of March 2025, the interest rates are:
Table 2: SBI RD Interest Rates (for General Public)
| Tenure | Interest Rate (p.a.) | Senior Citizen Rate |
|---|---|---|
| 1 Year | 6.80% | 7.30% |
| 2 Years | 7.00% | 7.50% |
| 3 Years | 7.10% | 7.60% |
| 5 Years | 7.10% | 7.60% |
| 10 Years | 7.00% | 7.50% |
Senior citizens get an additional 0.50% interest on deposits above 5 years.
Benefits of Investing in SBI RD
SBI RD not only offers peace of mind but also helps inculcate the habit of regular saving. Here are some top benefits:
- Assured Returns: Your maturity amount is fixed and not affected by market fluctuations.
- Low Investment Barrier: Start saving with as little as ₹100 per month.
- Ideal for Short & Medium Term Goals: Great for saving towards travel, education, or emergencies.
- Easy to Open & Manage: Open online through SBI net banking or YONO app.
- Loan Facility: Get up to 90% of RD value as a loan if required in emergencies.
See more : Post Office NSC Scheme
Who Should Invest in SBI RD Scheme?
This scheme is suitable for:
- Salaried individuals seeking a disciplined monthly saving plan
- Retirees looking for safe investment options with stable returns
- Students or early jobbers saving for short-term goals
- Anyone looking for a fixed and secure saving option
How to Open an SBI RD Account?
Opening an RD account with SBI is a simple process. You can do it either online or offline.
Online Process:
- Login to SBI Internet Banking or YONO app
- Go to ‘e-RD/e-SBI Flexi Deposit’ section
- Choose your RD type, amount, tenure, and start date
- Confirm and submit your application
Offline Process:
- Visit your nearest SBI branch
- Fill out the RD application form
- Submit KYC documents if required
- Deposit the first installment
SBI RD vs Fixed Deposit: Which is Better?
While both are fixed-income investment products, they cater to different needs.
Table 3: SBI RD vs FD Comparison
| Feature | SBI RD | SBI FD |
|---|---|---|
| Investment Type | Monthly deposits | One-time lump sum |
| Minimum Amount | ₹100 per month | ₹1,000 |
| Ideal For | Regular savers | One-time investors |
| Interest Rate | Same as FD | Same as RD |
| Liquidity | Can withdraw prematurely | Can withdraw prematurely |
| Loan Against Deposit | Yes | Yes |
If you have a lump sum, go for FD. If you want to build wealth gradually, RD is perfect.
Taxation on SBI RD Scheme
- Interest earned is taxable under “Income from Other Sources.”
- TDS (Tax Deducted at Source) is applicable if interest exceeds ₹40,000 (₹50,000 for senior citizens) in a financial year.
- You can submit Form 15G/15H to avoid TDS if your income is below the taxable limit.
Tips to Maximize RD Returns
- Start Early: The earlier you start, the more you save.
- Choose Longer Tenure: Longer tenure benefits from compounding.
- Avoid Premature Withdrawal: Breaking the RD early results in lower interest.
- Use Auto Debit: Ensures you never miss an installment.
The SBI RD scheme is a trustworthy and practical saving tool for anyone looking to grow their money steadily. Whether you want to save for a dream vacation, children’s education, or create an emergency fund, RD provides a structured, low-risk path to meet your financial goals. And as you’ve seen, earning ₹2,48,465 is entirely possible with planned monthly investments. Start today and let your money work for you.
Interest rates and returns mentioned in this article are subject to change based on RBI guidelines and SBI’s internal policies. Please check the official SBI website or visit your nearest branch for the latest updates. This article is intended for informational purposes only and does not constitute financial advice.