SBI’s 5-Year FD: See How Much You’ll Earn on ₹5 Lakh & ₹10 Lakh—The Returns Will Surprise You!

Investing in a Fixed Deposit (FD) with the State Bank of India (SBI) is one of the safest and most rewarding options for conservative investors. Whether you’re saving for a secure future or looking for guaranteed returns, SBI’s 5-year FD offers competitive interest rates that ensure steady growth of your money.

In this article, we break down how much you can earn on deposits of ₹5 lakh and ₹10 lakh over five years with SBI. You’ll also learn about SBI FD interest rates, maturity benefits, tax implications, and how to open an FD step-by-step.

Also Check: The government gives different interest on every small saving scheme, SSY, PPF or which scheme should you invest in

SBI 5-Year Fixed Deposit Interest Rates 2025

As of February 2025, SBI offers the following interest rates for fixed deposits of 5 years:

• General Public: 6.50% per annum
• Senior Citizens: 7.50% per annum

These rates are subject to periodic revision, so checking SBI’s official website for updated information is always recommended.

How Much Will You Earn on SBI’s 5-Year FD?

For the General Public (6.50% p.a.)

• ₹5 Lakh Investment:
  • Interest Earned: ~₹1,90,209
  • Total Maturity Amount: ~₹6,90,209
• ₹10 Lakh Investment:
  • Interest Earned: ~₹3,80,419
  • Total Maturity Amount: ~₹13,80,419

For Senior Citizens (7.50% p.a.)

• ₹5 Lakh Investment:
  • Interest Earned: ~₹2,24,974
  • Total Maturity Amount: ~₹7,24,974
• ₹10 Lakh Investment:
  • Interest Earned: ~₹4,49,948
  • Total Maturity Amount: ~₹14,49,948

Step-by-Step Guide to Open an SBI FD

1. Online Process (Via SBI Net Banking & YONO App)

1. Login to SBI Net Banking or open the YONO SBI App.
2. Navigate to Fixed Deposits (FD) Section.
3. Select “Open a Fixed Deposit”.
4. Choose the tenure (5 years) and enter your investment amount.
5. Select the interest payout option – monthly, quarterly, or at maturity.
6. Review the details and confirm your FD booking.

Also Check: Post Office RD Scheme: If you deposit Rs 1500 every month in the post office, you will get this much return in 5 years, see full details

2. Offline Process (Visiting the SBI Branch)

1. Visit your nearest SBI branch.
2. Fill out the FD application form.
3. Submit the form with KYC documents (Aadhaar, PAN, etc.).
4. Deposit the money via cash, cheque, or account transfer.
5. Collect the FD receipt for future reference.

Taxation on SBI FD Earnings

• Interest earned from SBI FDs is taxable as per your income tax slab.
• TDS (Tax Deducted at Source) of 10% is applicable if interest exceeds ₹40,000 per year (₹50,000 for senior citizens).
• Submit Form 15G/15H if you’re eligible to avoid TDS deduction.
• Use SBI’s TDS Calculator to estimate deductions.

Advantages of SBI’s 5-Year FD

✔ Guaranteed Returns – Your money grows securely without market risks. ✔ Higher Interest for Seniors – Additional 1% interest ensures better earnings. ✔ Loan Against FD – Avail up to 90% of FD value as a loan if needed. ✔ Tax-Saving Option – 5-year FDs qualify for Section 80C tax deductions. ✔ Flexible Payouts – Choose between monthly, quarterly, or cumulative interest.

SBI’s 5-Year FD (FAQs)

1. Is SBI FD safe?

Yes, SBI is a government-backed bank, and your FD is insured up to ₹5 lakh by DICGC.

2. Can I withdraw my FD before 5 years?

Yes, but premature withdrawal may attract penalties, typically 0.50% to 1% reduction in interest.

3. How to check my FD balance?

You can check your FD status online through SBI Net Banking, YONO SBI, or by visiting your branch.

4. Can I auto-renew my FD?

Yes, SBI offers auto-renewal options for seamless reinvestment upon maturity.

Also Check: Post Office NSC Scheme! You can make 43 lakh rupees in just 5 years, know how