State Bank of India (SBI) has launched a 444-day term deposit scheme, “Amrit Vrishti”, with an interest rate of 7.25 per cent.
This scheme is available to domestic and non-resident Indian customers and will be effective July 15, 2024. India’s largest bank will offer an additional 0.50 per cent to senior citizens on the scheme.
“The “Amrit Vrishti” scheme is available for investment until March 31, 2025, providing ample opportunity for retail investors to take advantage of the higher interest rates,” the bank said in a statement.
Dinesh Kumar Khara, Chairman of SBI, said the new variant of of term deposit scheme is designed to meet the requirements of a diverse range of customers.
Depositors can invest in the scheme through various convenient channels - SBI branches, YONO SBI and YONO Lite (mobile banking apps), and SBI internet banking (INB). This ensures flexibility and caters to both online and offline transactions.
The Bank’s earlier term deposit scheme (Amrit Kalash) had a tenor of 400 days and offered 7.10 per cent interest.
SBI is offering higher interest rates on term deposits to attract depositors as deposit growth is lagging behind credit growth.
Currently, the highest interest rate that the bank offers on a retail domestic term deposit (below ₹3 crore) is 7 per cent on a 2 years less than 3 years maturity bucket.