The State Bank of India offers a wide array of deposit schemes tailored to both short-term and long-term investment goals for individuals. As India's largest bank, SBI has a reputation for reliable returns, earning consumer trust over the decades.

SBI RD Interest Rates: The bank provides attractive RD interest rates with a minimum deposit starting at Rs. 100. Accounts can be opened for periods ranging from 7 days to 10 years, matching varied financial goals.

SBI's rates for deposits under Rs. 2 crores range between 5.00% and 5.40%. Senior citizens enjoy an additional 0.50% interest on the standard rates.

Eligibility for SBI RD Account

To open a Recurring Deposit (RD) with SBI, the eligibility criteria include:

• Indian residents or members of a Hindu Undivided Family.
• Non-Resident Indians can open an NRE or NRO account.
• Minors can open an RD under legal guardianship.

Document Requirements

Documents needed for SBI RD initiation include:

Identity Verification:

1. Voter ID or Aadhaar card
2. PAN card
3. Government ID
4. Ration card
5. Senior citizen ID

Address Verification:

1. Passport
2. Telephone or electricity bill
3. Bank statement with a cheque
4. Post office ID card

Types of SBI Recurring Deposit Schemes

SBI offers three types of RDs: Regular, Holiday Savings Account, and Flexi Deposit Scheme.

• SBI Regular RD: A popular option with a minimum monthly deposit of Rs. 100, available for 1 to 10 years.
• SBI Holiday Savings Account: Designed for travel savings with EMI-based deposits for Thomas Cook travel packages.
• SBI Flexi Deposit Scheme: Offers flexible monthly deposits with an annual deposit range of Rs. 5000 to Rs. 50,000, available for 5 to 7 years.

Premature Withdrawal of RD

SBI allows premature withdrawal from RD accounts with a nominal penalty but doesn't permit partial withdrawals.

Steps to Close SBI RD Online:

1. Log into your SBI net banking.
2. Select 'e-RD' under 'Fixed Deposit'.
3. Opt to 'Close A/c' and follow the prompts.
4. Confirm with your 'High-Security Password'.
5. Receive closure confirmation.

Tax Exemptions on SBI RD

Tax Deducted at Source (TDS) applies if interest from RD and FD exceeds Rs. 40,000 (Rs. 50,000 for senior citizens). Submit Form 15G/15H if below the tax limit to avoid deductions.

Opening an SBI RD Account

To open an RD:

• Visit an SBI branch with documents and complete an RD form.
• Use SBI online net banking if you're an existing customer.

Calculating RD Maturity

The maturity amount is influenced by initial deposit, rate of interest, tenure, and TDS. Use the SBI RD calculator to estimate.

The formula is A = P(1 + r/n) ^ nt where 'A' is the amount, 'P' the principal, 'r' the rate, 'n' compounding frequency, 't' the tenure.