When it comes to securing your savings with a reliable and stable investment, a Fixed Deposit (FD) is one of the most popular options. Among the leading banks offering competitive FD rates in India, the State Bank of India (SBI) stands out for its attractive interest rates and flexibility. If you’re considering an investment in SBI FDs, understanding their current interest rates, terms, and other benefits is essential.
SBI Fixed Deposit Interest Rates in 2025
SBI offers a wide range of FD schemes to cater to various needs, whether you’re a regular investor, a senior citizen, or an NRI (Non-Resident Indian). The bank offers both regular and special Fixed Deposit options, with varying interest rates depending on the tenure and your profile.
As of 2025, the interest rates for SBI Fixed Deposits range from 3.00% to 6.75% per annum, depending on the deposit tenure. However, senior citizens generally receive an extra 0.50% on the standard FD rates.
Current SBI FD Interest Rates for Different Tenures (2025)
The interest rates for Fixed Deposits at SBI are updated regularly based on market conditions. Here’s a quick look at the SBI FD interest rates for various tenures in 2025:
| Tenure | Interest Rate (General Public) | Interest Rate (Senior Citizens) |
| 7 days to 45 days | 3.00% | 3.50% |
| 46 days to 179 days | 3.25% | 3.75% |
| 180 days to 1 year | 4.00% | 4.50% |
| 1 year to 2 years | 5.25% | 5.75% |
| 2 years to 3 years | 5.50% | 6.00% |
| 3 years to 5 years | 6.00% | 6.50% |
| Above 5 years | 6.25% | 6.75% |
As you can see, the longer the tenure, the higher the interest rate, especially for deposits above 1 year. Additionally, senior citizens receive a special advantage with higher rates.
Why Choose SBI Fixed Deposits?
- Trusted and Established Brand
SBI is India’s largest public sector bank, known for its strong financial stability and reliable service. It has an extensive network of branches across the country, making it convenient for you to open and manage your FD.
- Attractive Interest Rates
SBI FD interest rates are consistently competitive. With interest rates ranging from 3.00% to 6.75% for regular deposits and 3.50% to 7.00% for senior citizens, it offers a good return on investment compared to many other banks.
- Flexible Tenures
Whether you want to park your money for a short period or prefer a long-term investment, SBI offers flexibility with tenures ranging from 7 days to 10 years.
- Safety and Security
SBI FDs are considered one of the safest investment options in India as they are backed by the government. In addition, the interest earned is tax-exempt up to Rs. 10,000 under Section 80TTA (for interest up to Rs. 50,000 for senior citizens).
- Premature Withdrawal Option
While fixed deposits typically lock your money for a set period, SBI allows you to withdraw your FD before maturity with a penalty. This offers flexibility in case of emergencies, though the interest rate may be slightly lower in such cases.
How to Open an SBI Fixed Deposit Online?
In today’s digital age, opening an FD with SBI has never been easier. Here’s a quick guide on how to open an FD online through SBI’s internet banking platform:
- Log in to SBI Online Banking
Visit the official SBI online banking portal and log in using your username and password.
- Navigate to the ‘Fixed Deposit’ Section
Under the ‘e-Services’ section, choose the ‘Fixed Deposit’ option.
- Select the FD Amount and Tenure
Choose the amount you wish to deposit and the tenure that suits your investment needs.
- Confirm the Details
Review the terms, including the interest rate, tenure, and maturity date. You can also choose the option for monthly, quarterly, or annual interest payouts.
- Complete the Transaction
Complete the payment through your linked bank account. Once the transaction is successful, you will receive an FD receipt in your registered email.
Taxation on SBI FD Interest
The interest earned on SBI Fixed Deposits is subject to Tax Deducted at Source (TDS). The TDS rate is typically 10% for residents, but if your total annual income is below the taxable limit, you can submit a Form 15G/15H to avoid TDS.
The interest income is also taxed based on your applicable Income Tax Slab. Additionally, if you’re a senior citizen, you’re entitled to a tax exemption on interest income up to Rs. 50,000 per annum under Section 80TTB.
Tips to Maximize Your Earnings from SBI Fixed Deposits
- Choose the Right Tenure
Lock your money for a period that balances your immediate needs with long-term goals. Typically, an FD with a tenure of 3 to 5 years offers a decent interest rate and stability.
- Opt for Monthly or Quarterly Payouts
If you prefer a regular income stream, choose an option where the interest is paid out monthly or quarterly, which can also help you manage your cash flow.
- Invest Early
The earlier you invest, the more time your money has to accumulate and grow. If you plan to invest for retirement or a big purchase, consider opening a long-term FD.
- Tax Planning
Invest in tax-saving FDs if you want to benefit from tax exemptions under Section 80C.
Conclusion:
SBI Fixed Deposits remain one of the most trusted and dependable investment choices for conservative investors. With attractive interest rates, the added benefit for senior citizens, and the safety provided by one of India’s largest banks, SBI FDs can help you secure your future. Whether you’re saving for a goal, looking for steady returns, or simply parking your emergency funds, SBI’s FD schemes offer flexibility and security.