The State Bank of India (SBI), the country’s largest bank, presents a range of savings schemes to cater to its customers’ diverse needs.
Among these, the SBI Annuity Deposit Scheme stands out as a popular and lucrative option.
Under this scheme, customers invest a lump sum amount, and in return, they enjoy a guaranteed monthly income after a fixed period.
Flexible Investment Periods
The SBI Annuity Deposit Scheme allows individuals to choose from various investment periods ranging from 3 years to 10 years. Depending on their preferences and financial goals, customers can opt for deposit durations of 36, 60, 84, or 120 months.
No Maximum Deposit Limit
One of the key advantages of this scheme is the absence of a maximum deposit limit. Customers are free to invest any amount they wish, enabling them to secure a fixed monthly income according to their needs. However, it is essential to deposit a minimum sum that would guarantee at least Rs 1,000 as the monthly payout during the selected tenure.
Attractive Interest Rates
The SBI Annuity Deposit Scheme offers interest rates higher than those of regular savings accounts.
The interest rate applicable at the time of opening the account remains constant throughout the entire tenure, similar to fixed deposits (FDs) offered by the bank.
Illustration of Monthly Income
To better understand the potential earnings, consider an example where an individual invests Rs 10 lakh in the scheme, with an interest rate of 7.5 percent. According to the calculator, this investment would yield a monthly income of approximately Rs 11,870 (equivalent to about Rs 12,000).
The payment is received as Equated Monthly Installments (EMIs) every month, providing a steady source of income.
Available at All Branches
The SBI Annuity Deposit Scheme is readily available at all branches of the bank. Interested customers can approach their nearest SBI branch to inquire about the scheme’s details, benefits, and current interest rates.
By offering a hassle-free way to generate a regular income stream, the SBI Annuity Deposit Scheme remains a favored choice among investors seeking a reliable and rewarding financial avenue within the country’s largest government bank.