PremiumSenior citizens special fixed deposit (FD) scheme: State Bank of India (SBI), Bank of Baroda and private lenders HDFC Bank, and ICICI Bank have special fixed deposit (FD) scheme for senior citizens. Under the special FD for senior citizens, these banks are offering extra interest rates over the existing rates applicable for senior citizen term deposits. Usually the banks offer higher interest rates for the senior citizens as compared to the others. The special FD scheme for senior citizens is applicable till 30 September 2020.
Some of the common features of Senior citizens special FD scheme by SBI, Bank of Baroda, ICICI and HDFC Bank are:
1) Senior citizens special FD scheme is applicable for tenure of 5 years or more.
2) The new interest rates applicable to fresh term deposits as well as existing deposits.
3) The special FD scheme for senior citizens is applicable till 30 September 2020.
4) SBI, Bank of Baroda, HDFC Bank and ICICI Bank are offering extra interest rates over the existing senior citizen interest rates for fixed deposit.
5) The deposit amount is not limited to Rs. 1.5 lakh
6) Residents of 60 years or more are eligible to invest in Senior citizens special FD scheme.
SBI special FD scheme for senior citizens
SBI special FD scheme for senior citizens is known as 'SBI We Care'.
New interest: 80 bps higher
Interest rate: If a senior citizen puts a fixed deposit under the special FD scheme, then interest rate applicable to the FD will be 6.20%. These rates are applicable effective 27 May.
Penalty of 0.5% may apply
Bank of Baroda special FD scheme for senior citizens
In the current challenging situation brought by COVID-19,Bank has agreed to pay additional rate of interest in "Above 5 years to upto 10years" tenor to Resident Indian Senior Citizen and this is valid till 30.09.20.
New interest: 100 bps higher
Interest rate: If a senior citizen puts a fixed deposit under the special FD scheme, then interest rate applicable to the FD will be 6.30%.
On deposits maturing in 7 days to 10 years, Bank of Baroda pays 3.40% to 6.30% to senior citizens
Penalty of 1.5% on applicable rate of interest for the period for which the deposit has remained with the Bank.
HDFC Bank special FD scheme for senior citizens
HDFC Bank special FD scheme for senior citizens is called HDFC Senior Citizen Care.
New interest: 75 bps higher
Interest rate: If a senior citizen puts a fixed deposit under HDFC Bank Senior Citizen Care FD, then interest rate applicable to the FD will be 6.25% . Under this new product, an additional 25 bps premium will be payable for senior citizens'. These rates are applicable from 12 June.
Premature withdrawal: Penalty of 1% if withdrawn on or before 5 years
Penalty of 1.25% if withdrawn after 5 years
ICICI Bank special FD scheme for senior citizens
ICICI Bank special FD scheme for senior citizens is called ICICI Bank Golden Years.
New interest: 80 bps higher
Interest rate: ICICI Bank Golden Years FD scheme offers senior citizens an interest rate of 6.30% per annum
Premature withdrawal: Penalty of 1% if withdrawn before 5 years 1 day
Penalty of 1.30% if withdrawn *after 5 years 1 day
Never miss a story! Stay connected and informed with Mint. Download our App Now!!
