The State Bank of India, synonymous with reliability, offers various deposit schemes, including the SBI Annuity Deposit Scheme.
This scheme requires a lump sum deposit, after which the customer receives guaranteed monthly income and interest.
Interest is paid out monthly along with the principal and is calculated quarterly on the remaining balance in the account.
The deposit period for this scheme can be 36, 60, 84, or 120 months, with no maximum limit on the amount that can be deposited. The minimum annuity is Rs. 1000 per month.
Payments start from the specified month’s date following the deposit, making it easy to plan your finances. If the date falls on the 29th, 30th, or 31st, the annuity is due on the 1st of the following month.
TDS is deducted before payment, and the remaining amount is credited to the customer’s savings or current account.
The SBI Annuity Deposit Scheme is eligible for general customers and senior citizens. It offers a nomination facility and the option to take a loan of up to 75% of the annuity balance.
In the event of the depositor’s death, the scheme can be closed before maturity, with a pre-maturity penalty payable at the same rate as charged on FD.
The SBI Annuity Deposit Scheme is available at all SBI branches and can be opened by any person resident in India, including minors, either as a single or joint account.