SBI's Popular Scheme: Make One Deposit and Earn Monthly Income – Here’s What You Need to Know!

The State Bank of India ( SBI ), the country's largest bank, offers a lucrative investment opportunity through its Annuity Deposit Scheme . This unique scheme allows customers to deposit a lump sum and enjoy a steady monthly income . Here’s everything you need to know about this enticing offering.

# Key Features of the SBI Annuity Deposit Scheme

Lump Sum Deposit for Guaranteed Returns

The SBI Annuity Deposit Scheme requires a one-time deposit, allowing you to earn a guaranteed monthly income. The scheme provides both the principal amount and interest, calculated on a compounding basis every quarter. The interest rate offered is the same as that of traditional fixed deposits (FDs).

Flexible Tenure Options
Customers can choose from various tenures for their deposits, ranging from 36 to 120 months. There’s no cap on the maximum deposit amount, while the minimum monthly annuity is set at ₹1,000. This scheme is accessible at all SBI branches across the country.

Payment Schedule
Monthly payments commence from the scheduled date in the month following the deposit. In months with fewer days (like February), payments will be made on the 1st of the following month. Payments are credited to your linked savings or current account after deducting TDS.

# Additional Benefits

Interest for All
Both regular customers and senior citizens can benefit from competitive interest rates on term deposits. The scheme also allows for nomination, providing peace of mind for depositors. Customers will receive a universal passbook for easy tracking of their accounts, along with the convenience of transferring their accounts between branches.

Loan Facility
In times of need, account holders can avail an overdraft or loan of up to 75% of their annuity balance. The annuity payments will then be credited directly to the loan account, making this a flexible option for customers requiring additional funds.

Premature Closure Options
In the unfortunate event of the depositor's death, the scheme can be closed prematurely. Additionally, depositors can prepay amounts up to ₹15 lakh, subject to a pre-maturity penalty consistent with FD rates.

The SBI Annuity Deposit Scheme stands out as an excellent option for individuals seeking a secure investment that offers regular monthly income. With flexible tenure options, loan facilities, and guaranteed returns, this scheme is worth considering for your financial portfolio. Whether you're a senior citizen or a minor, this scheme is designed to cater to a wide audience, ensuring that your hard-earned money works for you.