Today in this article we will discuss the scheme which is launched by the State Bank of India, in which the authorities will provide offers by the State Bank of India (SBI), which allows customers to earn a regular income through annuity payments. Previously so many schemes and portals have been initiated which were beneficial for the citizens and now this scheme is here with various benefits, and the name of the scheme is SBI Annuity Deposit Scheme 2024.
Here we have mentioned all the necessary aspects regarding this scheme, which include benefits, eligibility criteria, required documents list, application procedure, and many more. All you need is to read this whole article till the end and get all the beneficial information about the scheme.
Table of Contents
SBI Annuity Deposit Scheme
Basically, this Scheme is a fixed deposit scheme offered by the State Bank of India (SBI), which allows customers to earn a regular income through annuity payments. With the implementation of this scheme, candidates can deposit a lump sum amount with SBI and in return, the bank provides you with a fixed annuity (a regular payment) for a specified period of time. And under this scheme, candidates can also choose the frequency of the annuity payments (monthly, quarterly, half-yearly, or yearly) and the tenure of the deposit, which can range from 5 to 20 years.
The interest rate offered by the authorities is generally higher than the interest rate on regular fixed deposits, and the interest rate offered may change from time to time, based on the bank’s policies.
Overview Details of the SBI Annuity Deposit Scheme
|Name of the Scheme
|SBI Annuity Deposit Scheme 2024
|State Bank of India
Objective of the SBI Annuity Deposit Scheme
The main aim of this scheme is to provide a regular income to the depositor after maturity. The scheme allows the depositor to deposit a lump sum amount for a specified term, after which they receive regular payments (annuities) for the rest of their life. Basically, it is a good option for individuals who are looking for a regular income stream and are comfortable with the risk of fluctuations in interest rates and annuity payments.
Benefits and Features of the SBI Annuity Deposit Scheme
- This scheme is open for all individuals, either alone or jointly, as well as Hindu Undivided Families (HUFs).
- Under this scheme, the deposit tenure for the SBI Annuity Deposit Scheme is 5 years, 10 years, 15 years, or 20, years.
- The authorities have mentioned that the minimum deposit amount required to open an Annuity Deposit account is Rs. 20,000, and there is no upper limit to the deposit amount.
- The interest rates offered on the scheme are competitive and subject to change from time to time.
- Upon maturity, the depositor has given the right to choose to receive the annuity payments either monthly, quarterly, half-yearly, or annually.
- Under this beneficial scheme, candidates can also choose to nominate a person to receive the annuity payments in case of their death.
Interest Rate Under SBI Annuity Scheme
|General Public Interest Rate
|Senior Citizen’s Interest Rate
Minimum Deposit Amount Under the Scheme
As per the information, the minimum deposit amount to open an account is Rs. 25,000, and there is no maximum limit, and the deposit can be made either in cash or through a transfer from another bank account. The deposit tenure ranges from 5 to 20 years, and the interest rate is determined by the bank and is subject to change based on market conditions. In case of the depositor’s death during the tenure of the deposit, the annuity payments will be discontinued. However, the nominee or the legal heir will receive the balance amount of the deposit, along with the accumulated interest.
Important Note about the Scheme
It’s important to note that the deposit under this scheme is not transferable or cashable before the term of the annuity, and also, the deposit is not eligible for a loan. In case of the depositor’s death, the annuity payments will cease, and the deposit will be directly paid to the nominee or the legal heir.