SBI Flexi Fixed Deposit Scheme

The Flexi Deposit Scheme offered by State Bank of India is a variant of a Recurring Deposit. Under the scheme, you can deposit money in variables rather than a fixed instalment. It can be opened for 5 years, and a maximum tenure of 7 years. The interest offered on this flexi deposit scheme is 5.40% p.a.

Features and Benefits of SBI Flexi Deposit Scheme

The features of SBI’s Flexi Deposit Scheme are listed below:

• It can be opened singly or jointly
• Nomination facility is available
• You can avail loan up to 90 percent of the principal deposit
• You can transfer the account within the SBI branch network
• Can be opened at any SBI branch across the country except at specialized credit-intensive branches
• Additional interest of 0.50 percent is offered to senior citizens. SBI staff and SBI pensioners are offered 1 percent above the applicable rate
• Deposits can be made multiple times in a month and at any time

Minimum and Maximum Deposit Amount

The minimum deposit amount in a financial year is Rs.5,000 with a minimum of Rs.500 at any one instance. The maximum amount you can deposit into this scheme in a financial year is capped at Rs.50,000.

Who can open a SBI Flexi Deposit Account

A SBI Flexi Deposit account can be opened by resident individuals. Minors are also eligible to open it.

FAQs on SBI Flexi Deposit Scheme

1. Is the facility of premature closure available?

   Yes, the facility of premature closure is available.

2. Will there be a penalty for premature closure?

   Yes, a penalty will be levied for premature closure. For deposits up to Rs.5 lakh, the penalty will be 0.50% while for deposits above Rs.5 lakh, it shall be 1%.

3. Is TDS applicable on SBI Flexi Deposit?

   TDS is applicable as per Income Tax rules. However, you can submit Form 15G/H to get exemption from TDS.

4. Will the lender issue a passbook for opening a Flexi Deposit account?

   Yes, a universal passbook will be issued.

5. Will I need to pay penalty for default in payment of minimum deposit?

   Yes, a penalty of Rs.50 per financial year will be levied in case of default in payment of minimum deposit.