State Bank of India (SBI), one of the most trusted banks in India, has updated the interest rates on its special fixed deposit schemes. And while there’s a slight drop in one program, another offers senior citizens a real financial advantage that shouldn’t be missed.
What’s New with SBI’s ‘Amrit Vrishti’ Fixed Deposit?
Starting June 15, 2025, SBI has reduced the interest rates on its limited-period deposit scheme, ‘Amrit Vrishti’.
Here’s the update in simple terms:
- For deposits of 444 days:
- General public: Now gets 6.60% annual interest (down from 6.85%)
- Senior citizens: Will earn 7.10% per annum
This change follows the Reserve Bank of India’s decision to cut the repo rate by 50 basis points. So, if you were eyeing this scheme, it might be time to compare your options.
👉 Wondering if you still have a good opportunity? Don’t worry—SBI’s ‘WeCare’ scheme might be just what you need.
SBI ‘WeCare’: A Better Deal for Senior Citizens
If you’re a senior citizen—or you’re helping a parent or loved one plan their finances—this one’s worth knowing.
The ‘WeCare’ FD scheme by SBI offers:
- An additional 0.50% interest for senior citizens on deposits of 5 years or more.
- That means while regular depositors get, say, 6.30%, senior citizens can earn 7.30% on long-term FDs.
This scheme is designed to support retirees and those relying on fixed incomes—and in today’s economy, every extra rupee counts.
A 5-year deposit of ₹5 lakhs under this plan could generate over ₹2 lakhs in interest for seniors. That’s real money that could help cover rising living costs, medical bills, or just offer peace of mind.
Why FDs Still Matter in 2025
You might be wondering, “Are FDs still a good idea today?” With so many investment options, it’s a fair question.
But here’s why Fixed Deposits (FDs) continue to be a safe haven:
Security First: FDs are protected. Even if a bank fails, your deposits up to ₹5 lakhs are insured in India.
Flexible Terms: Choose from 7 days to 10 years. You’re in control of how long you want to park your money.
Fixed Returns: Know exactly what you’ll earn, with no market surprises.
Key Benefits
| Feature | Details |
|---|---|
| Interest Rate (Amrit Vrishti) | 6.60% (General), 7.10% (Senior Citizens) |
| Interest Rate (WeCare) | 7.30% for Senior Citizens (5 years+) |
| Tenure | 7 days to 10 years |
| Security | Covered by ₹5 lakh deposit insurance |
| Tax Benefit | Up to ₹1.5 lakh under Section 80C on 5-year FDs |
Planning to Invest in an FD? Keep These 3 Tips in Mind
- Choose the Right Tenure
Don’t just pick any term. If you break your FD before maturity, you might lose up to 1% of your interest as penalty. Think ahead and pick a period you can commit to. - Split Your Investment
Don’t put all your savings in one basket. Say you want to invest ₹10 lakhs—split it across different banks and tenures. This gives you liquidity when needed and helps avoid penalties. - Take Advantage of Tax Savings
A 5-year FD can help you save on taxes under Section 80C. You can claim up to ₹1.5 lakh in deductions on your taxable income.
FAQ
‣ Is SBI’s Amrit Vrishti still worth it after the rate cut?
If you’re looking for short-term returns with guaranteed income, it’s still a solid option—especially for senior citizens earning 7.10%.
‣ What makes the ‘WeCare’ scheme different?
It’s tailored for seniors, offering an extra 1% interest on longer FDs. That’s significant when you’re relying on steady income.
‣ Can I break my FD before maturity?
Yes, but you may lose part of the interest and face a penalty—so only do it in emergencies.
‣ What if I want to open multiple FDs?
That’s actually a smart move. It offers more flexibility and keeps your funds accessible when needed.