SBI FD 2025: Grow ₹1 Lakh to ₹1.3 Lakh Within 5 Years

What is an SBI FD 2025? 

An SBI FD is a time deposit account in which you invest a lump sum of money for a definite period and earn interest on it. The bank pays you interest based on the fixed rate decided at the time of deposit. With the help of the power of compounding, your deposited amount earns SBI FD interest on both the principal and the interest accrued on it, resulting in wealth creation. At the end of the tenure, you receive guaranteed returns, including both your investment amount and the interest earned on it.

SBI FD Rates 2025

The FD interest rates 2025 offered by SBI are: 

*SBI FD Interest Rates w.e.f July 15, 2025

Features and Benefits of SBI FD 2025

The features and benefits of an SBI FD 2025 are: 

• Guaranteed Returns: Ensures your investment grows safely with fixed returns. 
• Flexible Interest Payouts: Choose monthly, quarterly, half-yearly, or annual interest payouts.
• Tax Benefits: Eligible for tax exemptions under Section 80C (for certain FDs).
• Premature Withdrawal Allowed: Option to withdraw before maturity if needed.
• Higher Rates for Senior Citizens: Senior citizens enjoy additional SBI Senior Citizen FD rates. 

SBI FD Interest Rate Interest Calculation 2025

Interest Calculation Formula

The SBI FD interest rate 2025 is calculated, using the following formula: 

A=P(1+r/n)^{nt}

Where:

A = Maturity amount

P = Principal (initial investment)

r = Annual interest rate (in decimal)

n= Number of times interest is compounded per year

t = Time (in years)

Illustration

Suppose you invest a sum of ₹1 lakh in an SBI FD for a tenure of 5 years at a fixed interest rate of 6.30% p.a. With the interest compounded annually, let’s see how you get over ₹1.3 lakh at maturity.

Here, Principal P = 1,00,000, Rate r = 6.30% = 0.063, Time t = 5 years, Compounded quarterly n = 4

Formula: A = P * (1 + r/n)^(n*t)

Putting the values into the formula and solving the equation, we get: 

A ≈ 100000 * (1 + 0.063/4)^(4*5)

A ≈ 100000 * (1 + 0.01575)^20

A ≈ 100000 * (1.01575)^20

A ≈ 100000 * 1.3728

A ≈ 137280

Interest earned

CI ≈ A - P ≈ 1,37,280 - 1,00,000 ≈ 37280

Eligibility Criteria for SBI FD 2025

The following individuals and groups are eligible for apply for an SBI FD 2025: 

• Resident Indians
• Senior Citizens
• Minors
• Hindu Undivided Families (HUFs)
• Trusts, Societies, and Corporates

How to Apply for an SBI FD 2025? 

You can apply for an SBI FD to avail the best FD interest rates by following either online process or offline process. 

Online Process

Step 1: Log In: Access NetBanking with your credentials or open the YONO app.

Step 2: Go to Fixed Deposit Section: Navigate to ‘Fixed Deposit’ and Tap on Fixed Deposit / Term Deposit and then select ‘Open FD’.

Step 3: Select FD Amount: Choose your account and enter the deposit amount (starting from ₹1,000).

Step 4: Choose FD Type: Select the FD type: Cumulative or Non-Cumulative deposit.

Step 5: Set Maturity Instructions: Choose options such as auto-renewal, interest payout frequency, or payout at maturity.

Step 6: Review & Confirm: Verify all the details, accept the terms & conditions, and then submit.

Step 7: Generate FD Receipt: Instantly generate and print your term deposit receipt (e-TDR).

Offline Process

Step 1: Visit SBI Branch: Go to your nearest SBI branch with your PAN/Aadhaar and cheque or cash for the deposit.

Step 2: Fill Out FD Form: Complete the Term Deposit form at the branch.

Step 3: Submit Required Documents: Provide the necessary KYC proofs, especially if you are a new customer.

Step 4: Deposit Funds: Deposit the FD amount (minimum ₹1,000) via cheque, cash, or digital transfer.

Step 5: Choose Tenure & Interest Options: Select the tenure (7 days to 10 years) and interest payout frequency as per your preference. 

Step 6: Receive FD Receipt: The branch will issue a Term Deposit Receipt (TDR) as confirmation.

Documents Required for an SBI FD 2025

The common documents required for an SBI FD to avail the highest SBI FD interest rate 2025 are: 

• Identity Proof: PAN card, Aadhaar card, Passport, Voter ID, or Driving License.
• Address Proof: Aadhaar card, Passport, Utility bills, Bank statement, or Ration card.
• Passport-Size Photograph: Recent photograph of the account holder.
• Additional Documents (if applicable): For minors, guardians’ identity proof; for corporates or HUFs, relevant registration or authorisation documents.

Conclusion 

An SBI FD 2025 is a safe and reliable investment option that not only preserves your capital but also helps your savings grow steadily over time. With attractive interest rates of up to 6.30% p.a. for general citizens and up to 7.05% for senior citizens , flexible tenure options, and the power of compounding, it is ideal for both general and senior citizens looking for guaranteed returns. Whether applied online or at a branch, SBI FD ensures your money works efficiently for you.