SBI Tax Savings Scheme

SBI FD Interest Rates 2026 on Retail Domestic Term Deposits (Below Rs. 3 crore)

Below are the SBI FD interest rates as of March 2026: 

SBI FD Rates w.e.f.15th December 2025

What is SBI Tax Savings Scheme?

The SBI Tax Savings Scheme is a fixed-term deposit account designed to offer tax benefits to Indian residents. This scheme is specifically structured for individuals or Hindu Undivided Families (HUFs) looking to save taxes while earning a fixed interest rate.

Who Can Apply for the SBI Tax Savings Scheme?

You can invest in SBI’s Tax Saver FD if you fall under the following categories:

• Resident Indian individuals aged 18 years and above.
• Hindu Undivided Families (HUFs) are also eligible.

Features of SBI Tax Savings Scheme

Below are the features of SBI Tax Savings Scheme: 

• Tenor: The minimum investment period is 5 years, and it can be extended up to 10 years.
• Interest: Interest is compounded quarterly, providing regular growth to your investment.
• Lock-in Period: There's a mandatory lock-in period of 5 years. This means you cannot withdraw your funds before the completion of 5 years.
• No Loans or Advances: During the lock-in period, you cannot obtain loans or advances against your deposit.
• No Pledging: The deposit cannot be used as security for a loan or any other asset.
• Pre-mature Withdrawal: Pre-mature withdrawal is generally not allowed before the expiry of 5 years. However, in case of the depositor's death, early withdrawal may be permitted.
• Eligibility: Resident Indians, both individuals and HUFs, can open this account.
• Interest Rate: The interest rate is applicable to Term Deposits (TD) and is subject to change.
• Minimum and Maximum Deposit: The minimum deposit is Rs. 1,000 or multiples thereof, while the maximum deposit per year is limited to Rs. 1,50,000.
• Account Type: The account will be classified as a Term Deposit (TD) or Special Term Deposit (STD).
• Nomination: Nomination facility is available for the deposit.
• Joint Accounts: In case of joint accounts, if the first account holder dies, the surviving holder can encash the deposit before maturity or within the lock-in period.
• Transfer: The deposit can be transferred between branches of SBI, but not to another bank.
• Deposit Advice: The bank will issue a Deposit Advice on A4 size paper, requiring the depositor's signature.

Required Documents for SBI Tax Savings Scheme 

To open an SBI Tax Saving Fixed Deposit, you need to submit:

• A filled-in application form
• Valid ID and address proof (Aadhaar, PAN, Passport, Voter ID, Driving Licence, or NREGA card)
• Two recent passport-sized photos

For updated documentation requirements, you can always contact SBI’s customer care.

How to Open SBI Tax Saving FD Online?

Follow these simple steps to invest online through SBI Internet Banking:

• Log in to your SBI net banking account with your credentials.
• Go to the ‘e-Fixed Deposit’ section on the dashboard.
• Select ‘e-TDR/e-STDR under SBI Tax Saving Scheme’ and click ‘Proceed’.
• Choose your savings account for debiting the FD amount and enter the desired deposit value.
• Pick the tenure (5 years), select cumulative or non-cumulative payout, accept the terms, and specify maturity instructions.
• Click ‘Submit’ to confirm. A message will appear once your deposit is successfully booked.

Terms & Conditions to Consider While Investing in the SBI Tax Savings Scheme 

Before investing, it’s important to understand the scheme's terms:

• Lock-in Period: Withdrawals are not permitted for the first 5 years from the date of investment.
• Premature Withdrawal: Allowed only after completing 5 years, subject to SBI’s FD policies.
• In the Event of Death:
  • If the sole account holder passes away, the nominee or legal heirs can access the deposit anytime.
  • For joint deposits, the surviving holder may withdraw the amount without penalty if the primary holder passes away. Interest will be paid based on the actual tenure.