State Bank of India RD (Recurring Deposit) Interest Rate 2026

SBI, one of the largest banks in India, backs its schemes with decades of strong returns and consistent performance. It offers a diverse range of deposit schemes to support both long and short-term investment goals. One such option is the SBI Recurring Deposit.

SBI RD rates depend on your age and the tenure you pick. You can start with just ₹100 a month and slowly build your savings over time. It’s an easy and consistent way to put money aside regularly.

Quick Overview

Key Details	Information
Minimum deposit	₹100 per month
Maximum deposit	No upper limit
Tenure	12 to 120 months
Interest Rate (General)	6.50% – 7.00% p.a.
Interest Rate (Senior Citizens)	7.00% – 7.50% p.a.
Interest payout	Compounded quarterly
Premature withdrawal	Allowed with penalty
Loan facility	Available against RD

[Source: SBI RD overview – Official SBI RD website] 

SBI Recurring Deposit Interest Rate 

Below are given RD rates in SBI as of the year 2026: 

Tenure	General Citizens	Senior Citizens
1 year to 1 year 364 days	6.80%	7.30%
2 years to 2 years 364 days	7.00%	7.50%
3 years to 4 years 364 days	6.50%	7.00%
5 years to 10 years	6.50%	7.50%

SBI Recurring Deposit Features 

The SBI Recurring Deposit scheme comes with many beneficial features, like an investment limit that you can easily handle at a low interest rate.  

Here are the features you can enjoy:

• Deposit Tenure Flexibility: SBI offers flexible recurring deposit tenures ranging from 12 to 120 months, in multiples of 3 months. 
• Investment Limits: Investors can start an SBI RD with a minimum monthly deposit of ₹100 and increase contributions in multiples of that amount. SBI does not impose an upper limit on the maximum investment amount. 
• Tax Implications and TDS Provisions: SBI Recurring Deposits do not provide any tax exemptions. The interest earned is taxable as per the investor’s income tax slab. 
• Premature Withdrawal: SBI permits premature withdrawal of RD funds. However, it imposes a penalty in accordance with its prevailing policies. 
• Nomination Option: SBI allows depositors to nominate a beneficiary for their RD account. 
• Digital Access and Management: SBI enables customers to open and manage their RD accounts easily through its online banking platform. 
• Loan Availability Against Deposit: SBI offers loans against recurring deposits, providing investors with financial flexibility in times of need. 

Eligibility Criteria and Documents Required for SBI Recurring Deposit

Opening an SBI Recurring Deposit account is simple. As long as you meet basic eligibility and have your documents ready, the process is quick and hassle-free.

Eligibility criteria

You can open an SBI RD account if you fall under any of these categories:

• Resident individuals: Any Indian resident with an SBI savings account can open an RD
• Minors: Minors can also open an account with the help of a parent or guardian
• Non-resident Indians: NRIs are eligible to invest in SBI RD as per bank guidelines
• HUFs: Hindu Undivided Families can open RD accounts in the name of the HUF
• Business entities: Sole proprietors, partnership firms and registered companies can also invest
• Trusts and associations: Eligible trusts and institutions can open RD accounts after verification

SBI will ask for basic verification before activating the account.

Documents required

You will need a few standard documents to open your SBI RD account:

• Identity proof: Aadhaar card, PAN card, voter ID or any valid government ID
• Address proof: Passport, utility bills or a recent bank statement showing your current address
• PAN details: PAN is usually required for tax and TDS purposes
• Senior citizen proof: If applicable, you may need age proof to avail higher interest rates

In some cases, the bank may ask for additional documents. It’s always a good idea to check with your branch before applying.

[Source: SBI RD Eligibility and documents – Cleartax]

Calculating SBI Recurring Deposit Based on Interest Rates 

The maturity amount of SBI RD depends on several factors like the monthly deposit amount, applicable interest rate and other related elements. 

SBI provides an easy-to-use RD calculator on its official website to help customers estimate returns and plan their savings more easily. To calculate it manually, use the following formula: 

M = R × [ (1 + i)^n – 1] ÷ (1 – (1 + i)^(-1/3)) 

Where: 

• M = Maturity amount 
• R = Monthly instalment 
• i = Quarterly interest rate 
• n = Number of quarters 

Suppose you open an SBI Recurring Deposit and invest ₹10,000 every month for 3 years. If the applicable interest rate is around 6.50% per annum, the maturity amount will be approximately ₹3.98 lakhs.

*This is just an estimate. The final amount may vary slightly depending on compounding and the exact tenure you choose.

[Calculated using the Groww RD calculator]

How to Open an RD Account in SBI Online?

Opening an RD account online with SBI is quick and can be done in a few steps:

Step 1: Just sign in to your SBI internet banking account using your credentials

Step 2: Navigate to ‘Deposits and Investments’

Step 3: Click on ‘Fixed Deposits’ and then choose ‘e RD’

Step 4: Select ‘Open New Account’

Step 5: Fill in the monthly deposit amount, tenure and other required details

Step 6: Review the details and click on ‘Submit’

Step 7: Your RD account will be opened and you can view it in ‘Account Summary’

How to Open an RD Account in SBI Offline?

You can open an RD account offline as well:

Step 1: Go to your nearest SBI branch where you have a savings account

Step 2: Ask for the RD account opening form and fill in your details

Step 3: Provide the required KYC documents along with the form

Step 4: Deposit the first monthly amount

Step 5: Once verified, your RD account will be opened

With regular contributions, an SBI RD helps you build savings over time. While there may be small penalties for early withdrawal or missed payments, it remains a simple and reliable way to save consistently.

TDS on SBI RD

You have to pay taxes on the interest you earn on your SBI RD. The bank will deduct 10% out of your total interest from deposits if it goes over ₹40,000 in a financial year. This limit is higher for people over 60, at ₹50,000. The TDS rate can go up to 20% if you don’t give your PAN information. There is no TDS taken out if your interest income is below the limit. You may have to pay more tax or get a refund when you file your taxes, depending on your income slabs.

[Source: TDS on SBI RD – RD FAQs]

With smart investment in SBI Recurring Deposit, you can ensure your financial well-being. Although SBI imposes penalties for premature withdrawals and late payments, the advantages of regular savings and assured returns make it an ideal choice for both new and experienced investors. 

RDs are a long-term investment method and prematurely withdrawing the amount can decrease its benefits. If you are ready to invest in RD and need urgent cash, the Fibe Instant Cash Loan is here for you. Get up to ₹10 lakhs in just a few minutes with flexible repayment tenure. Download the Fibe App today! 

FAQs on SBI Recurring Deposit Interest Rate 

What are the current RD interest rates offered by SBI for 2026? 

The latest SBI Recurring Deposit interest rate ranges between 6.50% to 7.00% for the general public and 7.00% to 7.50% for senior citizens.   

How to Close SBI Recurring Deposit Account? 

You can close your SBI RD account by:  

• Visiting the nearest SBI branch with your RD details 
• Request the RD account closure form 
• Fill in the necessary information and sign it.  
• Attach self-attested copies of required documents such as KYC, PAN, address proof, ID proof, RD receipt and certificate.  
• Submit the completed form to the branch manager. 

Are There Any SBI RD Premature Withdrawal Rules? 

Yes, you have to pay a nominal penalty fee for early withdrawals. Also, you cannot withdraw a partial amount from SBI’s RD scheme.

Will my SBI RD interest rate change if the bank revises the rate?

No, your interest rate stays the same once you open the RD. Even if the bank changes rates later, your existing RD will continue with the rate it started with.

Can I open an RD account for a duration of 6 months?

No, SBI RD accounts usually start from a minimum tenure of 12 months. So, you cannot open an RD for just 6 months.