SBI Scheme: Do not want to take any risk on investment and want guaranteed returns? SBI’s “SBI We-care” is one such scheme. Let us know the benefits of investing in this scheme, as well as in how much time this scheme can double your money.
SBI Scheme: If you have some extra money lying around and you want to park it somewhere safe and for guaranteed returns, then making a fixed deposit in a government bank can be a wise decision. Fixed deposits in post offices and government banks like State Bank of India are a good option for those investors who do not want to take any risk on investment, want guaranteed returns on their money after an interval. SBI’s “SBI We-care” is one such scheme. Let us know the benefits of investing in this scheme, as well as in how much time this scheme can double your money.
“SBI We-care” Deposit Scheme
This scheme of a government bank is a special term deposit scheme, which is specially run for senior citizens. In this, investors also get interest on their term deposits from above i.e. double benefit.
Some special features of this plan
- This is a domestic term deposit, in which you can invest less than 2 crores for minimum 5 years and maximum 10 years.
- Interest is being received on this at the rate of 7.50% under the scheme. In this, 30bps additional premium is being given separately on the card rate.
- You get interest on maturity. You also get the facility of loan on this.
When will the money double?
If you keep an investment of 5 lakhs in this scheme for 10 years, then you will get more than double the amount. See the calculation-
Your total investment- 5 lakhs
Rate of interest – 7.50%
Time Period – 10
=
Total investment amount – 5 lakhs
Estimated Returns – 5,51,175
Total Value – 10,51,175
SBI Retail Domestic Term Deposits Calculator
If you remove the benefit of SBI We Care and look at the rate of term deposit for the general investor, then the bank is currently paying interest at the rate of 6.5%. See how much return you will get in this case-
Your total investment- 5 lakhs
Rate of interest – 6.50%
Time Period – 10
=
Total investment amount – 5 lakhs
Estimated Returns – 4,52,779
Total Value – 9,52,779
Remember that this calculation is based on the assumption that you will get interest at the rate of 7.5% and 6.5% for the entire investment period, but keep in mind that in these 10 years the bank can also up-down its interest rates.
