SBI FD interest rates: How much will Rs 1 lakh become in 1, 3, 5, and 10 years?

Many investors choose State Bank of India (SBI) fixed deposits (FDs) for predictable returns. But how much will a Rs 1 lakh investment grow over different tenures? The maturity amount depends on the FD interest rate and investment tenure. Here is how much Rs 1 lakh can grow in SBI FDs over 1, 3, 5 and 10 years, based on the current retail domestic term deposit rates.

For general customers, SBI currently offers:
● 1-year FD: 6.25%
● 3-year FD: 6.30%
● 5-year FD: 6.05%
The applicable interest rate varies depending on the tenure chosen.

A Rs 1 lakh investment in a 1-year SBI FD would grow to more than Rs 1.06 lakh. For a 10-year FD, the maturity amount would be around Rs 1.82 lakh.

Senior citizens get an additional 0.50% (50 basis points) interest benefit on SBI fixed deposits. For the selected tenures, the rates are:
● 1-year FD: 6.75%
● 3-year FD: 6.80%
● 5-year FD: 7.05%
This higher interest rate can increase the maturity amount compared with the FD rates available to general customers.

At 7.05%, a Rs 1 lakh deposit for five years grows to around Rs 1.42 lakh. If the same 7.05% rate is assumed for a 10-year period, the maturity amount works out to around Rs 2.01 lakh.

No. FD interest is taxable according to the depositor's applicable income-tax rules. The actual tax payable depends on total taxable income and the applicable tax regime.

Banks deduct TDS when interest on an FD for a senior citizen crosses Rs 1 lakh in a specific bank. TDS is not an additional tax and can be claimed as a refund or adjusted against the final tax liability when filing the ITR. A senior citizen can submit Form 15H (now renumbered as Form 121 under the Income Tax Act, 2025) to avoid TDS if eligible under the applicable conditions.