On the occasion of ‘Azadi Ka Amrit Mahotsav’ last year, several public and private sector banks had announced short-term fixed deposits with higher deposit rates. Today, some of these freedom special FDs will end. Here’s a look at them.
SBI Amrit Kalash: The country’s largest lender offered the freedom special deposit under the name of Amrit Kalash. The scheme will end on August 15, 2023. The 400-day scheme offers a deposit rate of 7.10 per cent. For seniors, the deposit rate is 50 basis points (bps extra), i.e., 7.60 per cent. The scheme also allows for premature withdrawal and also has a loan facility against deposit options.
Typically, the deposit rate on offer at SBI is between 3 per cent and 7 per cent for deposits below Rs. 2 crore across different tenures. For senior citizens, the rates are 3.50-7.50 per cent.
Depositors can choose the payment of interest either on a monthly, quarterly, or half-yearly basis. Upon maturity, the interest earning, less the tax deducted at source (TDS) will be credited to the depositor’s account.
IDBI Bank Amrit Mahotsav: IDBI Bank is offering its freedom special deposit scheme under the name of Amrit Mahotsav. This scheme will also end on August 15. This freedom-special FD is available in two schemes – for tenures of 375 days and 444 days, respectively. The deposit rate is 7.65 per cent for senior citizens for a tenure of 444 days. For the general public, the deposit rate is 7.15 per cent. For the 375-day scheme, the rate of deposit is 7.10 per cent for the general public and 7.60 per cent for senior citizens.
Typically, IDBI Bank offers a deposit rate of 3-6.80 per cent for general citizens for deposits below Rs. 2 crore. For senior citizens, the deposit rate is 50 bps extra, in the range of 3.50-7.30 per cent.
OTHER SPECIAL DEPOSITS TO END SOON
Several other public sector banks, which had also launched freedom special deposit schemes on the occasion of the 75th anniversary of India’s independence will end in August or September 2023.
Indian Bank’s special fixed deposit by the name of Ind Super 400 Days and Ind Super 300 days will end on August 31, 2023. Elsewhere, Punjab & Sind Bank’s special deposits of 400 days and 601 days tenure will end on September 30, 2023.