SBI fixed deposit and recurring deposit interest rates in 2026: All you need to know

India’s largest lender, the State Bank of India, is currently offering up to 6.45% on term deposits to the general public and up to 6.95% to senior citizens. Term deposits include both fixed deposits (lump sum investment) and recurring deposits (regular periodic investments).

In 2025, SBI and most other banks cut their deposit interest rates multiple times due to repo rate cuts. The Reserve Bank of India (RBI) cut the key interest rate (repo) four times in the previous calendar year, with a total 1.25 basis points (bps) reduction.

In line with repo rate cuts, which make borrowing cheaper for banks, lenders reduced their lending and deposit rates to keep them aligned with the monetary policy.

After the most recent rate cut in December, when the RBI reduced the repo rate by 25 bps, SBI revised its lending and deposit rates with effect from December 15, 2025.

SBI fixed deposit interest rates in 2026

Currently, SBI is offering interest rates ranging from 3.05% to 6.45% on fixed deposits and recurring deposits for the general public. The public sector lender offers an additional 0.50% to senior citizens on both fixed and recurring deposits.

Note: Rate of interest on recurring deposits is the same as that on term deposits for public and senior citizens, according to the official website of SBI.

Recurring deposits

As mentioned above, SBI offers a similar rate of interest on both fixed and recurring deposits. Here are some specific features of recurring deposits:

• Minimum period of deposit is 12 months, while the maximum is 120 months.

• Minimum deposit amount is ₹100 per month and in multiples of ₹10 thereafter.

• If a user does not pay six consecutive instalments, the account shall be closed, and the balance shall be paid to the account holder.

• Penalties will apply to the delayed payment of instalments.

Before the RBI cuts the repo rate further and interest rates on deposits go down again, customers must compare and book FDs or RDs at the available rates.