Recurring Deposit i.e. RD is such a savings that gives you a fixed interest. Also, you can deposit money installment by installment in this. This is the reason why everyone, be it the State Bank of India or the post office, gives their customers the option to invest in RD. If you are also thinking of investing in RD, then let us know where you can get the best returns.
State Bank Of India Recurring Deposit (SBI RD)
State Bank of India is offering interest from 4.9% to 5.4% on RD for general individuals. At the same time, senior citizens get an additional 50 basis points. These rates are applicable from 8 January 2021.
SBI RD matures between one year to 10 years.
In SBI RD also any customer can start investing from Rs.100. However there is no upper limit.
SBI RD Interest Rate
| Time | Rate of interest |
| 1 year or more but less than 2 years | 4.9% |
| 2 years or more but less than 3 years | 5.1% |
| 3 years or more but less than 5 years | 5.3% |
| 5 years to 10 years | 5.4% |
Post Office RD Interest Rate
1- Interest is being provided on post office RD at the rate of 5.8 percent per annum. Interest received from RD is fully taxable. The special thing is that the interest rate in RD is compounded quarterly.
2- Post Office RD is opened for 5 years.
3- Post Office RD can be opened from Rs 10, there is no maximum limit here either.
