Winning Bizness Desk
Mumbai. State Bank of India is offering a special recurring deposit scheme called ‘har ghar lakhpati’, aimed at encouraging small savers to build a sizeable corpus over time. The scheme allows investors to accumulate Rs 1 lakh or even more by depositing small fixed amounts every month. With competitive interest rates and flexible tenure options, the scheme is being positioned as a simple savings tool for households planning long-term financial goals through disciplined monthly investments.
What is sbi’s ‘Har Ghar Lakhpati’ scheme
The ‘Har Ghar Lakhpati’ scheme is a special recurring deposit product of SBI. Under this scheme, investors deposit a fixed amount every month for a chosen period to reach a pre-decided target amount. For example, by depositing Rs 610 every month for 10 years, an investor can accumulate Rs 1 lakh. The bank currently offers interest rates of up to 6.55 percent per annum for general citizens and up to 7.05 percent per annum for senior citizens, making it attractive for conservative investors.
Understanding how recurring deposits work
A recurring deposit, commonly known as RD, works like a modern version of a piggy bank. Investors set aside a fixed amount from their monthly income and deposit it regularly with the bank. Over time, the amount grows with interest and becomes a lump sum at maturity. In the ‘Har Ghar Lakhpati’ scheme, the maturity period generally ranges from 3 years to 10 years, allowing flexibility based on individual financial planning needs.
Key features at a glance
The scheme is designed to be simple and goal-oriented. Some of its key highlights include:
- Monthly deposits start from small affordable amounts
- Tenure options ranging from 3 to 10 years
- Fixed target-based savings structure
- Higher interest rates for senior citizens
- Suitable for long-term disciplined saving
Option to target more than one lakh
The scheme is not limited to a Rs 1 lakh goal. Investors can choose higher targets such as Rs 2 lakh, Rs 3 lakh or even Rs 4 lakh. The monthly installment amount increases based on the chosen target and tenure. This flexibility allows investors to align the scheme with larger goals such as education, marriage, or future financial security, while still relying on small, regular contributions.
Who can invest and how to start
The ‘Har Ghar Lakhpati’ scheme is open to a wide range of investors. Eligible participants include:
- Any Indian citizen
- Individuals opening accounts singly or jointly
- Parents or guardians opening accounts with children above 10 years who can sign
- Joint accounts for children below 10 years with parents or legal guardians
With easy eligibility, flexible targets and modest monthly deposits, SBI’s ‘Har Ghar Lakhpati’ scheme aims to make long-term savings achievable for every household, reinforcing the habit of consistent saving through a structured banking product.
