SBI Har Ghar Lakhpati: State Bank of India (SBI) has launched the ‘Har Ghar Lakhpati’ initiative, which is designed to assist savers in accumulating significant funds through manageable savings plans. This program enables small investors to build a fund of Rs 1 lakh or more over a period of ten years by making monthly contributions of less than Rs 600.

It is tailored for individuals who desire secure, fixed returns without the inherent risks. The scheme offers an attractive interest rate of 6.75% for regular customers and 7% for senior citizens, facilitating the transformation of modest savings into considerable financial milestones.

Primary objective is to empower customers to achieve significant savings

This initiative operates as a distinctive recurring deposit (RD) scheme, requiring participants to make consistent monthly deposits. At the end of the term, the bank provides a lump sum payment along with the interest earned. The primary objective is to empower customers to achieve significant savings through small, regular investments. The RD account benefits from compound interest, which is calculated quarterly, thereby enhancing the growth of savings.

The duration of the scheme can range from 3 to 10 years, allowing customers to choose their desired maturity period when establishing an RD account. In the event of an early withdrawal or account closure, a nominal penalty may be imposed.

To accumulate Rs 1 lakh through SBI’s Har Ghar Lakhpati Yojana, the monthly investment requirements are as follows:

In 3 years: At a 6.75% interest rate, a monthly deposit of Rs 2,502 is necessary.

In 4 years: With the same interest rate, the monthly contribution would be Rs 1,812.

In 5 years: At a 6.50% interest rate, the monthly deposit would amount to Rs 1,409.

In 10 years: With a 6.50% interest rate, a monthly saving of Rs 593 would suffice.