SBI Introduces Amrit Vrishti FD Scheme with 7.85% Returns After Shutting Amrit Kalash Scheme

The State Bank of India (SBI) has officially discontinued its highly popular Amrit Kalash Fixed Deposit (FD) scheme from April 1, 2025. The limited-period offer had gained a lot of traction for its attractive interest rates 7.10% per annum for regular depositors, and a lucrative 7.60% for senior citizens.

This FD was a 400-day deposit plan, and one of the highest-yielding options in the market during its run. But now, it's gone and investors will need to look elsewhere for competitive returns.

The decision to pull Amrit Kalash comes ahead of the Reserve Bank of India's (RBI) upcoming Monetary Policy Committee (MPC) meeting, where interest rate directions are expected to be announced. Banks, including SBI, are reworking their deposit offerings to prepare for potential policy changes.

HDFC Bank, Yes Bank, and Punjab & Sind Bank have already slashed FD rates, hinting at an industry-wide shift. This could be the beginning of a larger trend.

SBI's New Star Player Amrit Vrishti Fixed Deposit

If you missed out on SBI's now-discontinued Amrit Kalash FD, don't worry the bank has introduced another attractive option: the Amrit Vrishti FD. This special deposit scheme comes with a tenure of 444 days and offers competitive interest rates 7.25% per annum for regular customers, 7.75% for senior citizens, and a generous 7.85% for super senior citizens (80 years and above). These rates, effective since January 3, 2025, aim to retain risk-averse investors who seek stable, high-yield returns.

Meanwhile, IDBI Bank is also in the spotlight with its Utsav Callable FD Scheme, extended until April 30, 2025. This scheme offers flexible tenure options and attractive interest rates across different age groups. For a 300-day deposit, regular customers earn 7.05%, while senior citizens get 7.55%. On a 375-day term, the rates go up to 7.25% for regular depositors, 7.75% for seniors, and 7.90% for super seniors. For the 444-day option, returns are even higher 7.35%, 7.85%, and a market-leading 8.00% respectively. The scheme also allows premature withdrawals, offering added convenience and liquidity to investors.

Why Fixed Deposit Rates Are Being Dropped By Bank?

Banks are trimming their FD rates to stay ahead of RBI's interest rate policies. While this may disappoint conservative investors, it reflects a broader economic recalibration. If you're looking for safe, guaranteed returns, this is the time to compare FD options and lock in your funds before rates dip further. With Amrit Kalash out of the picture, Amrit Vrishti and Utsav Callable FDs are solid alternatives. These offer competitive returns and cater especially to senior citizens and retirees who depend on FDs for steady income.

Make sure to evaluate interest rates, tenures, and withdrawal options before you invest. And don't forget timing is everything in a shifting interest rate market.