8 min read
Updated on Feb 21, 2024
Fixed deposit, popularly addressed as FD by the common Indian populace, is one of the safest investment options in the country. A lot of people in India who do not wish to take a large amount of risk with their hard-earned money prefer to deposit their savings in FDs. It is for this reason that a number of banks and financial institutions in India allow their customers to easily open an FD account. The SBI FD account facility for the customers of State Bank of India (SBI) is one such example.
The SBI, like most other banks, allows its customers to open FD accounts for risk-free safe investments. SBI fixed deposit accounts are both easy to open as well as close upon maturity (if the account holder so wishes to). Sometimes the customers may wish to close their account before maturity due to some reason. The SBI allows them to do so as well and the FD account closure can be initiated both online and offline.
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Here we share the exact process on how to close FD in SBI via online and offline methods. Read on to know the step-by-step procedure.
As is given in the name, a Fixed Deposit refers to an account that allows for investment for a fixed duration of time. The returns on the investment are also fixed at a specific rate of interest.
The SBI allows opening of FD accounts for its customers with the following features:
Just like opening the FD account with SBI is hassle-free, so is closing or breaking the FD with the bank. You can do the process online in your own convenient time and upon closure, the amount from the FD account payable to you will be credited to your account.
Here’s how to break fd in sbi online:
We learned above how to close SBI fixed deposit online. If you wish to close your account manually by visiting an SBI branch, you can break your FD account with the bank offline too.
Here’s the simple process to close your SBI FD account offline:
Here are the steps to close SBI FD online before maturity through mobile banking:
Step 9 – Now, you may verify the security codes and close the FD of SBI. You will receive a security password on your mobile number. Enter the number and click on the ‘Confirm’ button
At last, you will see a message on the screen stating that your FD account has been closed permanently and the proceeds of the account will be credited to the savings bank account that is linked to the FD.
The FD rates offered by SBI or the State Bank of India are available at a reasonable rate of interest. The bank further offers the flexibility in terms of tenure of the plan, which can be anything between 7 days to 10 years. Thus, the SBI FD account holder has the choice to close the account before or after the FD maturity.
When it comes to closing a FD account in SBI bank, it can be done either online or offline. To close it offline you can simply visit the SBI branch close to you and submit the FD certificate to start the procedure. In case of joint accounts, both the account holders must sign the document jointly.
Also, as mentioned above the depositor must submit the form of FD account closure mentioning all details such as Fixed Deposit account number, details of savings account and so on.
In case of online procedure, the account holder might log in to their internet banking to close the SBI FD online. By opting for the auto liquidation option, the account holder can get the total FD amount credited to their bank upon policy maturity.
In case your FD account with the SBI has matured to its complete term and you do not withdraw the amount at your own will, here’s what the bank can do with your account:
Read More: 1 Crore FD Interest Per Month
It is generally not advisable to withdraw the FD amount from your bank account prematurely. In some cases, the same may even attract a penalty for the customer from the concerned bank. When in doubt whether or not SBI follows these guidelines, you can check the SBI FD premature withdrawal penalty calculator online. It would tell you the exact amount of penalty that you may need to bear in the event of premature withdrawal from SBI FD account.
However, if you absolutely need to, you can break your FD account either online or offline by following the simple processes mentioned in this blog.
Yes. SBI usually charges a certain penalty amount for withdrawing the SBI FD account before the maturity due date.
In general, the FD may not appear in your net banking account if it was not opened online. Even if the FD was not opened online, it may still be possible with some banks to close it online. You can ask customer service to assist you with the online closure, though.
No, tax-saver FDs cannot be withdrawn prematurely.
If you have a SBI FD account and you want to change the maturity instructions in that account, you can do so online by logging into your account. Now, select the option of ‘Fixed Deposit’. You can see the option of ‘type of deposit account’ followed by ‘Modify Maturity Instruction’.
Now, select the FD that you want to modify the maturity instructions. Choose the correct option and select the ‘Confirm’ tab. It will change the maturity instruction on your chosen FD account.
Yes, it is important to have a savings account if you wish to create a SBI FD account. In fact, you can easily do so online by logging in to your net banking and applying to open an FD account.
Depending on the amount deposited, the account holder will receive a sum that includes the total principal amount as well as the total interest amount that is deposited on your FD at maturity.
You can use a FD calculator to evaluate the maturity amount by submitting the details like amount to be invested, interest rate, and the period of investment.
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