Imagine someone telling you that by saving just ₹610 a month, you could become a lakhpati. Sounds too good to be true? But this is exactly what the State Bank of India’s (SBI) ‘Har Ghar Lakhpati’ scheme promises—and it’s not a fantasy.
In today’s world, where inflation rises faster than our incomes, saving for the future isn’t just smart—it’s essential. But let’s face it: not everyone has the luxury of making big investments. That’s where SBI’s plan steps in. It’s tailor-made for everyday people who dream big, starting small.
SBI’s ‘Har Ghar Lakhpati’ is essentially a Recurring Deposit (RD) scheme. It works like a modern-day piggy bank. You deposit a small, fixed amount every month, and over time, that grows into a substantial lump sum. With just ₹610 per month for 10 years, you could walk out of the bank with over ₹1 lakh in your hand. Sounds like a movie plot? Well, this one’s based on real-life numbers.
Recently, SBI has made a minor tweak by reducing the interest rates on this scheme by 0.20%. Now, regular depositors will earn 6.55% interest annually, while senior citizens get 7.05%. Even with this reduction, the scheme remains a solid and reliable wealth-building option, thanks to the magic of regular contributions and compound interest.
Opening an account under this scheme is incredibly simple. Whether you’re opening it solo, with a partner, or in your child’s name, the process is seamless. Parents can even open a joint RD account for children under 10 years of age. It’s a flexible plan designed to suit working professionals, homemakers, students, and retirees alike.
Here’s a quick snapshot of how the scheme works:
| Feature | Details |
|---|---|
| Scheme Name | SBI Har Ghar Lakhpati (Recurring Deposit) |
| Monthly Investment | ₹610 |
| Tenure | 10 years |
| Total Deposit | ₹73,200 (₹610 x 120 months) |
| Interest Rate | 6.55% (General), 7.05% (Senior Citizens) |
| Maturity Amount | ₹1,00,000+ (May vary with rate changes) |
| Minimum Age | 10 years (with guardian for minors) |
| Tax on Interest | Nil up to ₹40,000 (₹50,000 for seniors) |
| TDS Exemption | Submit Form 15G / 15H |
What about taxes? If your annual interest income from the RD is less than ₹40,000 (or ₹50,000 for senior citizens), you don’t owe any tax. And even if you earn more interest but your total income is below the taxable limit, you can avoid TDS (Tax Deducted at Source) by submitting Form 15G or 15H to your bank.
What makes this scheme special is that it doesn’t require financial wizardry or market knowledge. It just takes consistency, a small monthly deposit, and a little patience. That’s your roadmap to becoming a lakhpati without stress or speculation.
So the next time you think of spending ₹610 on takeout or online shopping, pause and reflect—can that buy you financial freedom? Probably not. But putting that same amount into SBI’s ‘Har Ghar Lakhpati’ plan? That might just be your smartest move yet.