Summary
- The State Bank of India offers retail domestic term deposits with interest rates varying based on booking date, tenure, and depositor category.
- Premature withdrawal incurs penalties of 0.50% for deposits up to ₹5 lakh and 1% for those above, with interest recalculated accordingly.
- Deposits are insured by DICGC only up to the statutory limit, subject to aggregation rules across accounts.
- Interest earned is taxable under Indian income-tax law, and TDS does not determine final tax liability—depositors must verify current thresholds and rules.
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