Can ₹600 monthly make you a lakhpati? SBI’s Har Ghar Lakhpati scheme promises ₹1 lakh with small savings! Discover how this recurring deposit plan offers secure, high returns. Uncover the secret to financial freedom—start your journey to millions with SBI today!
Transforming your small monthly savings into a life-changing ₹1 lakh or more, all while enjoying the security of India’s most trusted bank. The State Bank of India (SBI) has launched the Har Ghar Lakhpati scheme, a revolutionary recurring deposit (RD) product designed to make every Indian household a lakhpati. But how does this scheme work? Can it really turn your modest savings into a substantial corpus? Let’s dive into the details of this exciting financial opportunity and uncover why it’s creating a buzz across India
What is the SBI Har Ghar Lakhpati Scheme?
The Har Ghar Lakhpati scheme is a customized recurring deposit product introduced by SBI to empower individuals to achieve financial milestones. Launched on January 3, 2025, this scheme allows you to save small amounts monthly and accumulate ₹1 lakh or multiples thereof by the time your deposit matures. Whether you’re saving for a dream vacation, a child’s education, or a down payment for a home, this scheme simplifies your financial journey with disciplined savings and attractive returns.
Why should you care? Because this scheme isn’t just about saving money—it’s about making financial independence accessible to everyone, from young professionals to senior citizens and even minors. Curious to know how you can become a lakhpati? Let’s explore the key features that make this scheme a game-changer.
Key Features of the Har Ghar Lakhpati Scheme
The Har Ghar Lakhpati scheme is packed with features that make it flexible, inclusive, and rewarding. Here’s what you need to know:
- Nature of Deposit: Recurring Deposit (RD), allowing you to save a fixed amount monthly.
- Purpose: To help customers become lakhpati by accumulating ₹1 lakh or more through small, regular savings.
- Eligibility: Open to all resident individuals (single or joint accounts), including minors above 10 years who can sign legibly. Minors below 10 can open accounts with parents or legal guardians.
- Tenure: Flexible deposit periods ranging from 3 to 10 years, giving you the freedom to choose a timeline that suits your goals.
- Minimum Deposit: Starts at just ₹560 per month for a 10-year tenure (for staff senior citizens aiming for ₹1 lakh).
- Maturity Amount: Pre-calculated to ensure you reach ₹1 lakh or multiples (₹2 lakh, ₹3 lakh, etc.) based on your chosen tenure and monthly installment.
- Interest Rates: Competitive rates that vary by tenure and customer category (see Table B below).
- Premature Closure Penalties: 0.50% for principal amounts up to ₹5 lakh; 1% for amounts above ₹5 lakh. No interest is paid if the deposit is closed within 7 days.
- Tax Deduction: Subject to Income Tax rules, ensuring compliance with regulations.
- Default Penalties: ₹1.50 per ₹100 per month for tenures up to 5 years; ₹2.00 per ₹100 per month for tenures above 5 years. Accounts with six consecutive missed installments are closed, with the balance transferred to your linked SBI savings account.
- Service Charge: ₹10 for accounts with three or more consecutive missed installments, paid out on or after maturity without regularization.
These features make the scheme accessible, flexible, and secure, aligning with SBI’s mission to foster financial inclusion and empower every Indian household. But what about the returns? Let’s break down the numbers to see how much you need to invest to become a lakhpati.
How Much Do You Need to Save to Become a Lakhpati?
The Har Ghar Lakhpati scheme is pre-calculated to help you reach a maturity amount of ₹1 lakh or more. The monthly installment depends on your chosen tenure and customer category (general public, senior citizens, staff, or staff senior citizens). Here’s a detailed look at the monthly deposits and interest rates as of May 31, 2025:
Table A: Monthly Installment for ₹1 Lakh Maturity
| Tenure (Years) | General Public | Senior Citizen | Staff | Staff Senior Citizen |
| 3 | ₹2,510 | ₹2,500 | ₹2,480 | ₹2,450 |
| 4 | ₹1,820 | ₹1,810 | ₹1,790 | ₹1,780 |
| 5 | ₹1,420 | ₹1,410 | ₹1,390 | ₹1,370 |
| 6 | ₹1,150 | ₹1,130 | ₹1,120 | ₹1,100 |
| 7 | ₹960 | ₹940 | ₹920 | ₹910 |
| 8 | ₹810 | ₹800 | ₹780 | ₹760 |
| 9 | ₹700 | ₹680 | ₹670 | ₹650 |
| 10 | ₹610 | ₹600 | ₹580 | ₹560 |
Table B: Interest Rates
| Tenure (Years) | General Public | Senior Citizen | Staff | Staff Senior Citizen |
| 3 | 6.55% | 7.05% | 7.55% | 8.05% |
| 4 | 6.55% | 7.05% | 7.55% | 8.05% |
| 5 | 6.30% | 6.80% | 7.30% | 7.80% |
| 6 | 6.30% | 6.80% | 7.30% | 7.80% |
| 7 | 6.30% | 6.80% | 7.30% | 7.80% |
| 8 | 6.30% | 6.80% | 7.30% | 7.80% |
| 9 | 6.30% | 6.80% | 7.30% | 7.80% |
| 10 | 6.30% | 6.80% | 7.30% | 7.80% |
Note: Installment amounts are based on current interest rates and may change with revisions. The maturity value is rounded to the nearest rupee and paid 30 days after the last installment or at the end of the chosen tenure, whichever is later.
Example Scenarios
- General Public: Save ₹2,510 monthly for 3 years at 6.55% to reach ₹1 lakh, or just ₹610 monthly for 10 years.
- Senior Citizens: Invest ₹2,500 monthly for 3 years at 7.05% or ₹600 monthly for 10 years to achieve the same goal.
- Staff Senior Citizens: As little as ₹560 monthly for 10 years at 7.80% can make you a lakhpati.
These figures show how small, consistent savings can grow into a significant corpus, thanks to quarterly compounding interest. But what happens if you miss a payment or need to withdraw early? Let’s find out.
Flexibility and Penalties: What You Need to Know
The Har Ghar Lakhpati scheme offers flexibility but comes with rules to ensure disciplined saving:
- Partial Payments: You can make partial payments, but delayed payments incur penalties of ₹1.50 per ₹100 per month (tenures ≤ 5 years) or ₹2.00 per ₹100 per month (tenures > 5 years). Penalties won’t exceed the interest earned.
- Premature Closure: Early withdrawal attracts a penalty of 0.50% (principal ≤ ₹5 lakh) or 1% (principal > ₹5 lakh). Interest is reduced by 0.50% or 1% below the applicable or contracted rate, whichever is lower. No interest is paid if the deposit is closed within 7 days.
- Default and Closure: Missing six consecutive installments leads to premature closure, with the balance transferred to your linked SBI savings account.
- Advance Payments: Paying installments early doesn’t change the maturity amount, ensuring predictability.
- Service Charge: A ₹10 fee applies if three or more consecutive installments are missed and the account isn’t regularized by maturity.
These terms ensure the scheme remains structured while offering some leeway for savers. But why choose this scheme over other investment options? Let’s explore its benefits.
Why Choose the Har Ghar Lakhpati Scheme?
The Har Ghar Lakhpati scheme stands out for several reasons, making it an attractive choice for Indians seeking secure, goal-oriented savings:
- Accessibility for All: Open to everyone—resident individuals, minors, senior citizens, and even SBI staff. Joint accounts add flexibility for families.
- Low Entry Barrier: Start with as little as ₹560 per month (for staff senior citizens over 10 years), making it affordable for all income levels.
- Guaranteed Returns: Backed by SBI, India’s largest and most trusted bank, your savings are secure with predictable returns.
- Flexible Tenure: Choose a 3- to 10-year period to align with your financial goals, whether short-term or long-term.
- Encourages Financial Discipline: Regular monthly deposits foster a savings habit, perfect for young savers and retirees alike.
- Higher Rates for Seniors and Staff: Senior citizens and SBI staff enjoy enhanced interest rates, maximizing returns.
- Tax Compliance: Tax deductions at source follow Income Tax rules, ensuring transparency.
- Nationwide Reach: Open and manage accounts at any SBI branch or online via the SBI YONO app, making it convenient for urban and rural savers.
But is it all smooth sailing? What are the potential drawbacks, and how does this scheme compare to other investment options? Let’s take a closer look.
Potential Drawbacks and Comparisons
While the Har Ghar Lakhpati scheme is a solid choice for risk-averse savers, it’s not without limitations:
- Penalties for Irregularity: Missing payments or withdrawing early incurs penalties, which could reduce your returns.
- Fixed Returns: Unlike market-linked investments like mutual funds or stocks, RD returns are fixed and may not beat inflation over long tenures.
- Taxable Interest: Interest earned is taxable, which could reduce your net returns depending on your tax slab.
- Account Closure Risk: Six consecutive missed installments lead to automatic closure, which could disrupt your savings plan.
Comparison with Other Investments
- Fixed Deposits (FDs): FDs require a lump-sum investment, while RDs like Har Ghar Lakhpati allow small, regular deposits, making them ideal for those with limited upfront capital.
- Mutual Funds (SIPs): Systematic Investment Plans (SIPs) offer potentially higher returns but come with market risks, unlike the guaranteed returns of RDs.
- Post Office Schemes: Post Office RDs offer similar security but may have lower interest rates or less flexibility compared to SBI’s scheme.
For those prioritizing safety and predictability, the Har Ghar Lakhpati scheme is a standout choice. But how has it performed since its launch?
Real-World Impact: 0.63 Million Accounts and Counting
Since its launch on January 3, 2025, the Har Ghar Lakhpati scheme has seen remarkable traction. By February 17, 2025, SBI opened 0.63 million accounts under this scheme, showcasing its popularity among savers. This rapid adoption reflects the scheme’s appeal as a safe, accessible, and goal-oriented savings tool.
SBI Chairman C.S. Setty emphasized, “We aim to create goal-oriented deposit products that enhance financial returns and align with our customers’ aspirations. We are redefining traditional banking to make it more inclusive.” This vision has resonated with millions, making the scheme a cornerstone of SBI’s deposit mobilization strategy.
How to Get Started with Har Ghar Lakhpati
Ready to become a lakhpati? Opening an account is simple:
- Visit an SBI Branch: Head to your nearest SBI branch with identity proof, address proof, and a linked SBI savings account.
- Use SBI YONO App: Open an account online via the SBI YONO app for a seamless digital experience.
- Choose Your Tenure and Installment: Refer to Table A to select a tenure and monthly deposit that aligns with your goal of ₹1 lakh or more.
- Set Up Auto-Debit: Link your savings account for automatic monthly deductions to stay disciplined.
- Monitor Your Progress: Use SBI’s online banking or passbook to track your savings growth.
Pro Tip: Use the SBI Har Ghar Lakhpati Scheme Calculator on the SBI website to estimate your monthly installments and maturity amount based on current interest rates.
Why This Scheme is a Game-Changer for India
The Har Ghar Lakhpati scheme isn’t just a financial product—it’s a movement toward financial empowerment. By making it possible for every household to save systematically and achieve significant milestones, SBI is contributing to India’s vision of becoming a developed nation by 2047. Whether you’re a young professional starting your savings journey, a parent planning for your child’s future, or a senior citizen seeking secure returns, this scheme has something for everyone.
Final Thoughts: Is Har Ghar Lakhpati Right for You?
The SBI Har Ghar Lakhpati scheme is a golden opportunity for anyone looking to build wealth through disciplined, small savings. With flexible tenures, competitive interest rates, and the backing of SBI’s trusted legacy, it’s a low-risk, high-reward option for achieving your financial dreams. However, stay mindful of penalties for missed payments or early withdrawals, and consider your tax obligations.
Are you ready to take the first step toward becoming a lakhpati? Visit SBI’s official website or download the SBI YONO app to start your savings journey today. Don’t wait—your financial future is just a small monthly deposit away
