The SBI Education Investment Plan 2025 has become a popular choice for parents planning their children’s education with a safe, disciplined and goal-based approach. By investing just ₹7,000 per month, investors can build a corpus of around ₹5.10 lakh in 6 years, making it suitable for school fees, coaching expenses or early college planning.
This plan is commonly structured using SBI Recurring Deposit (RD) or education-focused savings-linked investment options offered by the bank.
What Is the SBI Education Investment Plan
The SBI Education Investment Plan is not a single standalone scheme but a goal-oriented savings approach, usually built through an SBI Recurring Deposit. It allows parents to deposit a fixed amount every month and earn assured returns with compounding benefits. The plan is ideal for those who prefer zero market risk and guaranteed maturity value.
How ₹7,000 Monthly Becomes ₹5.10 Lakh in 6 Years
Regular monthly deposits combined with compound interest help build a sizable fund over a short-to-medium term. SBI RD interest rates for 2025 are around 6.5% to 6.7% per annum, depending on tenure.
SBI Education Plan 2025 Returns Calculation
| Details | Amount |
|---|---|
| Monthly Deposit | ₹7,000 |
| Investment Period | 6 Years (72 months) |
| Total Investment | ₹5,04,000 |
| Interest Rate (Approx.) | 6.5% – 6.7% p.a. |
| Maturity Amount | ₹5.10 lakh (approx.) |
The exact maturity amount may vary slightly based on the interest rate applicable at the time of account opening.
Why Parents Prefer This SBI Plan for Education
The biggest advantage is guaranteed returns with no market exposure. Parents can plan expenses confidently without worrying about volatility. The monthly deposit amount is affordable, making it easy to maintain discipline over six years.
Who Should Choose This Education Investment Plan
This plan is ideal for parents of school-going children, first-time investors and conservative savers who want predictable returns. It is especially useful for families planning near-term education expenses rather than long-term wealth creation.
Tax and Withdrawal Rules
Interest earned on SBI RD is taxable as per the investor’s income tax slab. SBI may deduct TDS if interest exceeds the prescribed limit. Premature withdrawal is allowed, though it may attract a small penalty and reduced interest.
How to Start the SBI Education Investment Plan 2025
The plan can be started by opening an SBI Recurring Deposit account at a branch, through internet banking or via the YONO SBI app. Basic KYC documents and a savings account with SBI are required.
How This Plan Supports Education Goals
By the end of six years, the maturity amount can be used for tuition fees, entrance exam coaching, study materials or early college costs. Since the returns are predictable, families can align the maturity with specific education milestones.
One Quick Takeaway Section
A monthly investment of ₹7,000 in SBI’s education-focused savings plan can help build around ₹5.10 lakh in 6 years, offering safety, discipline and assured returns.
Conclusion: The SBI Education Investment Plan 2025 is a smart option for parents who want a low-risk, short-term education fund. With affordable monthly deposits and guaranteed maturity, it ensures financial readiness for important academic expenses without market uncertainty.
Disclaimer: Returns are indicative and based on prevailing SBI RD interest rates. Actual maturity value may change if interest rates are revised by the bank.