SBI MIS Scheme 2026: Interest Rates, Benefits & How It Works

Worried about unpredictable returns or stock market risks? The SBI MIS Scheme offers a simple solution—invest once and earn every month. With flexible tenure options and SBI’s trusted backing, it is ideal for investors seeking low-risk, consistent income. The SBI Monthly Income Scheme, or SBI MIS scheme, is a simple fixed deposit plan from the State Bank of India that turns your one-time investment into regular monthly payouts.

In this blog, we will explore

• What is the SBI Scheme?
• Key Features
• SBI Scheme Interest Rates
• Types of SBI MIS Schemes
• Steps to apply for the SBI Monthly Income Scheme offline

What is the SBI MIS Scheme?

The SBI MIS Scheme is one of the best savings options for generating a safe and steady monthly income by paying minimal interest every month. It is ideal for retirees and individuals looking for features in investment plans like regular, low-risk returns with flexible tenures and easy investment through SBI branches or online channels.

SBI MIS Interest Rate Breakdown

Now, the part everyone cares about: returns. The SBI MIS interest rate floats between 6.5% and 7.5% per year, generally, but seniors get an extra 0.5% bump, up to 7.65%.

Key Features of SBI Monthly Income Scheme

1. Minimal Investment Scheme - You can begin investing with a minimum deposit of ₹1,000, making it affordable for most investors.
2. Premature Withdrawal Option - In times of financial emergency, if you need money before maturity, early withdrawal is allowed.
3. 0.50% for deposits up to ₹5 lakh - 1% for deposits from ₹5 lakh to ₹2 crore and above
4. Competitive Interest Rates - Enjoy steady growth with interest rates ranging from 3.3% to 7.5%. 
5. Loan Against Deposit - You can avail a loan against your deposit with convenient EMI options, subject to a 10–15% margin, depending on the tenure.
6. Nomination Facility - You can add a nominee to ensure smooth financial planning for your family.
7. Passbook Facility - A passbook is provided to help you monitor your investment with regular updates.

Types of SBI MIS Schemes

SBI Monthly Income Fixed Deposit (Monthly Interest FD)

Key feature

• Interest is added monthly to your savings account.
• Principal is returned at maturity.
• Fixed and predictable income
• Suitable for retirees and conservative investors

Tenure - 7 days to 10 years

Interest rate

• Same as regular FD rates (monthly payout is slightly adjusted)
• The minimum deposit amount is  1000.
• Deposits of 2 crore and above are treated as bulk deposits.

2. SBI Annuity Deposit Scheme

Designed for individuals seeking a regular monthly income and a gradual return of principal.

Key features

• The monthly payout includes interest and a portion of the principal.
• Income continues till the end of the chosen tenure.
• Ideal for retirement planning

Tenure - 3, 5, 7, or 10 years

3. SBI Mutual Fund – Monthly Income Plans (MIP)

Key features

• Market-linked (debt-oriented with some equity exposure)
• Monthly income is not fixed.
• Better tax efficiency than FD for some investors
• Higher risk than FD, but potential for better returns

4.  SBI RD / FD with Auto Monthly Interest Transfer

• Interest from the FD is automatically credited monthly.
• Useful for salary-style income planning.

Simple steps to apply SBI MIS Scheme online

• Log in to SBI Internet Banking at SBI.
• Click on ‘Fixed Deposit’ or ‘Annuity Deposit’ options to open an MIS account.
• Fill in the deposit details and tenure, then confirm and submit.
• You can use the YONO SBI App (available on Android or iOS) as an alternative.

Steps to apply for the SBI Monthly Income Scheme offline

Step 1: You can visit your nearest SBI branch.

Step 2: Submit the required documents:

• PAN card
• ID proof
• Address proof
• A passport-size photo

Step 3: Fill in the MIS application form provided at the branch.

Step 4: Choose your deposit amount and tenure (36, 60, 84, or 120 months).Step 5: Submit the form with the documents to the bank officer.
Step 6: You can make your first deposit via cash, cheque, or bank transfer.
Step 7: Collect your passbook or receipt after a successful submission.
Step 8: Set a nominee (optional) for added safety.

Bottom Line

The SBI MIS Scheme ensures a secure and consistent monthly income, making it the best investment option for retirees and conservative investors. With flexible tenures, easy application options, and assured monthly payouts, it offers convenience and reliability. Supported by SBI’s trusted name, this scheme helps you earn a regular income with confidence and minimal stress.