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Union Bank FD Interest Rates

3.00% - 5.60%
Interest rates
3 months - 10 years
Time Period
₹1000 - no limit
Min. - Max amount
QUARTERLY
Compounding

About Union Bank FD

Union Bank of India is a government-owned bank managed by the Ministry of Finance. UNI has a customer base of 120+ million customers and provides multiple banking and financial services to its customers.

Investing your surplus money in fixed deposits is considered one of the best ways of securing the money for certain tenure. The competitive Union Bank FD interest rates allow depositors to get substantial returns. Customers are allowed to deposit at least the minimum deposit amount at the time of opening the FD account.

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Started On1919
Head QuartersMumbai
CRISIL RatingNA
CEOShri Rajkiran Rai G
Listed on exchange asUnited Bank of India
ICRA RatingNA

Union Bank FD Rates 2022

TenureRegular customersSenior citizens
1
2

Features and Benefits of Union Bank FD

  • The tenure for Union Bank FDs ranges from 7 days to 10 years
  • Loan facility of up to 90% of the FD amount is available
  • Union Bank offers a wide range of fixed deposit schemes to choose from
  • Competitive interest rates are offered for all FD schemes
  • Senior citizens can avail 0.50% extra interest rates over the general interest rates
  • Easy and fast liquidity options are available

Types of Union Bank FD Schemes

Short Deposit Receipt

  • The minimum tenure of this deposit is 7 days
  • These deposits can be held for a period of 179 days or less
  • The minimum deposit amount required is Rs. 5 lakh for a period of 7-14 days

Union Bank of India Fixed Deposit Receipt

  • Under this scheme, a lower deposit amount will suffice to open the account. The features pertaining to these deposits are:
  • The tenure ranges from 7 days to 10 years
  • The minimum deposit amount for this scheme is Rs. 10,000
  • The Union Bank of India FD interest is paid on a quarterly basis
  • Nomination facility is available
  • Senior citizens can avail of an additional 0.50% interest rate over the regular rates

Union Bank of India Monthly Income Scheme

  • As the name implies, under this scheme, all resident individuals can open an account solely or jointly to get payments every month
  • The interest earned is paid on a monthly basis
  • The monthly interest earned is the discounted value of the actual interest
  • The interest is credited to the depositor’s savings/current or cumulative account during the last week of every month
  • Nomination facility is available
  • Senior citizens can earn a 0.50% extra interest for deposits made equal to more than a tenure of 1 year 

Union Bank of India Deposit Reinvestment Certificate

  • This scheme yields the highest returns due to its cumulative nature. It is an ideal scheme in which the interest is compounded on a quarterly basis and paid along with the principal amount. Some of the features are:
  • The tenure ranges from 6 months to 10 years respectively
  • The minimum deposit amount is Rs. 500 in Urban/Metro centers and Rs. 100 in Rural/Semi-urban centers
  • Nomination facility is available on this deposit

Union Bank of India Tax Saver Deposit

  • As the name implies, this scheme helps depositors to save tax under Section 80C of Income Tax Act, 1961. Some of the features are:
  • Only individuals wand HUFs with a valid PAN card can open this account
  • An individual can make the deposit himself and in the case of HUFs, the Karta can do the same
  • Two individuals or one adult and one minor can also open an account under this scheme on a joint basis
  • The minimum deposit amount to open this account is Rs. 5000
  • The deposit must be made for a minimum of 5 years to be eligible for tax exemption
  • The deposit can be transferred from one branch to the other easily
  • Interest payout on the deposit can be chosen to be received at regular, quarterly or monthly intervals as decided by the depositor
  • Nomination facility is available

Union Bank of India Easy Tax Saver Deposit Scheme

  • This is another tax saver scheme by Union Bank which is quite similar to Union Tax Saver Deposit but with different features. Some of the features of this scheme are:
  • The deposit made under this scheme would be exempted from tax under section 80C of Income Tax Act, 1961
  • The total deposit in a financial year should not be more than Rs. 1.5 lakh
  • Deposits can be made multiple times under this scheme
  • These deposits can be made in either monthly installment (standing instruction/sip), in lump sums or whenever you have surplus funds for investing

Motor Accident Claims Annuity (Term) Deposit Account (MACAD)

  • One-time lump sum amount, as decided by the Court / Tribunal, deposited to receive the same in Equated Monthly Instalments (EMIs), comprising a part of the principal amount as well as interest. Some of the features are:
  • The minimum deposit amount is based on the minimum monthly annuity Rs. 1000 for the relevant period. However, there is no maximum limit.
  • The tenure ranges from 36 to 120 months
  • Loan facility is not provided
  • Nomination facility is available
  • The interest payment is subject to TDS
  • The prevailing rate of interest as per the tenure will be provided

Term wise Union Bank FD Rates

Short-term Deposits

 For a Union Bank of India FD with tenure ranging from 7 days to 12 months, the interest rate offered is from 3.00% p.a. to 5.25% p.a. These deposits are known as short term deposits as their tenure is less than 1 year.

Medium-term Deposits

Medium-term fixed deposits have their tenures ranging from more than 1 year to less than 5 years. The interest offered by the bank on these deposits is around 5.30% – 5.55% p.a.

Long-term Deposits

These deposits have their tenure ranging from 5 years to 10 years and offer an interest rate of 5.60%.

Union Bank vs Other Banks' FD Rates

NameTenureInterest rate
1
2
3
4
5

How to invest in Union Bank FD?

A Union Bank FD account can be opened through different modes like Mobile App, Internet Banking, and offline.

1) Internet Banking

Follow the below-mentioned steps for opening a Union Bank FD account via internet banking-

  • Sign to the Union Bank of India NetBanking account.
  • Under the main menu, choose ‘Fixed Deposit’.
  • Furnish all the necessary information, nominee details, and maturity instructions.
  • For completing the deposit opening process, click on 'Submit'. On successful booking, a confirmation message will be displayed.

2) Mobile App - Union Bank of India App

Follow the steps mentioned ahead to open an FD account via the Union Bank of India App-

  • Download the Union Bank of India App and sign in.
  • Choose the ‘Fixed Deposit’ option and fill out all the relevant details, nominee information, and maturity instructions.
  • For completing the deposit opening process, click on 'Submit'. On successful booking, a confirmation message will be displayed.

3) Offline Union Bank of India FD Opening

For opening a Union Bank of India FD account via offline mode, one has to visit the nearest Union Bank of India branch. Fill out the Union Bank of India FD application form and present all the necessary documents with the deposit amount. On successful processing of the application, an FD receipt will be provided by the Union Bank of India.

Eligibility to Open a Union Bank FD Account

Any individual belonging to any of the following groups are eligible to open a fixed deposit account with Union Bank.

  • Residential Indians, holding an individual or joint account
  • Minors with co-signing adults
  • Members of Hindu undivided family or HUF
  • Societies, clubs and associations
  • Agencies and institutions
  • NRIs
  • public and private limited companies

However, keep in mind that tax saving FD schemes are only available to an individual or joint account holders. Agencies or corporations cannot invest through these plans.

Documents Required to Open Union Bank FD

Interested investors need to furnish valid identity and address proof before opening a Union Bank of India FD account.

Proof of Identity (Any One)

  • PAN card
  • Passport
  • Aadhaar card
  • Driving license
  • Ration card with photo
  • Voter ID
  • Senior citizen identification when applicable

Proof of Address (Any One)

  • Electricity bill
  • Telephone bill
  • Aadhaar card
  • Bank statement including cheque
  • Post Office issued certificate

 

FAQs

What is the minimum amount required to book an FD with Union Bank of India?

You can open a Union Bank FD with minimum Rs. 1000. Also, there is no limit on the maximum amount.

What is the FD rates provided by Union Bank of India FD?

The FD rates provided by UBI is 3.00% to 5.60% for regular citizens and 3.50% - 6.10% for senior citizens.

What is the highest interest rate provided by Union Bank on FD?

The maximum interest provide Union Bank of India on FD is 5.60%

What is the tenure of Union Bank of India FD?

The Union Bank of India FD tenure ranges from 7 days to 10 years.

Is nomination facility provided by the bank?

Yes, nomination facility is available

Calculate Union Bank of India FD Interest
Investment Amount
₹25,000.00
Time Period
9 Months
1 Year
2 Years
3 Years
Maturity Amount
Union Bank of India
@5.25% p.a
Get higher interest rates
online upto 0%
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