Good news for fixed deposit customers! Following peers, Union Bank of India has also revised its interest rates on fixed deposits. The lender is now offering a special interest rate of 7.4% to regular citizens for term deposits with a 333-day tenure.

Union Bank of India hikes FD rates for senior citizens

Senior citizens are offered an additional 50 basis points (bps), bringing the FD rate to 7.9% for the same tenure. Super senior citizens are given an extra 75 bps, resulting in an 8.15% annual interest rate on the same term deposit.

For fixed deposits with a 399-day tenure, the bank offers 7.25% per annum to regular citizens, 7.75% to senior citizens, and 8% to super senior citizens. For FD tenures between 181 to 332 days, the interest rate is 6.35%, and for FD tenures between 121 to 180 days, the rate is 5% per annum.

Also read: Bank of Baroda ‘Monsoon Dhamaka’ FD Scheme: Attractive rates for 399 days, 333 days tenors – 50 bps extra for senior citizens

For a 3-year tenure, Union Bank of India provides 6.70% to regular citizens, 7.20% to senior citizens, and 7.45% to super senior citizens. For FD tenures between 998 days to less than 3 years (excluding 999 days, which offers an interest rate of 6.4%), regular citizens receive 6.60%, senior citizens receive 7.10%, and super senior citizens receive 7.35%. For FD tenures between 3 to 10 years, the bank offers a 6.5% interest rate. These revised rates came into effect on August 2, 2024.

Union Bank of India FD rates Vs other banks FD rates

Several other banks offer competitive interest rates on fixed deposits with special tenures. For instance, Bank of Baroda offers 7.25% for a 399-day FD, Punjab National Bank offers 7.25% for a 400-day FD, and HDFC Bank offers 7.40% for a 55-month FD. These rates provide customers with various options to choose from, ensuring they can find the most beneficial rates for their fixed deposit investments.