Good news for people looking to park their money in fixed deposits. Ujjivan Small Finance Bank has raised the interest rates on their term deposits with effect from August 9, 2022, and is offering an attractive rate of 7.5% on three tenures – 75 weeks, 75 months and 990 days.
Senior Citizens will earn an additional 75 basis points on fixed deposits across all tenures.
Ujjivan SFB would allow monthly, quarterly and at maturity interest pay-out options.
The above interest rates are applicable on Tax Saver Fixed Deposits too. However, they carry a lock-in period of five years.
Comparison of old and revised interest rates for Fixed Deposits (Domestic and NRO) below ₹2 Cr
As the table suggests, an individual investing Rs 1,00,000 for 75 weeks at 7.5% can earn returns up to Rs 1,11,282/- at maturity. Similarly, senior citizens investing Rs 1,00,000 for 75 weeks at 8.25% can earn returns up to Rs 1,12,466/- at maturity.
Similarly, the bank has also increased the interest rates on the Platina Fixed Deposit, to 7.7% per annum, for 990 days’ tenure, an increase of 20 basis points over the regular deposit. Customers can invest a minimum of above Rs 15 lakh to below Rs 2 crore under the plan. The Platina FD is non-callable, i.e. partial and premature withdrawal facility is not available in this scheme.
Speaking on the occasion, Carol Furtado, Chief Business Officer, Ujjivan SFB, said, “India completes 75 years of Independence and as we usher in a new era, growing our customers’ savings through the enhanced interest rates on fixed deposits is our humble contribution. The decision also reinforces our commitment towards the interest of our customers in the context of the present macroeconomic developments. We are confident our FD customers would take the benefit of rise in deposit rates and respond positively to our initiative.”