Union Bank of India is offering a maximum interest rate of 7.35% on fixed deposits (FDs). On a 2-year FD of ₹2 lakh, general citizens will receive a fixed interest of ₹27,528, senior citizens will receive ₹29,776, and super senior citizens will receive ₹30,908. The bank offers FDs with tenures ranging from 7 days to 10 years.
Union Bank Savings Scheme: Union Bank of India, a public sector bank, is offering fixed deposit (FD) facilities to its customers at attractive interest rates. FDs can be opened at the bank for tenures ranging from 7 days to 10 years, with interest rates ranging from 3.40% to 7.35%. On a 2-year FD of ₹2 lakh, general citizens will receive a fixed interest of ₹27,528, senior citizens will receive ₹29,776, and super senior citizens will receive ₹30,908.
Investment Tenure Options
In Union Bank of India's FD schemes, you can invest for a minimum of 7 days and a maximum of 10 years. This flexibility allows customers to invest according to their needs and future plans. Whether it's a short-term investment or long-term savings, Union Bank offers interest rates to suit every tenure.
Prevailing Interest Rates
Currently, Union Bank is offering interest rates from 3.40 percent to 7.35 percent on FDs. These rates depend on the investment tenure and the investor category. While general citizens receive slightly lower interest, senior citizens and super senior citizens are given the benefit of additional interest. This is why this scheme becomes even more attractive for elderly investors.
Interest Rates on 2-Year FDs
If you choose a 2-year FD, Union Bank is offering good returns on that as well. General citizens are being given 6.50 percent interest. Meanwhile, senior citizens get 7.00 percent and super senior citizens get the benefit of 7.25 percent interest. This means that as investors age, they get the benefit of higher returns.
FD Rate Cuts
The Reserve Bank of India has cut the repo rate by 1.00 percent this year. After reducing the repo rate in February, April and June, it was kept stable at 5.50 percent in August. After the repo rate decreased, banks reduced the interest rates on FDs. Despite this, Union Bank is still offering good interest to investors on FDs.
Returns on Investing ₹2 Lakh
Now, the most important question is how much return a customer will get on investing ₹2 lakh. If a general investor makes an FD of ₹2 lakh, they will get a total of ₹2,27,528 on maturity. This includes a fixed interest of ₹27,528.
In the case of senior citizens, due to the slightly higher interest rate, they get a total of ₹2,29,776 on maturity. This means they get a fixed interest of ₹29,776.
Meanwhile, super senior citizens benefit the most from this FD. They will get a total of ₹2,30,908 after 2 years. This includes a guaranteed interest of ₹30,908.
Why This Scheme is in the News
Union Bank's FD scheme is special because even with a small investment, the customer gets a guaranteed and fixed return. In today's time, when there is volatility in the market, people who want to invest safely prefer FDs.
