Union Bank of India offers a Fixed Deposit (FD) scheme that provides safety and attractive returns for investors. The interest rates range from 3.00% to 7.00% p.a., with a minimum deposit of ₹1,000, and the tenure ranges from 7 days to 10 years. Keep reading this article to know more about Union Bank of India's FD and its latest interest rates for 2025.
Please note that the interest rates provided in the table below are effective from 7th July, 2025.
Deposit Tenure | General Public | Senior Citizens |
7–14 days | 3.40% | 3.90% |
15–30 days | 3.40% | 3.90% |
31–45 days | 3.40% | 3.90% |
46–90 days | 4.40% | 4.90% |
91–120 days | 4.70% | 5.20% |
121–180 days | 4.90% | 5.40% |
181 days to <1 year | 6.15% | 6.65% |
1 year | 6.60% | 7.10% |
Above 1 year to 398 days | 6.60% | 7.10% |
399 days | 6.60% | 7.10% |
400 days | 6.60% | 7.10% |
401–455 days | 6.50% | 7.00% |
456 days | 6.60% | 7.10% |
457 days to 2 years | 6.50% | 7.00% |
Above 2 years to 996 days | 6.50% | 7.00% |
997 days | 6.30% | 6.80% |
Above 998 days to <3 years | 6.50% | 7.00% |
3 years | 6.60% | 7.10% |
Above 3 years to 5 years | 6.40% | 6.90% |
Above 5 years to 10 years | 6.40% | 6.90% |
*Interest rates are subject to change.
Tenure | 7 days to 10 years |
Public Interest Rates | 3.40% to 6.40% p.a. |
Senior Citizen Interest Rates | 3.90% to 6.90% p.a. |
Highest Interest Rate for Public | 6.40% p.a. |
Highest Interest Rate for Senior Citizens | 6.90% p.a. |
Premature Withdrawal Penalty | 1.00% |
Minimum Deposit | Rs. 1000 |
Here is a list of eligible candidates to open an FD account with Union Bank of India. However, it may vary for certain schemes:
Deposit Tenure | General Customers | Senior Citizens |
7 days to 1 year | 3.40% - 6.00% | 3.90% - 6.50% |
Deposit Tenure | General Customers | Senior Citizens |
1 - 5 years | 6.00% - 6.40% | 6.50% - 6.90% |
Deposit Tenure | General Customers | Senior Citizens |
5 - 10 years | 6.40% | 6.90% |
Union Bank of India offers the following tax-saver deposit schemes:
The bank offers a flexible tax-saver FD scheme that allows you to make deposits in monthly instalments (standing instructions), single lump sum, or as and when you get surplus funds at hand for depositing. This tax-saver FD scheme allows you to make deposits through monthly instalments, lump sum, or as and when you have surplus funds for investing.
You can deposit money in small bits throughout a financial year and get IT exemptions under Section 80C. The maximum deposit limit for this account is Rs.1.5 lakh. You can choose the payment method you are comfortable with and make payments throughout a financial year and still get IT exemption under Section 80C of the Income Tax Act, 1961.
Any deposit made will be locked in and swept out for five years. All individuals and HUFs who have PAN are eligible to deposit money in this product.
This is the general tax-saver FD scheme that requires you to deposit a lump sum to avail IT benefits under Section 80C of the Income Tax Act. Individuals and HUFs having PAN can open this account. The account can have a single holder or joint holder.
The minimum deposit tenure is 5 years, and the maximum term can go up to 10 years. A lock-in period of 5 years is applicable to this account. The deposit can be from Rs.5,000 up to Rs.1.5 lakh. TDS will be deducted as per the prescribed guidelines.
If the interest earned on your fixed deposit is more than Rs 40,000 during the financial year, the bank deducts tax at the source @ 10%. Further, the tax levied on the returns is dependent on the tax bracket you fall into irrespective of the interest rate or other factors.
This scheme abides by the Capital Gain Account Scheme, 1988, as stated by the Ministry of Finance. Taxpayers can avail the benefit of exemption from capital gains by depositing the amount of capital gains or the net consideration in this account before the due date for filing IT returns.
Bank Name | Regular Customers (% p.a.) | Senior Citizens (% p.a.) |
3.00% – 7.35% | 3.50% – 7.85% | |
4.55% – 7.30% | 5.05% – 7.80% | |
3.00% – 7.25% | 3.50% – 7.75% | |
5.00% – 7.50% | 5.00% – 8.00% | |
4.00% – 7.25% | 4.00% – 7.75% | |
4.25% – 7.25% | 4.75% – 7.75% | |
3.00% – 7.25% | 3.50% – 7.80% | |
2.85-7.50% p.a. | 3.35- 8.00% p.a. | |
2.10% – 7.77% | 2.60% – 8.27% | |
3.50% – 7.10% | 4.00% – 7.60% | |
4.00% – 7.30% | 4.50% – 7.80% | |
3.00% – 7.00% | 3.50% – 7.50% | |
2.80% – 7.25% | 3.30% – 7.75% | |
3.00% – 7.75% | 3.50% – 8.25% | |
6.90% – 7.50% | 6.90% – 7.50% | |
2.75% – 7.40% | 3.25% – 7.90% |
Our easy-to-use FD calculator page helps you predict the returns you may receive upon depositing your money in an FD account.
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