Union Bank of India FD Rates for Senior Citizens

The Union Bank of India generally offers a 0.50% additional rate of interest for senior citizens over the standard interest rates of FD.  

Union Back FD Rates for Senior Citizens Basic Details

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Union Bank of India FD Rates for Senior Citizens

FD Rates for Senior Citizens for the FD amount less than Rs. 2 crores.

Disclaimer: The interest rates, as mentioned above, may change from time to time according to the Bank's sole discretion or according to the market conditions.

Features of Union Bank of India FD for Senior Citizens

The features of Union Bank of India FD for senior citizens are given below:

• The interest rates on the deposited principal amount will be calculated every quarter in April, July, October, and January.

• The minimum tenure is seven days.

• The maximum tenure for senior citizens is for ten years.

• The senior citizen can avail of the loan facility in Union Bank up to 90% of the FD amount.

• The minimum FD amount for opening the FD account for senior citizens is Rs. 1,000.

• The maximum FD amount for the FD account for senior citizens has no limit.

• Premature closure is allowed in the Union Bank of India. The Union Bank of India FD Rates for senior citizens will be paid for the run period at the specified interest rate. However, a penalty will be imposed on the premature closure.

• Interest will be applicable if the FD account is closed within seven days of opening the account.

Benefits of the Union Bank of India FD for Senior Citizens

The benefits of Union Bank of India FD for Senior citizens are given below:

• Additional interest above the general interest rate will be offered to the senior citizens, i.e., 0.50% over the standard interest rate.

• Senior citizens can open the Union Bank FD account with another citizen, preferably the spouse, even if he/she is below 60 years. In this case, the name of the senior citizen should be given as the first name in the application form.

• These additional rates apply to only Indian residents on the fixed deposits up to Rs.5 crores in all the FD schemes in Union Bank.

• The senior citizen depositor can avail of fast and easy liquidity options.

• The nomination facility is available to senior citizens. They can nominate any person on the FD account.

• Depositors can withdraw their FD amount prematurely, but they need to pay minimum charges for premature withdrawal.

• According to the Income Tax Act rules, depositors can avail of the tax benefit based on the FD amount.

Eligibility Criteria

The eligibility criteria for opening the Union Bank of India FD account for senior citizens is given below:

• Any individual who has attained the age of 60 years at the date of opening the FD account can opt for a Union Bank FD for senior citizens.

• NRI/ PIO senior citizens are not eligible for the additional interest available to the Indian resident senior citizens.

Documents required 

When opening the new FD account in Union Bank one has to produce the following documents to the Bank:

• Proof of age: Date of birth certificate / Voters id/ 10th marks-sheet/ passport/ pension payment order, etc.

• Identity proof:  Aadhaar card/ voter id/ passport/ electricity bill, etc.

• Address proof: Aadhar card/ voter id, etc.

• The application form of the Union Bank of India FD accounts for senior citizens.

• Passport size photos of the applicant.

Factors that affect the Union Bank of India FD Rates for Senior Citizens

The factors that affect the Union Bank of India FD rates for senior citizens are given below:

• FD tenor: FD account tenure is one of the main factors that affect the Union Bank of India FD Rates for senior citizens. A longer FD account tenure will ensure a higher interest rate.

• FD amount: If the FD amount that the senior citizen invested in the Bank is higher, then, automatically, the rate of interest earned by the depositor increases.

• Age of the depositor: The age criteria for the senior citizens' FD account are the main eligibility criteria for opening the FD account. As the age increases, the rate of interest will also increase.

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