New Delhi: Since May 2022, banks have begun increasing the interest rates on fixed deposits (FDs). Banks begin announcing a rise in the interest rate on term deposits once the Reserve Bank of India (RBI) raises the repo rate. Following suit, Unity Bank also hikes its FDs interest rates. The bank currently provides elderly persons with an alluring rate of 9 percent annually on selected FDs. The Unity Bank has adjusted its FD interest rate thrice so far in November. The bank’s website states that as of tomorrow, November 21, the interest rate has changed.
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In a move to capitalise on the current environment of high-interest rates and the popularity of its recently introduced “Shagun” special fixed deposit interest rates, Unity Small Finance Bank has raised the interest rates. Senior citizens can now invest in fixed deposits with Unity Bank at a competitive rate of 9 percent annually for terms of 181 or 501 days, respectively, and 8.5 percent for other regular investors.
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Additionally, Unity Bank raised the interest rates it charges on both callable and non-callable bulk deposits. Up to 8 percent interest is offered on callable bulk deposits annually. Non-callable bulk deposits, however, offer annual interest rates of up to 8.1 percent.
According to a press release from the bank, “For early withdrawal of fixed deposit, interest rate due would be equivalent FD rate minus 1 percent for the tenor for which the deposit has actually run.”
