Ujjivan Small Finance Bank, a leading small finance bank, has raised the interest rates on their term deposits with effect from May 19, 2022. It has announced an increase of 75 basis points to 6.75% for a tenure of 15 months 1 day to 18 months, for general public. For 990 days’ tenure, the bank is now offering 7.1%, an increase of 35 basis points.
Senior Citizens will earn an additional 50 basis points on fixed deposits across all tenures.
Comparison of old and revised interest rates; for Fixed Deposits (NRE, Domestic and NRO) below ₹2 Cr
As the table suggests, an individual investing ₹1,00,000 for 990 days at 7.1% can earn returns up to ₹1,21,011/- at maturity.
Ujjivan SFB allows 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.
Similarly, the bank has also increased the interest rates on the Platina Fixed Deposit to 7.45% per annum for 990 days, a revision of 35 bps. Senior Citizens investing in Platina Fixed Deposits can now earn returns of upto 7.95% p.a. for 990 days.
Customers can invest a minimum of above ₹15 lakh to below ₹2 crore under the plan. The Platina FD is non-callable, i.e. partial and premature withdrawal facility is not available in this scheme.
A senior citizen investing ₹20,00,000 in Platina FD for 990 days at 7.95% can earn returns up to ₹24,75,572/- at maturity.
Carol Furtado, Chief Business Officer, Ujjivan SFB, commented, “The decision to increase FD rates is in line with our commitment to keeping customer interest at the core of our business. The decision also takes into consideration the evolving macroeconomic backdrop. I am confident that we will remain the preferred banking partners for our customers”
This makes Ujjivan SFB interest rates on term deposits amongst the most attractive and competitive in the sector.