The state-run Union Bank recently revised its fixed deposit interest rates.
Fixed deposits (FDs) are secure financial instruments, which offer guaranteed returns.
In a fixed deposit account, money is deposited for a specific time, which varies from seven days to 10 years.
Besides, fixed deposit offer higher interest rates than savings accounts.
Normal savings accounts offer interest rates between 3-4 per cent usually.
Fixed deposits, however, offer much higher interest rates than savings accounts.
The fixed deposit accounts which have a lock-in period of five or 10 years also offer income tax benefit under Section 80C of the Income Tax Act.Here is a comparison of fixed deposit (FD) rates offered by Union Bank, State Bank of India, (SBI), Punjab National Bank (PNB), Bank Of Baroda and Canara Bank:Fixed deposit (FD) rates offered by Union Bank (Below Rs.
1 crore):Interest rates effective from September 27, 2018 (percentage per annum)Tenorslt; Rs.
1 Cr7 day 14 day515 day 30 day531 day 45 day546 day 90 day5.591 day- 120 day6.25121 day to - 179 days6.25180 days6.5181 day to <10 Month6.510 Month to 14 Month6.75gt;14 Month to 3 Year6.7gt;3 year - 5 Year6.85gt;5 year - 10 Year6.85Fixed deposit (FD) rates offered by State Bank of India (Below Rs.
1 crore):Revised from July 30, 2018:TermInterest rate for general public w.e.f.
30.07.2018Interest rate for senior citizens w.e.f.
30.07.20187 days to 45 days5.756.2546 days to 179 days6.256.75180 days to 210 days6.356.85211 days to less than 1 year6.46.91 year to less than 2 year6.77.22 years to less than 3 years6.757.253 years to less than 5 years6.87.35 years and up to 10 years6.857.35Fixed deposit (FD) rates offered by Punjab National Bank (Below Rs.
1 crore):Domestic TD Less Than Rs.1 Cr.
W.e.f August 1, 2018Sl.
NoPeriodROI (% p.a.)For Senior Citizen ROI (% p.a.)17 to 14 days5.76.2215 to 29 days5.76.2330 to 45 days5.76.2446 to 90 days6.356.85591 to 179 days6.356.856180 days to 270 Days6.356.857271 days to less than 1 year6.356.8581 year6.757.259above 1 year upto 3 years6.757.2510above 3 year upto 5 years6.256.7511above 5 years upto 10 years6.256.75Bank of Baroda's domestic NRO Term Deposits (per annum) (ROI in %) Below Rs.
1 Crore:TenorsBelow Rs 1 Cr.
(w.e.f.
22.08.18)7 days to 14 days4.2515 days to 45 days4.7546 days to 90 days591 days to 180 days5.5181 days to 270 days6.25271 days above and less than 1 year6.51 year6.65Above 1 year to 400 days6.75Above 400 days and upto 2 Years6.7Above 2 Years and upto 3 Years6.6Above 3 Years and upto 5 Years6.7Above 5 Years and upto 10 Years6.6FD interest rates offered by Canara BankCanara Bank pays the following interest rates on term deposits up to Rs 1 crore, statedcanarabank.com:TermInterest rate (%) for general public w.e.f.
04.08.2018Interest rate (%) for senior citizen w.e.f.
04.08.20187 days to 14 days *5.756.2515 days to 30 days5.756.2531 days to 45 days5.756.2546 days to 60 days6.256.7561 days to 90 days6.256.7591 days to 120 days6.256.75121 days to 179 days6.256.75180 days to 269 days6.356.85270 days to less than 1 year6.46.91 year only6.77.2Above 1 year to less than 2 years77.52 years above to less than 3 years6.77.23 years above to less than 5 years6.26.75 years above to less than 8 years6.26.78 years above to 10 years6.26.7(Source: canarabank.com)Small finance banks like Jana Small Finance Bank, Fincare Small Finance Bank, and ESAF Small Finance Bank offer FD interest rates up to 9.5 per cent for senior citizens and 9 per cent for general public.