Calculate Union Bank fixed deposit maturity and post-tax returns.
No deductions applicable. 7 slabs from Nil (up to Rs. 4L) to 30% (above Rs. 24L).
Maturity amount
₹6,15,720
after 3 years
Post-tax maturity
₹5,98,362
Total interest earned
₹1,15,720
Effective yield post-tax
6.17%
p.a.
Tax on interest
₹17,358
₹5,00,000 (81.2%)
₹98,362 (16.0%)
₹17,358 (2.8%)
Is your FD working as hard as it should?
Get your wealth check-up todayDisclaimer: This calculator assumes quarterly compounding (standard for Indian bank FDs). Post Office FDs compound annually; some NBFCs compound monthly. Tax is applied on total interest at maturity. In practice, TDS on FD interest is deducted annually (10% with PAN, 20% without). Senior citizen rates (additional 0.25-0.50%) are not differentiated. Non-cumulative FDs with periodic payouts are not modelled.
Drag the slider or type the lump sum you plan to deposit. Range is Rs. 10,000 to Rs. 10 crore.
Use the rate offered by your bank on its latest FD (Fixed Deposit) rate card. The calculator supports 3% to 9.5%.
Pick anywhere from 3 months to 10 years. If you need liquidity soon, Then keep tenure short to avoid premature withdrawal penalties.
Pick "New regime" if you do not claim deductions like 80C, HRA (House Rent Allowance), or home loan interest. Pick "Old regime" if you do.
Choose the slab that matches your annual taxable income (Nil, 5%, 10%, 15%, 20%, 25%, or 30%). This drives the TDS (Tax Deducted at Source) and post-tax yield calculation.
Check Maturity amount, Post-tax maturity, Total interest earned, Effective yield post-tax, and Tax on interest. The donut chart breaks down Principal vs Net interest vs Tax so you can see the real return after tax drag.
A fixed deposit (FD) is a financial product where you place a lumpsum with a bank for a fixed tenure at a predetermined interest rate. At the end of the tenure, you receive your principal plus the accumulated interest. Unlike a savings account, an FD locks your money for a chosen period, anywhere from 7 days to 10 years, in return for a higher, guaranteed interest rate. The rate is fixed at booking and does not change for the life of the FD, even if market rates move.
Union Bank FDs are popular for three reasons.
The Union Bank FD Calculator computes your fixed deposit returns using the following formula:
A = P × (1 + r/n)^(n × t)
Where
A = 5,00,000 × (1 + 0.065/4)^8 ≈ ₹5,67,200
Pre-tax interest: ₹67,200
Post-tax at 20% slab (New Regime): Tax: ₹67,200 × 20% = ₹13,440 Post-tax maturity: ₹5,53,760 Effective yield: 5.19% p.a.
Union's positioning: Mid-market rate (between Axis at 6.45% and SBI at 6.60% for 2–3Y). Not the highest but competitive for PSU customers with existing relationships.
Current as of May 2026. Verified against Union Bank of India's official rate sheet at unionbankofindia.co.in.
| Tenure | Regular Rate | Senior Citizen Rate | Premium |
| 7-14 days | 3.50% | 4.00% | +0.50% |
| 15-29 days | 3.50% | 4.00% | +0.50% |
| 30-45 days | 4.00% | 4.50% | +0.50% |
| 46-60 days | 5.00% | 5.50% | +0.50% |
| 61-87 days | 5.50% | 6.00% | +0.50% |
| 88-180 days | 6.00% | 6.50% | +0.50% |
| 6 months to <9 months | 6.25% | 6.75% | +0.50% |
| 9 months to <1 year | 6.40% | 6.90% | +0.50% |
| 1–2 years | 6.50% | 7.00% | +0.50% |
| 2–3 years | 6.40% | 6.90% | +0.50% |
| 3–5 years | 6.25% | 6.75% | +0.50% |
| 5–7 years | 6.15% | 6.65% | +0.50% |
| 7–10 years | 6.10% | 6.60% | +0.50% |
| 5-Year Tax Saver (80C) | 6.25% | 6.75% | +0.75% |
Highest Rate: 6.50% (1–2 years, general) / 7.00% (1–2 years, senior citizen)
Union Bank's senior premium is +0.50% uniformly across all tenures. This matches Axis/HDFC but lags SBI's 1.00% on 5Y+.
| Senior Tenure | Rate | vs Regular |
| 1–2 years | 7.00% | +0.50% |
| 2–3 years | 6.90% | +0.50% |
| 3–5 years | 6.75% | +0.50% |
| 5–7 years | 6.65% | +0.50% |
| 7–10 years | 6.60% | +0.50% |
Senior strategy: Union Bank is competitive on 1–2Y for seniors (7.00% ties with Canara/HDFC). For 5+ years, SBI (7.50%) is better.
| NRE FD Tenure | Interest Rate (p.a.) |
| 1–2 years | 6.00% |
| 2–3 years | 6.00% |
| 3–5 years | 6.00% |
| 5–10 years | 6.00% |
Key: NRE interest is 100% tax-free in India + fully repatriable. Rates are 0.50% lower than domestic but offset by zero tax liability.
Union Bank revises rates in response to RBI monetary policy and competitive moves from SBI, HDFC. Last revision: March 2026 when Union Bank cut 3–5Y rates by 15 bps (rates shifted downward).
Currently, Union Bank is positioned as a value play for 1–2Y, not the leader across all tenures.
Verify live rates: unionbankofindia.co.in/retail/deposits
Best for: 1–2 year ladders, PSU employees, customers with existing Union Bank accounts, senior citizens seeking competitive 1–2Y rates.
Avoid: 5Y+ commitments (rates drop to 6.10–6.25%, lag competition).
Competitive comparison (2Y tenure, 20% slab):
Verdict: Union Bank is neutral (middle-of-market) for 1–2Y. No compelling reason to choose Union over SBI/HDFC unless you're an existing customer.
| Approach | How It Works | Best For | Post-Tax Return |
| Union Bank FD (1–2Y) | Lumpsum locked at 6.40% | Capital safety, 1–2 year goals | 5.0% (20% slab) |
| SBI FD (1Y) | Lumpsum locked at 6.80%, quarterly | Higher headline rate, bank ecosystem | 5.44% (20% slab) |
| Debt Mutual Fund | Diversified bond portfolio, managed by AMC | Tax-efficient (long-term), no lock-in | 5.2–6.2% (20%) |
| Liquid Mutual Fund | Overnight/money market, high liquidity | Emergency fund, short-term parking | 6.0–6.5% (20%) |
| Post Office FD (5Y) | Annual compounding, govt-backed | Seniors, rural access, tax saver | 5.36% (20% slab) |
| Bank | 1 Year | 2-3 Years | 5 Years | Senior 5Y+ |
| Union Bank | 6.40% | 6.40% | 6.25% | 6.75% |
| SBI | 6.80% | 6.60% | 6.50% | 7.50% |
| Canara Bank | 6.85% | 6.40% | 6.00% | 6.50% |
| Axis | 6.25% | 6.45% | 6.45% | 7.20% |
| PNB | 6.40% | 6.00% | 6.25% | 6.75% |
| HDFC Bank | 6.25% | 6.50% | 6.25% | 7.00% |
Union's Niche: Competitive on 1–2Y with matching rates to Canara/Axis. Best for PSU employees (easier account opening, salary account linkage benefits).
Union Bank of India is a Public Sector Bank (PSU) and one of India's largest banks by branch network. Formed in 1919, it's the oldest large-cap bank in India.
| Attribute | Value |
| Bank Name | Union Bank of India |
| Founded | 1919 (Allahabad Bank merger, 2020) |
| Headquarters | Mumbai |
| Type | Oldest Large-Cap PSU, G-SIB (Globally Systemically Important) |
| MD & CEO | A. Manimekandan (since 2022) |
| Branches | 15,000+ (largest PSU network) |
| ATMs | 16,500+ |
| Type/Status | Oldest Large-Cap PSU, G-SIB (Globally Systemically Important) |
| Customers | 10+ crore |
| Market Cap | ~₹500 billion |
| DICGC Cover | ₹5 lakh per depositor |
| Rate Source | unionbankofindia.co.in/retail/deposits |
| Product | Description |
| Regular Fixed Deposit | 7 days–10 years, ₹1,000 minimum |
| Union Digital FD | Online-only, ₹1,000 min, instant opening |
| Union Flexi FD | Partial withdrawal allowed |
| Union Tax Saver FD | 5-year, Section 80C eligible, ₹1,000 min |
| NRE / NRO FD | Non-resident deposits |
| Senior Citizen FD | Dedicated senior rates (60+) |
| Senior Citizen FD | Dedicated senior rates (60+) |
| Union Sweep FD | Auto-sweep excess savings into FD |
Tenure 7 days to 10 years. Cumulative or periodic payout. Minimum ₹1,000 net banking, ₹5,000 branch. Premature withdrawal: 1% penalty below rate (except last 7 days).
100% online via mobile app. e-KYC. Minimum ₹1,000. Maturity auto-credited. Fastest onboarding.
5-year lock-in. ₹1.5L deduction annually under Section 80C (Old Regime). Current rate: 6.25% general / 6.75% senior. No premature withdrawal.
Up to 80% withdrawal allowed. Interest recalculated based on holding period. Useful for emergency needs.
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Novelty Wealth does not just calculate FD maturity, it helps you decide whether an FD is the right destination for your money. Connect your existing portfolio and let NovaAI score every option against your goals, tax slab, and risk profile.
As of May 2026, Union Bank rates range from 3.50% (short-term) to 6.50% (1–2Y general). Senior citizens earn +0.50% premium across all tenures. Verify at unionbankofindia.co.in.
Yes. Union Bank is a G-SIB (Globally Systemically Important Bank) + ₹5L DICGC insurance. PSU status means government backing.
Union Bank (6.50%, 1–2Y) vs SBI (6.80%, 1Y). SBI edges out by 30 bps. Post-tax difference is minor (~15 bps). Choose Union if you're an existing customer, otherwise SBI is marginally better.
Yes, except 5-year Tax Saver FD. Premature withdrawal: 1% penalty below rate. Union Flexi FD allows up to 80% withdrawal without full breakage.
₹1,000 (net banking/digital), ₹5,000 (branch). Tax Saver FD: ₹1,000.
Yes, +0.50% uniformly across all tenures. Maximum 7.00% on 1–2 years. Not as generous as SBI (+1.00% on 5Y+).
Depends on your slab. At 20% slab, Union FD (6.40% × 0.80 = 5.12%) may match debt fund (6% pre-tax with 20% LTCG = 4.8%). At 30% slab, debt fund wins. Use NovaAI to compare.
6.25% general / 6.75% senior. Lags competition: SBI 6.50%, Axis 6.45%, HDFC 6.25% (tie). Avoid for 5Y commitments.
Yes. Create 1Y/1.5Y/2Y/2.5Y/3Y ladder. Union's sweet spot is 1–2Y, so a 3-year max ladder captures best rates.
Yes. 6.00% across all tenures (lower than domestic 6.50% but fully tax-free). Repatriation unrestricted.
Visit unionbankofindia.co.in/retail/deposits or call 1860-422-1111 (customer care).