Union Bank FD Calculator
Calculate Union Bank fixed deposit maturity and post-tax returns.
Plan your investments smarter
INPUTS
No deductions applicable. 7 slabs from Nil (up to Rs. 4L) to 30% (above Rs. 24L).
YOUR RETURNS
- •Tax drag: 0.83%. Your 7.00% headline rate reduces to 6.17% after 15% tax on interest.
- •DICGC cover: Projected maturity of ₹6,15,720 exceeds the Rs. 5L insurance limit. Each depositor is covered up to Rs. 5L per bank, principal and interest combined.
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%)
Select Bank
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Disclaimer: 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.
Track your FDs alongside everything else
How to Use the Union Bank FD Calculator
Enter your Principal amount
Drag the slider or type the lump sum you plan to deposit. Range is Rs. 10,000 to Rs. 10 crore.
Set the Interest rate (% p.a.)
Use the rate offered by your bank on its latest FD (Fixed Deposit) rate card. The calculator supports 3% to 9.5%.
Choose your Tenure
Pick anywhere from 3 months to 10 years. If you need liquidity soon, Then keep tenure short to avoid premature withdrawal penalties.
Select your Tax regime
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.
Pick your applicable tax slab
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.
Read your results on the right
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.
What is a Fixed Deposit?
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.
- Capital safety: bank FDs up to ₹5 lakh per depositor per bank are insured under DICGC.
- Predictable returns: you know exactly how much you will receive at maturity.
- Ease: any Indian with a bank account can book an FD in minutes through net banking, mobile app, or branch.
How is Union Bank FD Interest Calculated?
The Union Bank FD Calculator computes your fixed deposit returns using the following formula:
A = P × (1 + r/n)^(n × t)
Where
- A is the maturity amount
- P is the principal
- r is the annual interest rate as a decimal
- n is the compounding periods per year (4 for quarterly)
- t is the tenure in years.
Worked Example: ₹5 Lakh Union Bank FD @ 6.50% for 2 Years
- P = ₹5,00,000
- r = 6.50% (Union Bank's 2-year rate)
- n = 4 (quarterly)
- t = 2
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.
Union Bank FD Interest Rates 2026
| 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 FD Rates for Senior Citizens (60+)
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.
Union Bank Bank NRE / NRI FD Rates
| 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.
Latest Union Bank FD Rates (Updated May 2026)
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.
Which Union Bank FD Fits Your Portfolio?
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).
Post-Tax Analysis: ₹5L @ 6.50% for 2 Years @ 20% Slab
- Gross interest: ₹67,200 (calculated above)
- Tax: ₹13,440
- Net yield: 5.19% p.a.
Competitive comparison (2Y tenure, 20% slab):
- Union Bank: 6.40% → 5.12% post-tax
- SBI: 6.60% → 5.28% post-tax
- HDFC: 6.50% → 5.20% post-tax
- Canara: 6.40% → 5.12% post-tax
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.
Union Bank FD vs Other Investment Options
| 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) |
Union Bank vs Other Top Banks
| 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).
About Union Bank of India
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.
| 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 |
What Union Bank Offers for FD Investors
| 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 |
A Closer Look at Union Bank FD Products
Union Regular 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).
Union Digital FD
100% online via mobile app. e-KYC. Minimum ₹1,000. Maturity auto-credited. Fastest onboarding.
Union Tax Saver FD (80C)
5-year lock-in. ₹1.5L deduction annually under Section 80C (Old Regime). Current rate: 6.25% general / 6.75% senior. No premature withdrawal.
Union Flexi FD
Up to 80% withdrawal allowed. Interest recalculated based on holding period. Useful for emergency needs.
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Get Personalized FD and Mutual Fund Recommendations
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.
Frequently Asked Questions
As of 24 August 2026, Union Bank of India FD rates range from 2.70% to 6.55% per year, with the top rate in the 555-day bucket. Senior citizens get an extra 0.50%. The full tenure-wise table with the latest revision date is above.
Yes. Union Bank is a G-SIB (Globally Systemically Important Bank) + ₹5L DICGC insurance. PSU status means government backing.
The rates shown on this page were verified on 24 August 2026 against Union Bank of India's published card rate. If the bank revises rates, this page and the calculator are updated to reflect the change. The current top rate is 6.55% per year.
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.
As of 24 August 2026, Union Bank of India's 555-day special deposit pays 6.55% per year (7.05% for senior citizens), the bank's top FD rate. Select 555 days in the calculator to see maturity on your amount.
- Online: Download Union Bank mobile app → register → e-KYC → deposit via NEFT
- Branch: Visit with ID proof → fill KYC form → deposit cash/cheque
- Net banking: Login to existing account → request new FD
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.
Senior citizens aged 60 and above earn an extra 0.50% over the standard rate at Union Bank of India, taking the top senior rate to 7.05% as of 24 August 2026. Super senior citizens aged 80 and above may get a further add-on. Tick the senior citizen box in the calculator to apply it.
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.
For a monthly payout, choose the non-cumulative option in the calculator above. At the current top rate of 6.55% in monthly-interest mode, the calculator shows the monthly payout on your amount. Cumulative FDs pay more overall because interest compounds.
As of 24 August 2026, the top Union Bank of India FD rate is 6.55% per year, in the 555-day bucket. Standard tenures range from 2.70% upward, and senior citizens earn an added 0.50%.
Disclaimer
This page is educational information about fixed deposits and small savings schemes. It is not investment advice or a recommendation to buy, hold or sell any product, and it does not take into account any individual investor’s financial situation, needs or goals.
Fixed deposits, Post Office Time Deposits and other small savings schemes are not securities and do not fall under the regulatory purview of SEBI. Novelty Wealth’s services in respect of such products are outside SEBI’s regulatory purview, and no recourse is available with SEBI for grievances relating to these products.
All interest and maturity figures shown are illustrative and are based on each provider’s published card rates as on the dates stated on this page. The actual interest and maturity you receive depend on the rate applicable at the time of booking and on the provider’s terms. Please confirm the current rate with the provider before investing.
Registration granted by SEBI, membership of BASL and certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.