Attractive FD offers by major banks: PNB vs UCO Bank vs Union Bank of India vs Punjab and Sind Bank

New Delhi: Since the Reserve Bank of India raised repo rates in an off-cycle Monetary Policy Committee (MPC) meeting last month, banks across India have been raising interest rates on loans and deposits. Bank FDs are popular among people who do not want to invest in risky products and prefer a safe and secure return on their money. FDs provide a consistent and guaranteed rate of return. This is also a better option when the stock market is underperforming and losing money. Fixed deposits, even when their returns are lower than those of risk assets, do not result in investor losses.

Almost every bank in India, including PSUs, offers consumers the option of creating fixed deposit accounts. Here are the fixed deposit interest rates of some public sector entities that provide the best returns. Read More: 

Punjab National Bank

The Punjab National Bank, or PNB, has announced an increase in fixed deposit interest rates beginning July 4. PNB FD rates for deposits with terms of more than one year and up to two years have been raised by 10 basis points to 5.30 percent, up from 5.20 percent previously. PNB FD interest rates have been increased by 20 basis points for deposits expiring in two to three years. PNB FD interest rates for older folks have been raised by 50 basis points. Read More: 

Union Bank of India

Union Bank of India offers a fixed deposit interest rate of 5.45 percent for terms ranging from one year to two years. Union Bank of India FD interest rates are 5.50 percent for two years and up to three years, and 5.75 percent for three years and up to five years.

UCO Bank

UCO Bank offers an interest rate of 5.30% for tenures of more than one year to less than two years, and the same rate for tenures of more than two years to up to three years. The interest rate on UCO Bank FDs for terms of more than 5 years to up to 5 years is 5.60 percent. The UCO Bank FD rate is 5.30% for terms longer than 5 years. Senior people who deposit less than Rs 2 crore receive an additional 50 basis points return on these rates.

Punjab and Sind Bank

The fixed deposit interest rate of Punjab and Sind Bank is 5.35 percent for terms of one year to two years, and 5.40 percent for terms of more than two years to less than two years. The Punjab and Sind Bank FD rate for a 3-year to less than 5-year duration is 5.60 percent, while the rate for a 5-year to up to 10-year term is the same. These rates apply to deposits of less than Rs 2 crore.