United Bank of India Fixed Deposit Rates
United Bank of India shares approximately the same rates for its fixed deposit accounts as many other contemporary banks. It has also reduced its base rate in accordance with RBI’s directives as of 2015. That in effect has reduced fixed deposit rates as well. While loans and credit cards from the banks will be better off with a lower interest rate, fixed deposits from the bank have lost out a bit on their wealth generation capability.
As of February 2016, the lowest interest rate available from the bank for fixed deposits is 4% per annum and it holds good for deposit tenures of 7 days to 45 days. From 46 days to 90 days the interest rate jumps up by 1% to 5% per annum. There is a further 1% increase in the rates for deposit periods of 91 days to 269 days and that brings the interest rate to 6% per annum. From 270 days to less than a year, the interest rate applicable on fixed deposits from UBI is 6.75% per annum. For an exact 1 year period, the interest rate offered is the highest at 7% per annum. For deposit tenures post that, rates reduce and finally come to rest at 6.50% per annum for tenures of 3 years and above.
3 February 2016
United Bank of India Slashes Fixed Deposit Rates
State-run United Bank of India (UBI) announced that it will be cutting its benchmark lending rates by 0.30%. The bank takes this move to make auto and home loans cheaper and affordable for its existing as well as new customers.
The interest rates on fixed deposits across various maturities have also been cut. After reduction, the rates will be between 0.25%-0.50% and have been effective from October 5, 2015.
The cut in RBI’s repo rate, thrice the original rate, has led to a number of major Indian banks to cut interest rates twice. In a surprise move, the RBI announced a 50 basis points slash in repo rates from 7.25%to 6.75 %t. This has reduced the borrowing cost of loans to a great extent.
In a statement issued, the United Bank of India announced a 0.35% slash in its base rate, from 9.90 % to 9.65 %. This new rate will be effective from October 12, 2015.
9 October, 2015
Rate cuts for Fixed Deposits in United Bank of India
Starting August 21, 2015, certain maturity periods for fixed deposits will face slashes in the rates of interest currently being offered.
For tenures of 181 days to 269 days, the rates will fall by 0.25% to 7% for all deposits. Likewise, deposits of up to 1 crore maturing in 270 days to less than one year the rate of interest will now be 7.25% from the earlier 7.5%. Deposits with tenures of 1 year will now have an interest rate of 7.5% for amounts up to 1 crore and all amounts beyond that bucket will now have an interest rate of 7.25%.
Overall, the bank has slashed its fixed deposit rates from as low as 0.25% to as high as 0.5%.
17 August 2015
Rate Cut: 0.25% lower interest rates on United Bank of India fixed deposit
Policy rate cuts by the Reserve Bank of India have led to lower rates of interest from United Bank of India fixed deposits.
The bank has reduced interest rates by 0.25% on existing interest rates across all tenure (maturity period) options.
So the new interest rate for deposits maturing:
Between 180 and 269 days is 7.25% (down from 7.50%).
In one year is 7.75% (down from 8.00%).
In over one year but less than 2 years is 7.50% (down from 7.75%).
In over 2 years but less than 3 years is 7.50% (down from 7.75%).
In over 3 years but less than 5 years is 7.50% (down from 7.75%).
In 5 years is 7.50% (down from 7.75%).
3 July 2015
UBI cuts deposit rates by up to 0.5%
In a move being considered as a precursor to lending rate cuts, state-owned United Bank of India (UBI) on Thursday cut interest rates on fixed deposits on select maturities by up to 0.5 per cent. The new rates will be effective from June 8.
UBI reduced retail interest rates on fixed deposits for above 1 year to 7.75 per cent and 1 year to 8 per cent. The current interest rate on fixed deposits above 1 year is 8.25 per cent.
Several banks including PNB and Axis Bank slashed fixed deposit rates two days after the Reserve Bank of India cut the repo rate from 7.5 per cent to 7.25, but left the Cash Reserve Ratio (CSR) and Statutory Liquidity Ratio (SLR) at 4 per cent and 21.5 per cent respectively.
The State Bank of India reduced its base rate to 9.70 per cent from 9.85 per cent. Allahabad Bank cut base rate by 0.30 per cent to 9.95 per cent while Dena Bank and Punjab bank reduced their base rates to 10 per cent. Consequently, all loans linked to the base rate are expected to be cheaper.
Meanwhile, IDBI Bank reduced its bulk deposit rate. Other banks are expected to follow suit in the next couple of days.
04 June 2015