UCO Bank FD Interest Rates – Complete Guide & Latest Returns

Key Takeaways
 

• UCO Bank's 444-day fixed deposit offers the highest 6.45% annual interest rate.
   
• If you withdraw your UCO Bank FD before maturity day, then UCO bank charges premature withdrawal charges. These charges range from 1% to 2% based on the amount.
   
• Only the Tax Saver scheme of the UCO Bank FD qualifies for Section 80C tax deductions.
   

UCO Bank Fixed Deposit provides secure investment options for savers. The bank offers competitive interest rates across multiple tenure options. Investors can choose from various specialised deposit schemes available currently. 

Example: Mr Sharma invests ₹5,00,000 in UCO Bank's 444-day scheme. The bank offers him a 6.45% annual interest rate. He earns ₹32,250 as interest after maturity. 

Senior citizens receive an additional 0.50% interest benefit. Mr Sharma's father would earn ₹34,750  on the same deposit. This demonstrates UCO Bank's competitive fixed deposit returns.

Senior citizens receive additional interest benefits on their deposits regularly. UCO Bank ensures flexible withdrawal options with transparent penalty structures. This blog explores UCO Bank Fixed Deposit rates, schemes, and benefits.

UCO Bank Fixed Deposit Interest Rate

UCO Bank Fixed Deposit offers competitive interest rates across various tenures.

Latest FD Interest Rates (Domestic Deposits < ₹3 Crore)

UCO Bank provides attractive rates for deposits below ₹3 crore. The rates vary based on the deposit tenure chosen carefully.
 

Bank update these rates periodically based on market conditions. Investors should verify current rates before making any deposit decisions.

Senior Citizen FD Rates

Senior citizens receive additional interest benefits on the UCO Bank Fixed Deposit. Staff members and ex-staff also get special preferential interest rates.
 

These additional rates make UCO Bank attractive for senior investors. Staff members enjoy the highest preferential interest rate benefits available.

Term-wise Interest Rates (7 Days to 10 Years)

UCO Bank Fixed Deposit rates increase with longer tenure periods. Here is the complete breakdown of interest rates available:
 

Longer tenure deposits generally offer better interest rate returns. Investors can choose tenures that match their financial goals perfectly.

Bulk Deposit FD Rates (₹3 Crore to ₹10 Crore)

UCO Bank offers special rates for bulk deposits above ₹3 crore. Both callable and non-callable deposit options are available for investors.
 

UCO Bank Fixed Deposit rates remain competitive across all tenure options. The bank provides attractive returns for both retail and bulk investors.

Types of UCO Bank Fixed Deposit Schemes

UCO Bank offers various fixed deposit schemes for different customer needs. The schemes are:

• UCO 444 Fixed Deposit Scheme: This scheme provides attractive interest rates for long-term investments.
• UCO 333 Fixed Deposit Scheme: It offers flexible tenure options with competitive interest returns.
• UCO Green Deposits: These deposits support environmental projects whilst earning good interest.
• Kuber Yojana: This scheme targets senior citizens with higher interest rates.
• UCO Monthly Income Scheme: Depositors receive regular monthly interest payments from their investment.
• UCO Tax Saver Deposit Scheme - 2006: This scheme offers tax deductions under Section 80C benefits.
• Flexible Fixed Deposit Scheme: Customers can withdraw funds partially during emergencies without penalty.
• Motor Accident Claim Term Deposit Account: This special account holds motor accident claim settlements securely.

UCO Bank Fixed Deposit schemes cater to diverse financial goals effectively.

Features and Benefits of UCO Bank Fixed Deposit

UCO Bank Fixed Deposit offers numerous advantages for all depositors. The features are:

• Flexible Tenure Options: The UCO Bank FD tenure ranges from seven days onwards.
• Loan Facility Available: Customers can avail loans up to 90% against deposits.
• Nomination Facility: Individual depositors can easily nominate beneficiaries for their accounts.
• Automatic Renewal Option: Renewals happen automatically at prevailing maturity interest rates.
• Senior Citizen Benefits: Senior citizens receive an additional 0.25% interest rate for deposits up to one year. They earn an extra 0.50% interest benefit for deposits above one year.
• Multiple Scheme Choices: UCO Bank Fixed Deposit includes various specialised deposit schemes.
• Attractive Interest Rates: The bank offers up to 6.95% interest for seniors.

UCO Bank Fixed Deposit provides flexibility, security, and competitive returns.

Comparison of UCO Bank Fixed Deposit Rates with Other Banks

UCO Bank Fixed Deposit rates compete closely with other major banks.

UCO Bank Fixed Deposit offers competitive rates for short-term investments.

Eligibility Criteria & Required Documents for UCO Bank Fixed Deposit Interest Rates

Eligibility to Open a UCO Bank Fixed Deposit Account

Individuals meeting specific criteria can open UCO Bank Fixed Deposit accounts.

• Indian Citizens: Applicants must be citizens of India to qualify.
• Hindu Undivided Family Members: HUF members can also apply for fixed deposits.
• Corporate Entities: Companies, trusts, and societies can open UCO Bank Fixed Deposit accounts.

UCO Bank welcomes diverse depositors to invest in fixed deposits. Both individuals and entities can open accounts subject to KYC compliance.

Documents Required to Open a UCO Bank Fixed Deposit

Investors must submit the necessary documents for UCO Bank Fixed Deposit applications.

• KYC Documents: Aadhaar card, PAN card, and driving licence serve as proof.
• Address Proof: Electricity bills and telephone bills verify residential addresses.
• Income Proof: Bank statements and cheques demonstrate the applicant's income sources.
• Photographs: Applicants need to provide recent passport-size photographs.
• Application Form: The UCO Bank fixed deposit application form must be completed.

Depositors must meet eligibility criteria and submit required documents promptly. UCO Bank ensures a smooth and hassle-free account opening process. 

Tax Implications on UCO Bank Fixed Deposit

UCO Bank Tax Saver Fixed Deposit offers tax savings under Section 80C of the Income Tax Act, 1961. Investors can claim this benefit while filing income tax returns. 

However, other UCO Bank Fixed Deposits do not provide tax savings. The government taxes interest income from UCO Bank Fixed Deposit according to income tax slab rates. 

The bank deducts TDS of 10% if interest income exceeds ₹40,000 p.a. For senior citizens, the bank applies this limit at ₹50,000 p.a. If investors fail to provide PAN Card details, the bank charges 20% TDS.

UCO Bank Fixed Deposit Premature Withdrawal & Closure Rules

UCO Bank Fixed Deposit allows premature withdrawal with applicable penalty charges.

Penal Charges on Term Deposits

The bank deducts penalties when investors withdraw deposits before maturity. Penalty rates depend on the deposit amount and tenure completed.

Deposits Less Than ₹15,00,000

The bank charges 1% less than the applicable interest rate. It applies the lower rate between the deposit or the present rate.

Deposits Between ₹15,00,000 to ₹1 Crore

UCO Bank Fixed Deposit levies 1% penalty on early withdrawals. The bank uses the lower applicable rate for calculation.

Deposits of ₹1 Crore and Above

The penalty charge is 2% less than the applicable rate. This applies to large UCO Bank Fixed Deposit premature closures.

Understanding penalty charges helps investors plan their withdrawal decisions wisely. UCO Bank maintains transparent premature closure rules for all depositors.

How to Invest in UCO Bank Fixed Deposit?

Opening a UCO Bank Fixed Deposit account follows a simple process. Follow these steps:

Step 1: Investors need to visit the nearest UCO Bank branch first. They should request the application form for fixed deposit accounts.

Step 2: Applicants must fill out the UCO Bank Fixed Deposit application completely. They should provide accurate personal and contact details in forms.

Step 3: Investors need to submit the form to the bank desk. They must attach all necessary KYC and identity proof documents.

Step 4: Applicants should deposit a cheque bearing their chosen investment amount. The bank accepts cheques for UCO Bank Fixed Deposit investments.

Step 5: Bank officials verify the identity and address proof details submitted. They check all documents for accuracy and completeness thoroughly.

Step 6: After successful verification, the bank opens the FD account immediately. Investors receive confirmation of their new deposit account creation.

Following these simple steps helps investors open their accounts easily.

Conclusion

UCO Bank Fixed Deposit offers competitive rates and flexible schemes. The bank provides various tenure options to suit investor needs. Senior citizens enjoy additional interest benefits on their fixed deposits. Understanding features helps investors make informed investment decisions wisely.

Bonus Tip: You might be interested in knowing that you can split your investments across multiple tenures to create a deposit laddering. This strategy will provide you regular liquidity while maximising your interest-earning potential.

FAQs

Q1. What is the future of UCO Bank; how much does the government currently hold as share-capital in UCO Bank?
Many prospective investors ask whether UCO Bank remains a secure, public-sector bank. The answer: as of recent data, the government’s shareholding in UCO Bank is 90.95%.

Q2. If I have an FD (fixed deposit) with UCO Bank, but my savings account is with another bank (e.g. HDFC), can I pledge that UCO Bank FD at HDFC for a short-term overdraft loan?
Yes; this is a question that appears often on Quora. The idea is that many banks allow pledging a fixed deposit (from any bank) as collateral for loan/overdraft. Whether HDFC accepts a UCO-Bank FD depends on HDFC’s internal policies, but in principle, pledging an FD from one bank at another bank is a commonly asked possibility.

Q3. What interest rate does UCO Sowbhagya offer? Is it comparable to fixed deposits?

A: The interest rate under UCO Sowbhagya is the same as the bank’s normal term-deposit (fixed deposit) rate for the relevant tenor. That means depositors get similar returns to FDs; but by saving gradually via monthly instalments.

Q4. : Is UCO Bank a good choice for a fixed deposit?

A.Yes; UCO Bank can be considered a reliable choice for an FD if your priority is safety over very high returns. Its rates are competitive, especially for short-term special tenure schemes like 444 days.

Q5: How do UCO Bank interest rates compare in the current market?

A. UCO Bank offerS competitive returns, especially compared to other public-sector banks. It is noted that UCO Bank offers around 6.4% interest, which places it in a moderate but safe bracket.

Q6. What should I do if there is an issue receiving FD maturity amount from UCO Bank?

In a legal discussion thread about issues with FD withdrawal delays, Reddit users suggested documenting everything and escalating through official channels if the bank delays payments. Steps include contacting the bank manager, writing to the regional branch, and filing complaints via RBI’s grievance platform.

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