Unity Small Finance Bank FD Rates — Complete Guide & Interest Rate Chart

Key Insights

• The bank provides competitive rates ranging from 4.00% to 6.75% depending on tenure.
   
• Senior citizens are eligible to earn an additional 0.50% extra interest on most deposits.
   
• Bulk deposits are available with callable and non-callable options, useful for corporations.

A fixed deposit (FD) is a common and secure method of increasing your savings over a certain time period with guaranteed returns. Your money will work for you due to the attractive rates offered by Unity Small Finance Bank FD. 

For example, at an interest rate of 6.75%, you could make about ₹6,750 if you invest ₹1,00,000 for a year. That is a safe and easy method of increasing the amount you have.

Unity Small Finance Bank FD provides interest rates of 4.00% for short-term tenors and 6.75% for long-term deposits. Senior citizens receive an additional 0.50%. 

You have options of regular FDs, tax-saving FDs, senior citizen FDs, bulk FDs, and NRI FDs. Tenors vary from 7 days to 10 years. You can begin with as low as ₹1,000 or invest in bulk deposits above ₹3 crore. 

This blog will guide you through the Unity Small Finance Bank FD schemes, interest rates for various tenures, benefits, eligibility criteria, taxation rules, and how to invest online.

Bonus Tip: Do you want to start earning guaranteed returns right away? You can book your Unity Small Finance Bank FD online in just a few minutes!  You can choose your deposit amount, tenure, and interest payout option from the comfort of your home.

Unity Small Finance Bank FD Interest Rates Overview 2025

Here are Unity Small Finance Bank FD interest rates for different tenures for the general public and senior citizens:

You can choose the tenure that maximizes your returns based on your financial goals by comparing these interest rates.

Types of Unity Small Finance Bank FD Schemes

Unity Small Finance Bank provides a range of Fixed Deposit (FD) plans to meet the various financial needs of individuals, senior citizens, and businesses. 

1. Regular Fixed Deposit 
    

• You can invest for a period between 7 days and 10 years.
   
• The interest is compounded every quarter.
   
• You can start with a lowest deposit of ₹1,000.

2. Tax Saver FD
    

• This deposit has a lock-in period of 5 years.
   
• It provides tax benefits under Section 80C of up to ₹1.5 lakh.
   
• Premature withdrawal is not allowed.

3. Senior Citizen FD
    

• Senior citizens earn an extra 0.50% interest rate.
   
• They can choose monthly or quarterly payout options.
   
• Priority service is also provided.

4. Bulk Deposit FD (> ₹3 crore)
    

• This scheme offers customized interest rates.
   
• The terms can be negotiated.
   
• It is suitable for corporates and high-net-worth individuals.

5. Unity NRE / NRO FD
    

• These deposits are designed for NRIs.
   
• Interest on NRE FDs is tax-free in India.
   
• Interest on NRO FDs is taxable.

Unity Small Finance Bank FDs are a great option for investors of all levels because they offer flexibility, security, and promising returns.

Features and Benefits of Unity Small Finance Bank FD

Unity Small Finance Bank FDs are created to simplify saving, secure, and reward. Here are the primary features and benefits: 

• Invest with a minimum of ₹1,000, making it a cost-effective option for all.
   
• Select flexible tenures ranging from 7 days to 10 years.
   
• Earn guaranteed returns not impacted by market fluctuations.
   
• Senior citizens receive 0.50% additional interest to build savings quickly.
   
• Interest may be paid monthly, quarterly, or at maturity as you wish.
   
• Secured and insured for up to ₹5 lakh under DICGC cover.
   
• Choose to auto-renew your FD for convenient reinvestment.
   
• Facility of loan against FD for instant funds without breaking your deposit.

Use features like auto-renewal, flexible interest payouts, and loans against your FD to manage your money efficiently.

Comparison of Unity Small Finance Bank FD Rates with Other Banks

Here’s a comparison of 1-year FD rates for general customers and senior citizens among popular small finance banks:

Unity Small Finance Bank FDs provide competitive FD rates along with additional advantages for senior citizens.

Eligibility Criteria & Required Documents for Unity Small Finance Bank FD Interest Rates

It’s essential to understand who is eligible to invest and what documents are required before opening a Unity Small Finance Bank FD. 

Who can open an FD with Unity SFB?

• Resident Individuals
   
• Hindu Undivided Families (HUFs)
   
• Sole Proprietorships
   
• Trust accounts
   
• Limited companies
   

Documents commonly required
 

• PAN card (Permanent Account Number)
   
• Proof of address, like Aadhaar Card, utility bills, etc.
   
• Initial deposit cheque/funds
   
• Passport-size photograph(s)
   
• If entity (company/trust), additional incorporation documents, board resolution, etc.

Make sure all KYC (Know Your Customer) formalities are in place.

Tax Implications on Unity Small Finance Bank FD

FD gives you a steady and safe return, but the interest you earn is taxable. It comes under “Income from Other Sources” in your income tax return (ITR).

Here’s how it works:

• If the total interest from your FDs in a year crosses ₹40,000, the bank will cut TDS (Tax Deducted at Source) at 10%.
   
• For senior citizens, the limit is ₹50,000.
   
• You can avoid TDS if your income is below the taxable limit by submitting Form 15G (for non-senior citizens) or Form 15H (for senior citizens).
   
• Even if TDS is not deducted, you still need to declare the interest income while filing your ITR.

You can manage your taxes smartly with a little planning, like by using Form 15G/H and checking your income slabs.

Unity Small Finance Bank FD Premature Withdrawal & Closure Rules

If you withdraw your FD before maturity, the bank will charge a penalty and pay interest at a reduced rate.

• The penalty is 1% less than the interest rate applicable for the period your FD actually stayed with the bank.
   
• For some special types of FDs (like bulk or non-callable deposits), premature withdrawal might not be allowed at all, except in rare cases.

Here’s a simple example:
If you booked a 1-year FD at 8%, but withdraw it after 6 months when the rate for 6 months is 6.5%, you’ll get 6.5% - 1% = 5.5% interest.

You can break your FD in an emergency, but it will reduce your returns. Use that option when you really need the funds.

How to Invest in Unity Small Finance Bank FD

Follow these steps to start investing in a Unity Small Finance Bank FD when you have all the documents ready:

For Existing Customers
 

• Log in to internet banking or the Unity mobile app.
   
• Go to the Fixed Deposit (FD) section.
   
• Enter the deposit amount and choose the tenure.
   
• Select your interest payout option, such as monthly, quarterly, or on maturity.
   
• Confirm the details and submit.
   

For New Customers
 

• Visit the nearest Unity Small Finance Bank branch or go to the official website.
   
• Open a savings account if you don’t have one.
   
• Complete KYC verification using your PAN and Aadhaar.
   
• Deposit the amount you want to invest.
   
• Choose your FD tenure and payout option.

Your FD will be ready with these steps. You can also book an FD through supported third-party platforms for convenience.

Conclusion 

Unity Small Finance Bank Fixed Deposits are a safe and rewarding way to grow your savings. You can choose a plan that suits your financial goals with flexible tenures, competitive interest rates, and extra benefits for senior citizens. 

The bank also provides convenient online booking, auto-renewal options, and loans against FDs to manage your investments. Start your FD today and secure a guaranteed return while keeping your money safe.

FAQs on Unity Small Finance Bank FD Interest Rates

Can I change the nominee for my FD after opening it?

Yes, you can update the nominee at any branch by submitting a written request.

Is there a maximum limit on the number of FDs I can open with Unity Small Finance Bank?

There’s no fixed maximum. You can open multiple FDs as long as you meet the bank’s minimum deposit requirements.

 

Can I get a loan against an FD instantly?

Yes, loans against Unity Small Finance Bank FD are processed quickly without breaking the deposit.

Can I link multiple FDs to the same savings account?

Yes, multiple FDs can be linked to a single savings account for interest credit.

Does Unity Small Finance Bank offer joint FDs?

Yes, Unity Small Finance Bank allows joint FDs with up to two account holders.

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LoansJagat Team

‘Simplify Finance for Everyone.’ This is the common goal of our team, as we try to explain any topic with relatable examples. From personal to business finance, managing EMIs to becoming debt-free, we do extensive research on each and every parameter, so you don’t have to. Scroll up and have a look at what 15+ years of experience in the BFSI sector looks like.