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Introduction

Ujjivan Small Finance Bank offers a wide range of deposit schemes to its customers. The interest rates on its deposits are quite attractive. Moreover, the bank allows premature withdrawal facility and also offers loans against the FDs. In this article, we have covered Ujjivan Small Finance Bank FD and its interest rates in detail.

Ujjivan Small Finance Bank FD Rates 2020

The following table shows the Ujjivan Bank FD interest rates for varying tenures.

Ujjivan FD rates range between 3.05%-6.5% for regular citizens and 3.55% -7% for senior citizens with tenure varying between 7 days and 10 years. Ujjivan Bank FD rates are higher than their saving account rates. The bank also offers a higher interest rate to senior citizens. Also, the interest rate for senior citizens is higher by 0.5%. Moreover, investors can opt for receiving interest monthly, quarterly, annually or at the time of maturity.

The highest FD rate for Ujjivan Small Finance Bank is 6.5% for a regular investor for the tenure of 1-2 years. Also, for the same tenure, the highest senior citizen FD rate is 7%.  Moreover, returns from Ujjivan Small Finance Bank fixed deposits can be calculated using the Ujjivan Small Finance Bank fixed deposit calculator.

TenureRegular Fixed Deposit Interest RatesSenior Citizen Fixed Deposit Interest Rates
7 days to 29 days3.05%3.55%
30 days to 89 days4.05%4.55%
90 days to 179 days4.80%5.30%
180 days to 364 days5.20%5.70%
1 year to 2 years6.50%7.00%
2 years 1 day to 3 years6.05%6.55%
3 years 1 day to 5 years5.80%6.30%
5 years 1 day to 10 years5.55%6.05%
Note: The rate of interest of Ujjivan Small Finance Bank FDs is subject to change

Key Features of Ujjivan Small Finance Bank Fixed Deposit

Following are the key features of Ujjivan Small Finance Bank fixed deposits:

Tenure

The Ujjivan Small Finance Bank fixed deposit tenure ranges between 7 days to 10 years. Once invested, one cannot change the tenure of Ujjivan Small Finance Bank FD investment. However, one can opt for premature withdrawal. Also, investors can close the existing Ujjivan Small Finance Bank FD and start a new FD with the desired tenure.

Minimum and Maximum Deposit Amount

The minimum amount of investment in Ujjivan Small Finance Bank FD is INR 1,000. Moreover, there is no limit on the maximum amount of investment except for the tax saving FD, which is INR 1.5 lakh per annum.

Ujjivan Small Finance Bank FD Interest Rate

Ujjivan Small Finance Bank FD rates range between 3.05%-6.5% per annum.

Preferential Interest Rate to Senior Citizens

Ujjivan Small Finance Bank offers a higher rate of interest to senior citizens. Also, the rate for senior citizens is higher by 0.5% on their FD investments. Moreover, the senior citizen FD rate ranges between 3.55%-7%.

Eligibility

To open a Ujjivan Small Finance Bank FD, one has to be eligible and following is the eligibility criteria.

  • Resident individual
  • HUF
  • Limited companies

Documents required

The following are the documents that one needs to open a Ujjivan Small Finance Bank FD.

  • Passport size photographs
  • PAN Card
  • Aadhar Card
  • Form 60 (if PAN isn’t available)
  • Address proof (Utility bills, Passport, Driving License)

Additional Payments

It is not possible to deposit any additional amount in an existing Ujjivan Small Finance Bank fixed deposit. However, one can always invest in a fresh Ujjivan Small Finance Bank FD with the additional amount.

Tax and TDS

Investment in Ujjivan Small Finance Bank Tax Saving Fixed Deposit qualifies for tax deduction under Section 80C of the Income Tax Act, 1961. Also, all other Ujjivan Small Finance Bank term deposits do not qualify for tax saving. Investors can claim the tax benefits while filing their income tax returns.

The interest that one earns on their Ujjivan Small Finance Bank FD investments is taxable as per their respective income tax slab rates. Moreover, suppose the interest income exceeds INR 40,000 (INR 50,000 for senior citizens). In that case, the TDS rate is 10% (20% if PAN Card is not available).

One can also determine whether their interest income is above or below the TDS threshold limit using a bank fixed deposit calculator. They can also estimate their tax liability (if any) using an Income Tax Calculator. Scripbox’s Income Tax Calculator is available online and is free to use.

Safety

Under the Deposit Insurance Scheme of RBI, DICGC insures all Ujjivan Small Finance Bank deposits up to INR 5,00,000.

Premature withdrawal

Ujjivan Small Finance Bank allows premature withdrawal of their FDs. Following are the premature withdrawal rules.

  • Tax saver FDs do not have the facility of premature withdrawal.
  • Sampoorna Nidhi FD scheme allows premature withdrawal only after 6 months from the date of deposit.
  • Withdrawal before 7 will not fetch any interest.
  • All deposits up to INR 15 lakhs will have a premature withdrawal facility. Also, the bank may not allow premature withdrawal of deposits above INR 15 lakhs.
  • Moreover, all premature withdrawals will attract a penalty of 1% on the contracted interest rate.

Nomination Facility

Depositors can nominate beneficiaries for their Ujjivan Small Finance Bank term deposits.

Auto-Renewal

Ujjivan Small Finance Bank offers an auto-renewal facility to depositors for their FDs.

Convenience

Opening and managing Ujjivan Small Finance Bank FD investments are easy and convenient through their online portal.

Loan against FD and Overdraft

Ujjivan Small Finance Bank allows investors to take a loan against their FD investments to meet liquidity requirements. Moreover, investors can do it without breaking the FD. Also, they do not have to go through the entire loan process. The terms of the loan, tenure, and interest rate are decided based on the bank’s rules.

Investors can take loans such as education loans, loan against property (home loan), business loans, etc., against Ujjivan Small Finance Bank FD. They can also estimate their loan EMI using the loan EMI calculator. The loan EMI calculator works as a personal loan EMI calculator. It also works as a car loan calculator and home loan calculator. The investor can also use the EMI calculator in multiple scenarios by changing the variables like personal loan interest rate. They can also tweak the car loan interest rate and home loan interest rate.

Pan Card

A PAN card isn’t mandatory to open an FD account with Ujjivan Small Finance Bank. The investors can submit Form 60 instead. However, not submitting a PAN Card can have its drawbacks. The TDS rate will be 20% instead of 10%. Moreover, the bank will not issue a TDS certificate. Also, form 15G, and 15H will be invalid.

Requirement of savings account

Individuals need not have a Ujjivan Small Finance Bank account to open a fixed deposit account.

Type of Fixed Deposit Schemes offered by Ujjivan Small Finance Bank

  • Regular Fixed Deposits
  • Tax Saver Fixed Deposits
  • Sampoorna Nidhi
  • Sampoorna Lakshya

Type of Fixed Deposit Schemes: In Detail

Ujjivan Bank Regular Fixed Deposits

  • Tenure: 7 days to 10 years
  • Minimum Deposit Amount: INR 1,000 and in multiples of INR 100 thereafter
  • Interest Payout: Monthly or quarterly or half-yearly or annually or upon maturity
  • Premature Closure and Partial Withdrawal Facility: Available

Ujjivan Bank Tax Saver Fixed Deposits

The scheme offers high-interest rates and also tax benefits for deductions. Also, deposits up to INR 1,50,000 qualify for tax deductions under Section 80C of the Income Tax Act.

  • Lock-in period: 5 years
  • Minimum Deposit Amount: INR 1,000
  • Maximum Deposit Amount: INR 1,50,000
  • Interest Payout: Quarterly or monthly or upon maturity
  • Eligibility: Residents and HUF

Ujjivan Bank Sampoorna Nidhi

The Ujjivan Bank Sampoorna Nidhi is a monthly income scheme for depositors. The interest amount is directly credited to the linked savings or current account. One can easily withdraw through a branch or ATM.

  • Tenure: 12 months to 60 months (In multiples of 12 months)
  • Minimum Deposit Amount: INR 25,000 and in multiples of INR 1,000 thereafter
  • Premature Closure: Depositors can close the account prematurely without any penalty after 6 months of account opening.
  • Auto-Renewal: Available
  • Eligibility: USFB resident individual customers with an individual’s current account or existing savings account.

Ujjivan Bank Sampoorna Lakshya

The scheme helps to save for one’s goals.

  • Tenure: 3 months to 120 months (in multiples of 1 month)
  • Minimum Goal Amount: INR 3,000 and in multiples of INR 1,000 thereafter
  • Premature Closure: Depositors can close the account prematurely without any penalty after 6 months of account opening.
  • Eligibility: USFB resident individual customers with an individual’s current account or existing savings account.

Does Ujjivan Small Finance Bank offer Recurring Deposits?

Yes, Ujjivan Small Finance Bank offers recurring deposit schemes.

  • Tenure: 6 months to 10 years
  • Minimum Deposit Amount: INR 100 and in multiples of INR 100 thereafter
  • Premature Closure: Available

Following are Ujjivan Small Finance Bank recurring deposit rates:

TenureGeneral RatesSenior Citizen Rates
6 months to 9 months6.50%7.00%
12 months to 24 months7.50%8.00%
27 months to 36 months7.50%8.00%
39 months to 60 months6.75%7.25%
63 months to 120 months6.25%6.75%
Note: Ujjivan Small Finance Bank interest rates are subject to change