Big Relief For Savers! This Bank Now Offers 7% On Savings Account And Up To 8.5% On FD

New Delhi

If you’re looking to earn higher returns on your savings, here’s some good news. Unity Small Finance Bank has announced a major update for its customers by revising interest rates on both Savings Accounts and Fixed Deposits. The new rates came into effect from August 1, 2026.

The bank is now offering up to 7% annual interest on savings accounts, while senior citizens can earn up to 8.5% annually on FDs. This could be a key update for those who want safe investments with better returns.

Higher Balance = Higher Interest On Savings

As per the new slab system:

• Up to Rs 1 Lakh balance: 4.5% per annum
• Above Rs 1 Lakh to Rs 5 Lakh: 6% per annum
• Above Rs 5 Lakh: 7% per annum

The bank clarified that interest will be credited every month to customer accounts. The calculation will be done based on the new slab structure, helping savings grow faster with regular payouts.

FD Rates Also Revised

The bank has also increased Fixed Deposit rates for deposits below Rs 3 Crore.

For a tenure of 501 days:

• General Citizens: 8% per annum
• Senior Citizens: 8.5% per annum 

These rates are considered quite competitive compared to many other banks right now.

For other tenures, rates will vary based on deposit amount and customer category. Seniors will continue to get additional interest across FD tenures.

Key Points For Depositors

• Safety: Deposits are covered under DICGC insurance up to Rs 5 Lakh per depositor. So even in an unlikely event of a crisis, up to Rs 5 Lakh remains protected.
• Regular Income: Monthly credit of savings interest helps in steady growth.
• Check Terms: Interest rates are subject to change. Customers should verify latest rates on the bank’s official website or at branches before investing.

With many banks now competing on deposit rates, choosing the right bank and tenure can help boost your returns. Fixed Deposits remain one of the most popular options for safe and assured income.