Union Bank of India, today announced a revision of its base rate and the interest rates on retail term deposits. The base rate has been increased by 50 basis points (bps), and now stands at 8.5 per cent from the earlier 8 per cent.
Interest rates on term deposits have also seen an upward revision. The interest rate on term deposits with amaturity of one-three years have been increased by 25 bps, from 7 per cent to 7.25 per cent. The interest rate for term deposits with a maturity of more than 3 years will be 7.5 per cent instead of 7.25 per cent going forward.
The bank has also increased the rate on deposits with a maturity of 10 years to 8 per cent. The interest rate will be linked to a special product offering called the Union Million Deposit, under which investments will mature to Rs 10 lakh either through a lump sum investment or through a monthly investment in recurring deposit plan.
The revised rates will be applicable with effect from October 18.