In an aggressive move to secure retail deposits, Unity Small Finance Bank has revised its fixed deposit (FD) interest rates, introducing a highly attractive return of up to 8.50% per annum for senior citizens. According to the lender’s updated schedule effective July 15, 2026, the peak interest rate applies specifically to its unique 501-day special fixed deposit scheme for amounts under ₹3 crore. For the general public, the same short-term investment window now offers an equally competitive rate of 8.00% per annum. This upward revision places Unity Small Finance Bank at the forefront of the fixed-income market, matching some of the highest yields offered across the small finance banking sector and comfortably outpacing traditional public and private sector commercial banks. Apart from this flagship 501-day tenure, the lender continues to offer steady returns across other timeframes, including 7.50% for general depositors and 8.00% for elderly individuals on standard one-year deposits, while longer maturities spanning three to five years offer up to 7.25% for senior citizens. To complement these enhanced term deposit options, the bank has maintained its lucrative savings account structure, offering up to 7.00% interest per annum on account balances exceeding ₹10 lakh. With all domestic retail deposits backed by the Reserve Bank of India’s Deposit Insurance and Credit Guarantee Corporation (DICGC) safety net up to ₹5 lakh, this latest pricing strategy is highly expected to drive significant retail capital inflows from yield-conscious savers looking to shield their wealth from inflation.
Unity Small Finance Bank Raises 501-Day Fixed Deposit Rates to 8.50% for Senior Citizens
