The Reserve Bank of India (RBI) has announced the decisions taken in its latest Monetary Policy Committee (MPC) meeting.
The RBI Governor confirmed that the repo rate will remain unchanged at 5.25 percent.
Although the repo rate was reduced by 1.25 percent last year—making loans cheaper—FD interest rates also came down.
Still, some banks continue to offer attractive returns on fixed deposits.
One such option is UCO Bank’s FD scheme.
UCO Bank FD Interest Rates Explained
UCO Bank, a public sector bank, is currently offering FD interest rates ranging from 2.90 percent to 7.95 percent.
The highest returns are available under its 444-day special FD scheme.
Under this scheme, general customers earn 6.45 percent, senior citizens get 6.95 percent, bank staff receive 7.45 percent, and retired senior citizen staff can earn up to 7.95 percent interest.
For those looking at long-term savings, UCO Bank is offering 6.00 percent interest to general customers and 6.50 percent to senior citizens on a 5-year FD.
Returns on Depositing Rs 1 Lakh
If a general customer invests Rs 1 lakh in a 5-year FD with UCO Bank, the maturity amount will be Rs 1,34,686. This includes a fixed interest of Rs 34,686.
Senior citizens investing the same amount for five years will receive Rs 1,38,042 at maturity. This means a guaranteed interest earning of Rs 38,042.
Why Fixed Deposits Still Matter
Fixed Deposits remain a popular choice because they offer guaranteed returns with no market risk.
Once you invest, the interest rate and maturity amount are fixed from the start.
At the end of the tenure, you receive both the principal and the assured interest without any uncertainty.
For investors looking for safety and steady income, UCO Bank’s FD schemes can still be a reliable option despite lower interest rates overall.
