1. What is Union Bank of India RD Calculator?

The Union Bank of India RD Calculator helps you estimate the maturity amount and interest earned on your recurring deposit investment. It uses the standard compound interest formula to provide accurate projections of your investment growth.

2. How Does the Calculator Work?

The calculator uses the compound interest formula:

Where:

• \( A \) — Maturity Amount
• \( P \) — Principal Amount (INR)
• \( R \) — Annual Interest Rate (decimal)
• \( n \) — Compounding Frequency per Year
• \( T \) — Time Period (years)

Explanation: The formula calculates how your recurring deposit grows over time with compound interest, accounting for how frequently the interest is compounded.

3. Importance of RD Calculation

Details: Accurate RD calculation helps in financial planning, understanding investment returns, and making informed decisions about savings and investment strategies with Union Bank of India.

4. Using the Calculator

Tips: Enter the principal amount in INR, annual interest rate as a percentage, select compounding frequency, and time period in years. All values must be positive numbers.

5. Frequently Asked Questions (FAQ)

Q1: What is the minimum investment for Union Bank RD?
A: Union Bank of India typically requires a minimum monthly deposit of ₹100 for recurring deposits.

Q2: What are the current RD interest rates?
A: Interest rates vary and are subject to change. Please check Union Bank of India's official website for current rates.

Q3: Is premature withdrawal allowed?
A: Yes, but premature withdrawal may attract penalties and revised interest rates as per bank policies.

Q4: How is interest taxed?
A: Interest earned on RDs is taxable under Income Tax Act, and TDS may be deducted as applicable.

Q5: Can I open an RD account online?
A: Yes, Union Bank of India offers online RD account opening facilities for existing customers.