Bank FD Comparison Tool
Mahindra Finance vs City Union Bank Fixed Deposit Comparison 2026
Compare Fixed Deposit interest rates, maturity amounts, and features between Mahindra Finance (Private Sector) and City Union Bank (Private Sector).
Mahindra Finance
Private Sector
VS
City Union
Private Sector
Mahindra Finance: Min ₹5,000
City Union: Min ₹1,000
DICGC Insured up to ₹5 Lakhs
Compare Your FD Returns
Adjust the parameters below to see how returns compare between the two banks
₹
Five Lakhs rupees
₹5,000₹20,00,000
years
1 year10 years
Interest Rate Comparison
Interest Rates by Tenure
General rates across different tenures
Current selection: 3 years (1095 days) -Mahindra Finance: % |City Union: %
Side-by-Side Rate Comparison
Direct comparison of general rates
Mahindra Finance
City Union
Highlighted = Your selected tenure
Feature Comparison
Features | Mahindra Finance Private Sector | City Union Private Sector |
|---|---|---|
Minimum FD Amount | ₹5,000 | ₹1,000 |
Current Interest Rate(Selected Tenure) | % | % |
Premature Withdrawal Penalty | 1% | 1% |
Official Rate Source | View Official Rates | View Official Rates |
Mahindra Finance
Private Sector Bank
Key Advantages:
NBFC with CRISIL AAA/Stable and India Ratings IND AAA/Stable ratings
Senior citizens get +0.25% additional interest for Samruddhi Deposits
Senior citizens get +0.10% additional interest for Dhanvruddhi Deposits (up to 5 Cr)
Employees/Employees' relatives get +0.35% additional rate for Samruddhi Deposits (up to 5 Cr)
Additional 0.05% p.a. on all renewal of deposits (w.e.f. 1st June 2025)
Flexible interest payout options: Monthly, Quarterly, Half-yearly, Yearly
Minimum deposit: ₹5,000
Maximum deposit: ₹5 crores
Tenure: 12 to 60 months
Rates effective from 25th June 2025
City Union Bank
Private Sector Bank
Key Advantages:
Competitive interest rates
Secure banking
Online services available
Important: Fixed Deposit Safety & Insurance Coverage
₹5 Lakh Insurance Limit
The Deposit Insurance and Credit Guarantee Corporation (DICGC) provides insurance coverage of up to ₹5 lakhs per depositor per bank. This means if you deposit more than ₹5 lakhs in a single bank, only ₹5 lakhs is guaranteed by the government.
⚠️ Recommendation:
Never deposit more than ₹5 lakhs in a single bank. If you have larger amounts, distribute them across multiple banks to ensure full insurance coverage.
Smart Distribution Strategy
For ₹10 lakhs: Split between Mahindra Finance (₹5L) + City Union (₹5L)
For ₹15 lakhs: Add a third bank to the mix
💡 Pro Tip:
You can also open FDs in different family members' names in the same bank to get additional ₹5 lakh coverage for each account holder.
Key Insights & Recommendations
Choose Mahindra Finance If:
- •Minimum amount: ₹5,000
- •Private Sector banking preference
- •NBFC with CRISIL AAA/Stable and India Ratings IND AAA/Stable ratings
- •Senior citizens get +0.25% additional interest for Samruddhi Deposits
- •Senior citizens get +0.10% additional interest for Dhanvruddhi Deposits (up to 5 Cr)
Choose City Union If:
- •Minimum amount: ₹1,000
- •Private Sector banking preference
- •Competitive interest rates
- •Secure banking
- •Online services available
Best Strategy:
- •Split large amounts across both banks
- •Keep ≤₹5L per bank for insurance
- •Compare rates before investing
- •Consider branch convenience
- •Review rates periodically
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