Basic Savings Bank Deposit Accounts (BSBSDA): a basic savings account with Union Bank of India which provides essential features like:
- There is no requirement of a minimum balance to be maintained in the account
- An ATM card or an ATM-cum-debit card or a RuPay card will be provided to the account holders
- The service facility provided by the bank under this account includes deposition and withdrawal of cash from Union Bank of India branches and ATMs, electronic transaction of funds, collection of cheque drawn by central or state government agencies and departments
- A maximum of 4 withdrawals per month which also include ATM withdrawals are allowed.
- Union Bank of India savings account charges for non-operation and non-maintenance are nil
- An overdraft limit of up to Rs. 5,000 is provided with all bank accounts under this scheme depending on the bank’s assessment of the account holder’s creditworthiness and repayment capacity
Basic Savings Bank Deposit Accounts Small Schemes (BSBDS): these are the simplest Union Bank of India savings accounts which have the following features:
- The KYC norms in this account are relaxed and an individual can open this account only by submitting his/ her self-attested photographs without any documents
- There is a limit on the total credits in the account in a year which should not exceed Rs. 1 lakh
- The maximum balance maintained in the account should not cross Rs. 50,000 at any time
- The aggregate of cash withdrawals and debits should not exceed Rs. 1 lakh in any given month
- For allowing foreign credits into the account, the KYC formality should have been completed
- This account is initially valid for 12 months. The customer can opt to increase this period by another 12 months if he/ she can produce an evidence of having applied for any valid KYC document.
- These accounts can be opened at Core Banking Solution (CBS) branches or branches having the facilities of monitoring the fulfilment of conditions of this account
- These accounts provide an overdraft limit of up to Rs. 5,000 and the limit granted depends on the creditworthiness and repayment capacity of the account holder as decided by the bank
Regular Savings Bank Account: as is implied from the name, this account is the regular savings account with regular features which are:
- An ATM-cum-debit card is issued along with the account free of charge
- 2 free cheque books are issued in one year
- Free accidental insurance cover with debit cards
- Internet banking facility through tabs which allows the opening of the account from anywhere
- Facilities of anywhere banking, internet banking, mobile banking and nomination
- Usage of debit card for making payments would also make the card holder eligible to earn reward points
- The account can be opened with a zero balance facility by a student
- The Union Bank of India minimum balance requirements in the account depend on the location and the requirement of a cheque book. For metro and urban areas, the requirement is Rs. 500 without cheque book facility and Rs. 1,000 with cheque book facility. For semi-urban areas, the requirement is Rs. 250 and Rs. 500 for without cheque book and with cheque book facility. For rural areas, the requirement falls down to Rs. 100 and Rs. 250 and for pensioners, it is further downgraded to Rs. 20 and Rs. 250.
Eligibility Criteria:
The account can be opened by resident individuals either single or as joint applicants (joint savings accounts), illiterates, visually impaired individuals, minors, purdahnashin ladies, clubs, associations, societies, trusts or institutions or agencies which are approved by the RBI.
Union Family Savings Scheme: a type of savings account to bring the entire family together for the purpose of banking. The salient features of the account include:
- In this scheme, separate accounts are opened for family members and then every account is linked together under this scheme
- The minimum member requirements for Union Bank of India savings account is 2 and the maximum number of members is limited to 6
- The allowed members can be grandparents, mother, father, spouse, son, daughter, brother or sister
- The aggregate balance in all the accounts of the clubbed members would be considered for the minimum balance requirement. The average quarterly balance which should be maintained in all the savings accounts is Rs. 1 lakh or in all term deposit accounts is Rs. 10 lakh. If there has been a new enrolment, then the minimum balance requirement in savings accounts drops to Rs. 50,000.
- Every member account in the linked family accounts can enjoy multiple free facilities which include 2 free personalized multi-city cheque books, unlimited monthly inter sol transactions, free demand drafts or pay orders of up to Rs. 20,000 every month, ATM-cum-debit card, ATM withdrawal limit and transaction limit of Rs. 25,000 each daily, Rs. 2 lakh accidental insurance cover on using the debit card, internet banking, SMS alerts and waiver of cash deposit charges for amounts up to Rs. 50,000 daily.
- If the minimum average quarterly balance is not maintained in the account, the bank would not levy any charges but would simply charge the above-mentioned free facilities
Union Flexi Savings Deposit: it is a combination of fixed deposits and savings account which earn a higher interest. The features include:
- Union Bank of India savings account eligibility criteria allows eligible individuals and non-governmental bodies, organizations and agencies to open a Union Flexi Savings Deposit Account
- The account should have a minimum balance of Rs. 50,000
- If the balance in the savings account exceeds the minimum requirement at any point in time, it will be swept out into a fixed deposit account to earn higher rates of interest in blocks of Rs. 10,000
- If there is a shortfall in the savings account, the balance in the fixed deposit account would be swept out to the savings account to meet the deficit in blocks of Rs. 5,000
- The amount in the deposit account would be held for a minimum tenure of 46 days and a maximum tenure of 1 year
- The sweep in and sweep out facility would be done daily as and when required
- The account gives free benefits of 5 cheque books in a year containing 20 leaves each, facility of NEFT/ RTGS and no charges on non-maintenance of the minimum balance
- The interest on the fixed deposit would be calculated and credited to the savings account every quarter
Union Flexi Plus Saving Deposit Account: a savings account similar to the above account with a higher requirement of minimum balance meant for premium customers of the bank.
- It is a dual benefit account promising liquidity through the features of a savings account and higher returns through the combination of a flexible fixed deposit account
- Any individual or non-individual eligible to open a savings account can open this account too
- The requirement of the minimum balance in the account is Rs. 5 lakh
- If the balance in the savings account exceeds that of the minimum requirement, blocks of Rs. 1 lakh are transferred to the fixed deposit account to earn a higher interest
- For any shortfall in the savings account, money in blocks of Rs. 1 lakh is swept out from the deposit account and credited in the savings account for meeting the shortfall
- This sweeping in and sweeping out of money takes place on a weekly frequency
- The money in the deposit account can be held for 46 days at the lowest and 180 days at the highest
- The account promises free benefits of unlimited cheque books, NEFT/ RTGS transactions, no penalty for non-maintenance of the minimum balance, demand draft or pay order remittances and cash deposits up to Rs. 5 lakh per month
- Interest on the deposit is calculated and then credited to the savings account on a quarterly basis
Union Capital Gain Deposit Scheme: the account promises tax benefits on capital gains if the amount is deposited in the account before filing for taxes and utilized before completion of the stipulated period. Other features are:
- The account can be opened and operated only at metropolitan, urban and semi-urban Union Bank of India branches
- Two types of Deposits of Deposit A and Deposit B can be opened under this scheme
- Deposit A would represent a savings account, while Deposit B would represent a fixed deposit where the interest can be chosen to be paid regularly or reinvested with the principal and paid at maturity
- The deposit in Deposit B can be made in one lump sum or in instalments over a period before the tax return is due to be filed
- Withdrawal from Deposit A account can be done whenever required as it is a savings account. However, withdrawal from Deposit B account can only be made after the expiration of the stipulated deposit tenure.
Union Super Salary Scheme: a salary saving account for employed individuals.
- It is a zero balance account requiring no minimum balance maintenance
- Free facilities of Union Bank of India savings account online internet banking, phone banking, SMS banking and mobile banking
- Free debit card along with a free accidental insurance coverage on the usage of the card
- The account provides overdraft facility up to the extent of 90% of the previous month’s salary credited in the account to a maximum of Rs. 25,000
- Retail loans, insurance plans, mutual funds, demat accounts, online trading, etc. can be done through the account
Eligibility Criteria:
The account is available to employees of institutions, organizations, corporates, government departments, etc. which has a minimum strength of 15 employees. At least 15 salary accounts should be opened by a single organization.
Union Super Salary Account for Defence/ Paramilitary Personnel: an account specially designed for defence and paramilitary personnel.
- A zero balance account requiring no minimum balance
- Union Bank of India offers free multi-city personalized cheque books in this account
- A free debit card which also comes with a free accidental insurance cover applicable on its usage
- Free facilities of tab banking, internet banking, SMS banking, phone banking and mobile banking
- Facility of availing overdraft subject to 90% of the previous month’s credited salary of Rs. 25,000, whichever is lower
- Various types of loans, insurance products, mutual funds, online trading facility, etc. are available with the account
Eligibility Criteria
Serving personnel of the army, navy, air force, BSF, CISF, Cobra, ITPB, NSG, CRPF, NDRF, NCB, NDMA, RAF, SSB, NCRB, Border Roads Organization, Indian Coast Guard or NCC can open this account.
NRE Savings Bank Account/ Non-Resident (External) Rupee Account: this Union Bank of India saving account can be opened by Non-Resident Indians (NRIs) as well as Persons of Indian Origin (PIOs). However, it is not available to person residents in Nepal and Bhutan. Individuals from Bangladesh and Pakistan can open the account after taking required approval from RBI.
- This savings account with Union Bank of India has to be maintained in Indian currency, i.e. Indian rupees
- The account allows funds to be remitted from abroad in any permitted currency through normal banking channels
- Cheques or drafts can be deposited which are drawn in foreign as well as Indian currency in addition to those drawn on Vostro accounts maintained by foreign bank and exchange houses
- Funds can be transferred from other NRE and FCNR accounts of the same account holder or another account holder along with a certificate from paying bank
- The account holder can also surrender foreign currency or foreign currency traveller’s cheques in person
- Joint account is permitted with one or more NRIs or PIOs
- Union Bank of India offers the facility of nomination in this account
- The principal and interest earned in the account are fully repatriable
- No income tax is levied on the interest earned in the account
- The minimum average quarterly balance to be maintained in the account for metro and urban areas is Rs. 1,000, whereas it is Rs. 500 for semi-urban and rural areas
- Power of attorney can be made in favour of a resident. However, he/ she will be only allowed to withdraw funds for local payments and for investments in the name of the account holder. Funds can be remitted to the account holder abroad, provided the power of attorney document allows the same.
NRO Savings Bank Account: as per Regulation 2 of Foreign Exchange Management Act (FEMA), any person resident outside India can open an NRO account for bona fide transactions in Indian currency. However, individuals and entities of Bangladesh and Pakistan nationality and ownership require approval from Reserve Bank of India to open the account.
- If the first account holder is an NRI, the NRO account can be held jointly with residents and/ or non-residents
- The NRO account can be operated by the power of attorney holder for making domestic/ local payments in Indian currency allowed by the Reserve Bank of India as well as remittances outside India of the non-resident individual account holder’s current income in India. The resident power of attorney holder can only repatriate money outside India to the non-resident individual account holder from the NRO account. He/ she cannot make any payment as a gift on behalf of the non-resident account holder, nor can he/ she transfer money from one NRO account to another NRO account.
- Income tax on the interest income of the non-resident Indian in the NRO account will be deducted at source (TDS) as per Section 195 of the Income Tax Act, 1961. However, the same is subject to the Double Taxation Avoidance Agreement (DTAA) between India and many countries. A lower rate of tax will apply as per DTAA if a copy of the PAN or Aadhar card has been registered with the bank.
- Remittances from abroad in freely convertible foreign currency through normal banking channels are allowed to be credited to the NRO account. Other permissible credits into the account include freely convertible foreign currency brought by the account holder in the course of a temporary visit to India, transfer from rupee accounts of non-resident banks and lawful dues of the account holder in India. Such dues include current income like rent, dividend, pension, interest, etc. in addition to proceeds from the sale of assets.
- The authorised debits of the NRO account include local payments in Indian currency, remittance of the current income (like rent, dividend, pension, interest, etc.) of the account holder in India to abroad and remittance of up to USD 1 million each financial year for bona fide uses
Union Bank of India Saving Account Interest Rates
Savings accounts of all types earn an interest rate of 4% per annum which is calculated on a daily basis on the balance remaining at the end of the day.