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Everything You Need to Know About Union Bank Of India (UBI) Savings Account   

Union Bank of India was founded in Bombay on November 11, 1919, by Seth Sitaram Poddar. The bank headquarters was inaugurated by Mahatma Gandhi, and at the time of independence in 1947, this bank had four branches.

Today, Union Bank of India boasts a colossal network of over 9,300 domestic branches, over 11,800 ATMs, over 8,216 business correspondent points, and over 77,000 employees serving over 120 million customers. The Union Bank of India Savings Account is extremely easy to open, both in online and offline mode, and has some great features.

There are several types of Union Bank of India savings accounts. This is a comprehensive guide to the saving account.

Features and Advantages of Union Bank of India Savings Account         

Let us look at some of the benefits and features of the Union Bank of India Savings Account :              

  1. Easy Application Process, and you also get the benefit of opening Joint Accounts.
  2. You can get a zero balance on Student Accounts.
  3. You can avail of the benefit of Phone Banking, Mobile Banking, Tabulous Banking, and ATM Banking.
  4. Remittance Facilities, including NEFT, IMPS, Union e-cash, and Mutual Funds Investments available.
  5. You get the opportunity to earn Reward Points on your debit card.
  6. You can place standing instructions for bills, FDs & RDs,  insurance premiums, EMIS, etc.
  7. Nomination Facility.
  8. Low minimum balance requirements along with Zero balance account for students.
  9. Insurance in the form of accidental cover.
  10. Passbooks and e-Statements are issued free of cost.
  11. 2 chequebooks issued free per year with 20 free chequebook leaves per year.
  12. No limit on the number of withdrawals through branches, Debit cards, or Internet banking.
  13. The free facility of Internet banking with Self User Creation and Password Reset.
  14. U-Mobile app facility for bill payments, mobile recharges, balance inquiries, NEFT transfers, etc., on a mobile phone.

Eligibility Criteria for Union Bank of India Saving Account Opening Procedure

The following categories can open a Union Bank of India savings account:

  • People who are visually impaired or illiterate.
  • Residents of India for individual and joint accounts.
  • Purdanasheen Women and Minors.
  • Clubs, Trusts, Societies, Associations, Institutions, Agencies, etc. registered and recognized by the Reserve Bank of India (RBI).

What are the Documents Required for Union Bank of India Saving Account Opening?

To open a Union Bank of India Savings Account, you need to submit the following documents to the bank authorities:

For Individuals

  • Aadhar card and PAN Card
  • Passport/Driving License/Voter card as identification proof
  • Any card that is issued by the Election Commission of India
  • Photo ID or activity card of NREGA and signed by a State Government officer
  • Proof of Address
  • Utility bills not older than 2 months
  • Receipt of municipality or assets tax
  • Letter of lodging allotment from the company issued via way of means of the Central or State Government departments, scheduled industrial banks, PSUs, monetary institutions, regulatory or statutory bodies, and indexed companies
  • Family pensions or PPOs issued via way of means of the PSUs

Along with the above-mentioned document, you may have to submit extra documentation if you belong to any of the below-mentioned categories:

For Trusts

  • Trust deed, registration certification, proof of address of the trust and the trust members
  • Passport-length picture of all trustees and certified persons

For Companies and Corporations

  • Memorandum/articles of association
  • List of directors along with their details
  • Certificate of incorporation

Partnership Firms

  • Partnership deed and Registration Certificate
  • ID proof, address proof, and passport-size picture of all partners

For Government Departments, Local Bodies, etc.

Besides all the other ID proofs, they would need to submit the resolution, notification, or permission letter for opening the account and permitting the involved authority to operate the account.

Union Bank of India Saving Account Opening Procedure

Once you have your documents ready, it is time to open your Union Bank of India savings account. You can do this via the online or offline mode.

Union Bank of India Saving Account Opening Offline Procedure

To open an account offline, you can simply go to your nearest bank branch with a copy of your KYC document and the original for verification to open a savings account.

Let us look at the Online Union Bank of India saving account opening Procedure:

Step 1 – You need to download "Union Selfie & M-Passbook" from the Play Store to your Android smartphone.

Step 2 - Take a selfie and scan your Aadhar and Pan card with the app. The account number is instantly generated and activated when you visit the branch with your original documents for verification.

Step 3 -  You can also start the process by visiting the Union Bank Savings Account page and completing an online form.

Union Bank of India Interest Rates on Saving Account

UBI savings account interest rates are as follows:           

Union Bank of India interest rates on saving account UBI savings account interest rate
For balances up to Rs. 50 Lakh 2.75%
For balances between Rs. 50 Lakh to Rs. 100 Crore 2.90%
For balances between Rs. 100 Crore to Rs. 500 Crore 3.10%
For balances between Rs. 500 Crore to Rs. 1000 Crore 3.40%
For balances above Rs. 1000 Crore 3.55%

Here is a list of basic fees that is applicable to Union Bank of India savings accounts:

  1. SMS Banking - Rs. 15 quarterly
  2. Neft Out - Rs. 3 to Rs. 29 per transaction
  3. Neft/RTGS Inward - Zero
  4. Outward RTGS – Rs. 29 to Rs. 63 per transaction
  5. Issuing chequebooks - Free up to 40 leaves; after that, a charge of Rs. 4 per leaf will be applicable
  6. Electronic Clearing Service – Rs. 4 per transaction
  7. Account activation - free
  8. Standing Instructions - One-time fee of Rs. 58
  9. Account Statement - Free
  10. Inactive Accounts - No fees if minimum balance is maintained. If the balance is below the minimum limit, the following charges will apply:
  11. Metro and Urban - Rs. 230
  12. Semi-Urban and Rural - Rs. 85
  13. Duplicate statement of statement or passbook - Rs. 62 per page or Rs.1,507 for maximum entries. Posts older than one year will be charged Rs. 77 or a maximum of Rs. 7,533 per page.
  14. Customer-Induced Debt entries - 60 free reservations per quarter. After that, Rs.17 will be charged per entry
  15. Account Closure - There is no fee if the account is closed within 14 days. Closing the account within 12 months will cost Rs. 173 for accounts with a chequebook and Rs.130 for accounts without a chequebook. After 12 months, again, there will be no cost for account closures

Types of Union Bank of India Savings Accounts 

Let us look at the various kinds of Union Bank of India savings accounts available:

1. Savings Bank Account (SBGEN)

Main Features:

Quarterly Average Balance (in Rs) QAB Rural S-Urban Urban Metro
With CHQ book 250 500 1000 1000
Without CHQ book 100 250 500 500
Type of ATM/Debit card Classic card

2. Savings Bank Account for Pensioners (SBPEN)

This account is for the individual pensioner drawing a regular pension. Features are:

Quarterly Average Balance No minimum balance requirement
Type of ATM/Debit card Classic card
Non-Maintenance of QAB NIL

3. Savings Bank Account For Students(SBZER)

Students between the age group of 10 years - 25 years can apply for this account.

After 25 years, the account will get converted into a normal SB account. No chequebook will be issued till the time the student turns 18 years. Accounts of children below the age of 10 will be monitored and operated on by parents.

Quarterly Average Balance Nil
Type of ATM/Debit card Classic card
Non-Maintenance of QAB NIL

4. Basic Saving Bank Deposits Account-Small Accounts (BSBDS)

Accounts can be opened by anyone after going through the KYC procedures. However, these accounts cannot be opened by Institutions, Organizations, Non-Resident Indians & Staff.

Quarterly Average Balance Nil
Debit Card Allowed, RuPay debit card.

These accounts come with a few conditions, which are:

  • The sum of all loans in one fiscal year shall not exceed Rs. 1,00,000/-.
  • The sum of all withdrawals and remittances in one month must not exceed Rs. 10,000/-
  • The balance should never exceed Rs.50,000/-
  • Withdrawal is possible only at the base branch
  • The account is initially valid for 12 months, but if the individual presents proof or if he has applied for OVD, he can extend it for another 12 months

5. Basic Saving Bank Deposits Account (BSBDA)

A Basic Savings Bank deposit account is considered a regular banking service. This account does not require a minimum balance. RuPay debit card will be issued to all account holders.

There is no fee for not maintaining/activating a working Basic Savings Bank account. Anyone can open a savings account, but the customer must declare that he does not hold a BSBDA account with any other bank when opening an account.

Quarterly Average Balance Nil
Type of ATM/Debit card RuPay Classic card
Account Closure Charges NIL
Charges for non-operation/non- activation of inoperative BSBDA accounts NIL

6. Union Super Salary Account (USSA)

This is a saving cum salary account with the following features:

Scheme Code USSA- I USSA- II USSA-III
Eligibility Employees with regular salary Employees with regular salary Employees with regular salary
Gross Salary (Average of last 3 months' gross salary) Salary lower than. 25,000/- per month Salary between Rs. 25,000/- to Rs. 74,999/- per month Salary of Rs. 75000/- and above per month
Quarterly Average Balance Nil Nil Nil
Type of ATM Card Platinum Signature/RuPay select Signature/RuPay Select

7.  Savings Flexi Deposit Scheme (SBNFD)

This Union Bank of India Savings Account comes with the combined function of savings and term deposits, i.e. liquidity due to high-interest rates on surplus funds. Individuals and non-governmental organizations/institutions/institutions are authorized to open these savings bank accounts. Features are:

Minimum balance in SB Rs 50,000/-
Sweep in amount Rs.5,000/ and in multiples of Rs 5,000/-
Period of Term Deposit 46 days to 1 year
Type of Debit card Platinum card
Penalty for non-maintenance of min balance NIL

8. Savings Flexi Deposit Scheme (SBNFP)

Designed for government agencies and high-value customers to earn additional interest income from their surplus funds in savings. Individuals and institutions, including government agencies, are authorized to open savings accounts.

Minimum balance in SB Rs 10,00,000/-
Sweep Out amount Minimum of Rs.5,00,000 and in multiples of Rs.5,00,000
Periodicity of Sweep out Weekly
Period of Term Deposit 46 days to 90 days

9. Capital Gain SB Account (SBCAP)

Profits or gains arising from the sale/transfer of capital property are taxed under the heading "capital gains". Under this scheme, the taxpayer will only be entitled to the number of capital gains or net income if not invested in a particular asset if it is paid on or before the due date for filing to a domestic bank branch. Now they can claim the benefit of the capital gains waiver.

For the public sector, income tax refunds are credited according to the system. However, the tax exemption on capital gains credited to the account is temporary. Account holders must invest the account's credit balance in designated assets within the prescribed period to apply for exemption from capital gains tax.

Characteristics:

  • Deposits can be made under the savings bank account method or as a term deposit with cumulative or non-cumulative interest.
  • The program has no maximum deposit period. However, the assessed person must use the funds in the account by investing them in specific assets within the time period prescribed by the Income Tax Act. Otherwise, the funds will be subject to income tax.
  • The deposit will be paid according to her R.B.I. Interest at a fixed rate. Interest on non-cumulative term deposits is credited to account of the savings bank account of the investee.
  • The balance of the Fixed Deposit Account can only be withdrawn from the Savings Account.
  • The nomination feature is available within the program.
  • NRE funds are not eligible for investment under this program.

10. Mact Claims SB Account (MACT)

MACT accounts provide an option for customers to receive compensation amounts given under the awards of the Motor Accident Claim Tribunal.

Eligibility Individuals, including Minors, in a single name.
Minimum/Maximum Balance
Requirement
Not applicable, Account may be opened with Zero Balance.

11. Special SB Schemes Varqiant - I (SB Premium) SBPRE

This is a product with added functions, and anyone can open a savings account

Quarterly Average Balance Rs. 15,000/-
Type of ATM/Debit card Platinum card
Non-Maintenance of QAB Rs.150+ GST
Account Closure Charges No charges

12. Special SB Schemes Variant - II SBHNI

Product designed for High Networth Customers with additional features for account holders who maintain a high average balance in their savings accounts. Accounts can be opened by individuals who also have a regular savings bank account with UBI.

Scheme Code SBHNI
Quarterly Average Balance Rs. 1,00,000/-
Type of Debit card Signature Card /RuPay select debit card
Debit Card charge Issue charge – FREE
Annual Maintenance charge - FREE
Non-Maintenance of QAB Rs.500+ GST
Account Closure Charges No charges

13. Union Digital Savings Account (UDSA)

Any resident can open and operate a UDSA. Joint accounts or delegations for operations are not permitted. Union Bank of India saving account opening mode can be via internet banking, U-Mobile app, or branch. Average Monthly Balance - Accounts can be opened with a zero balance, so there are no minimum balance requirements.

Cash Deposit limit per month Cash Deposit Charges

Charges Re.1/-+ GST per thousand

Type of Debit card Classic card

Conclusion

You have a wide variety of saving accounts to choose from offered by Union Bank of India savings account. You can check your eligibility and suitability and get yourself lucrative savings account from UBI. You can also take benefit of internet banking, phone banking, mobile app banking, and ATM banking.

A regular Union Bank of India savings account offers innovative, modern, and digitalized banking features with the simplest application process.

Frequently Asked Questions (FAQs)

How many ATM transactions are free using the Debit Card on the Union Bank of India savings account?          

As an account holder of the regular Union Bank of India savings account, you get access to 5 free transactions per month using the ATM of Union Bank of India and 3 transactions free per month using ATM or another bank.

What are the ATM cash withdrawal limit and POS Limit on Union Bank of India's savings account debit cards?

The Limits are as mentioned:

ATM Cash Withdrawal Limit Rs. 25,000/- Per day
POS Limit Rs. 50,000/- Per day

Will I have to face any charges if I go for Union Bank of India savings account closure?

Following are the details if you go for Union Bank of India savings account closure.

After one year or within 14 days Zero
Between 15 days - 12 months Charge applicable

What are the Minimum Balance Requirements of a Union Bank of India savings account?

Following are the minimum balance requirements of the Union Bank of India savings account.

Branch With Cheque Book Without Cheque Book
For Pensioners Rs. 250 Rs. 20
Rural Rs. 250 Rs. 100
Semi-Urban Rs. 500 Rs. 250
Urban Rs. 1000 Rs. 500
Metro Rs. 1000 Rs. 500

What are the charges for a Shortfall of the Average Quarterly Balance?

The charges applicable if the AQB or Average Quarterly Balance is not maintained as prescribed are:

  • If the Union Bank of India savings account is with Cheque Book and the shortfall is up to Rs. 250, then a charge of Rs. 29 will be applicable. The other charges applicable are based on the shortfall amount, as given below:
  • The shortfall of Rs.251-500 will lead to a charge of Rs.58
  • The shortfall of Rs.501-1000 will lead to a charge of Rs.115
  • If the Union Bank of India savings account is without Cheque Book and the shortfall is up to Rs.350, then a charge of Rs. 22 will be applicable. Other charges in this case:
  • The shortfall of Rs.251-500 will lead to a charge of Rs.43
  • Pensioners are not liable to pay anything if they are not able to maintain the AQB.

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