Union Bank Savings Account Interest Rate and Minimum Balance 2024 (2024)

There are various types of bank accounts that Union Bank of India provides, out of which a savings account is an essential one. By opening a savings account with Union Bank, individuals can deposit funds they wish and can earn attractive rates of interest.

The high rate of liquidity, easy access and no withdrawal and deposit limit make the savings account one of the most preferred options to investors. Union Bank is recognised as one of the leading nationalised banks in the financial market. It offers competitive rates of interest in comparison to other banks, with tenure starting from 7 days to 10 years.

Read along to learn more about Union Bank savings account interest rate, fees, features, benefits and more.

Union Bank Savings Account

A savings account is a deposit account Union Bank of India provides to its customers, allowing them to save money while earning interest. Customers can safely deposit and store their money with a Union Bank savings account and can earn attractive rates of interest on the amount deposited. This is one of the most secure and convenient ways of allowing customers to accumulate their funds and make savings grow over time.

With a Union Bank of India savings account, you can expect competitive rates of interest, net banking features and benefits, easy accessibility to funds and convenient banking experiences. Students can also open this type of account with zero balance. Not only students, but all Indian residents, organisations, societies, and clubs can opt for opening a savings account with Union Bank of India.

Types of Savings Accounts in Union Bank

Mentioned below are some popular savings accounts that all investors opening their accounts at Union Bank of India can opt for:

Savings Bank Account (SBGEN)

• With this savings bank account, you can opt for banking services in whichever manner whether it is visiting branches, internet banking, ATMs and phone banking.
• You can start this account with a zero-balance facility. This is suitable for students as well.
• ATM/Debit cards are provided free of charge and you can earn reward points with every purchase.
• A savings bank account offers the U-Mobile feature. This enables you to check your balance, make NEFT transactions and pay all your bills on time.
• Along with a free debit card, banks provide 20 free check leaves to account holders every year along with free Accidental Insurance Coverage on the use of debit cards.

Flexi Savings Account

• Flexi savings account holders are provided debit cards free of cost.
• Reaching the maturity period, customers can extend their savings deposits for another period.
• Account holders are automatically provided with a Passbook, providing information about the savings bank flexi account, any kind of TDS adjustments and more.
• The most distinguishing feature of a Flexi savings account is you can make nominations.

Savings Account for Pensioners

• People who avail regular pensions can open this type of savings account.
• No minimum balance amount of maintenance is needed here.
• Account holders are provided Personal Accident Insurance (Death) coverage of Rs.2 lakh for free.
• Pensioners can avail five monthly transactions for free.
• You can withdraw cash amount of Rs.25,000 daily from ATMs using the debit card provided.

Basic Saving Bank Deposits Account (BSBDA)

• Basic savings accounts enable withdrawal of cash, credit/receipt of payments via electronic payment methods, cash deposits and more.
• This savings account is similar to other savings accounts with no requirement for minimum balance maintenance.
• Account holders are provided ATM/ATM cum Debit/RuPay Debit Card for free.
• Account holders opting for basic savings accounts get four withdrawals each month, including ATMs located in branches.
• No limit on the maximum deposit amount in a month.
• No fee is charged for any other kind of services through this account. Moreover, there is no penalty fee charged for long discontinuation of the account.

Savings Account for Students (SBZER)

• Students aged between 10 and 25 years are eligible to open this account.
• Minors aged below 10 years can opt to open this account, taking permission from a parent or guardian.
• Opting for this account provides students with a debit card for free. The ATM cash withdrawal limit remains Rs.25,000 daily and Rs.50,000 remains the ATM POS daily limit.
• Ten withdrawals are provided free per half-year period. After this, account holders are charged Rs.25 per transaction
• You will be provided Personal Accident Insurance (Death) coverage for free. It is worth Rs.2 lakh

Union Super Salary Account (USSA)

• No minimum balance maintenance requirement is needed to opt for this account.
• Several advantages are made available to account holders including Air Accident Insurance, a customised cheque book and Personal Accident Insurance (Death) coverage.
• A daily cash withdrawal limit of up to Rs.1 lakh is provided. On the other hand, the ATM POS limit is Rs.3 lakh.
• The different debit cards that remain available to USSA-I, USSA-II and USSA-III are Classic card, Platinum card and Signature Card/RuPay Select Debit Card.

Union Digital Savings Account (UDSA)

• All Indian residents are eligible to open this savings account.
• Once you open this account, you will be issued a classic card.
• There is no requirement for maintenance of the minimum balance once you open the account.
• You can enjoy an ATM cash withdrawal limit of Rs.25,000 and an ATM POS limit of Rs.50,000 daily.

Apart from all these, there are other savings accounts that Union Bank provides its customers. The accounts include a savings account for women, SBCHS: SB Account for Co-operative housing society, UNION MUSKAAN-Saving bank account for minors, Basic Saving Bank Deposits Account-Small Accounts(BSBDS), MACT CLAIMS SB ACCOUNT (MACT), SPECIAL SB SCHEMES VARIANT - I (SB Premium) SBPRE, SPECIAL SB SCHEMES VARIANT - II (SB High Networth Customers) SBHNI and more.

Union Bank Savings Account Interest Rates

Below is thetable of interest rates corresponding to the balance thatUnion Bank savings account customers receive:

Union Bank Savings Account Interest Rate for Senior Citizens

For senior citizens, the Union Bank of India provides an additional rate on deposit of up to Rs.5 crores. This additional benefit is however applicable in all domestic term deposit schemes. The interest rate offered to resident senior citizens is 0.50% more than the normal rate of interest. However, this rate is different for super senior citizens. Resident super senior citizens enjoy 0.75% more than the standard rate of interest.

Union Bank Savings Account Minimum Balance

While opening a savings account with Union Bank, there is no requirement for maintenance of minimum balance in the account. However, theminimum average balance that you must maintainquarterly with the bank is mentioned below:

Union Bank Savings Account Maximum Balance

There isno maximum balance limit that you need to maintain in aUnion Bank savings account. However, investors must remain aware of the deposit limits and ensure all the account activities are aligned with Income Tax regulations.

Penalty for Not Maintaining Minimum Balance in Union Bank Savings Account

There is no requirement to maintain any minimum balance while opting for a savings account with Union Bank. However, as mentioned above, you need to maintain a quarterly average balance. If you fail to do so, banks charge a penalty.

Thepenalty charged for not maintaining a quarterly average balance is as follows:

Union Bank Savings Account Charges

The importantfees for regular savings bank accounts that Union Bank imposes on its customers are listed below:

Union Bank Savings Account Transaction Limit

By opening a basic savings bank account with Union Bank of India, you will get an ATM cash withdrawal limit of Rs.25,000 per day. On the other hand, the POS limit remains Rs.50,000 per day.

How to Open a Savings Account in Union Bank?

Opening a savings account in Union Bank is easy and hassle-free. You need to follow the steps below to open a savings account with Union Bank of India:

Step 1: Visit the official website of the Union Bank of India.

Step 2: Go to Digital Banking, and then click on ‘Online Account Opening’. Once you reach there, select ‘savings account’ and an application form will open.

Step 3: Fill out the online application form with all the necessary details and upload the documents.

Step 4: Once you save the application, a reference number gets generated and an SMS is sent to the registered mobile number. Entering the number, you need to submit the application form online.

Step 5: After submission of the application form, submit your two-passport size recent photographs for verification. Once this process is completed, you will become a savings account holder.

Documents Required for Opening Savings Account in Union Bank

Following are the documents needed to open a savings account in Union Bank through online mode:

• Aadhaar Card
• PAN Card
• Scanned image for Proof or Identity – Size up to 1 MB
• Scanned image for Proof of Address (POA) – Size up to 1 MB
• Scanned signature with size up to 1 MB
• Mobile to be carried to branch for OTP and verification at the time of opening account

How to Close Union Bank Savings Account?

To close the Union Bank savings account, you need to fill up the account closure form. The account closure form is available online or you can also collect it from the nearest branch. To close the Union Bank Savings Account online, you need to follow the below steps:

Step 1: Go to the official website of Union Bank of India and download the Account closure form.

Step 2: Fill in the details of the Account Closure Form with the account holder's name, mobile number, account number, and the option of receiving the account balance through cash, cheque or balance transfer to some other account.

Step 3: Make sure to provide the signature of the authorised person.

Step 4: Submit the form along with your chequebook, debit card and passbook.

Step 5: Fill in with your current address and documents for proof of identity.

After the successful submission of all the required documents, Union Bank of India will process your request for the closing of your account. Once the verification is completed, the bank closes the account and the entire balance in the account gets deposited to you through the mode of payment as you have specified in the form.

Union Bank Savings Account Features

Some of the important features of Union Bank Savings Account are the following:

• The savings account application process is smooth, easy and hassle-free.
• The bank provides the option of opening a joint savings account.
• You can earn attractive reward points on debit cards provided.
• Phone banking, Tabulous banking, ATM banking and mobile banking is available upon opening of savings account.
• You will get remittance options that include mutual funds, NEFT, IMPS and Union e-cash.
• Accidental insurance is also made available.
• Nomination facility is available.
• There is no requirement for minimum balance maintenance in a student's account.
• Issuance of two free chequebooks and 20 free chequebooks leaves per year.
• You will earn interest twice a year, in June and December
• Blind people can also access savings accounts with the Union Bank of India.
• You can get e-statements and passbooks at no additional cost.
• There is no cash withdrawal limit via debit cards as well as internet banking.

Union Bank Savings Account Benefits

Every individual should hold a savings account for several reasons. Let us now explore why it is beneficial to have a savings account with the Union Bank of India:

• Safety and Security

Customers opt for savings accounts here as they find this a secure place for storing their money. Union Bank of India implements certain security measures to make sure your funds remain safe and protected.

• Interest Earnings

Once you deposit your money in a savings account, interest is earned on your balance. Moreover, Union Bank of India offers competitive rates of interest on savings amounts. This thereby makes savings grow over time steadily.

• Financial Goal Planning

Opening a savings account is an ideal way of achieving your financial goals. If you maintain a savings account with Union Bank of India be it for your dream vacation or emergency fund, it helps you to stay organised and focused.

• Liquidity and Access to Funds

WithUnion Bank Savings Account, you can access your savings funds whenever you need. Union Bank of India provides its customers with online banking services. Apart from that customers can access their funds hassle-free with a variety of debit cards.

• Additional Banking Benefits

Customers opening savings accounts with Union Bank of India can avail several additional banking benefits. This includes preferred rates of loan, special discounts along with some exclusive offers. You can have a comprehensive banking experience maintaining a savings account with Union Bank of India.

To conclude, a savings account is an important instrument for individuals aiming to achieve stability and growth in managing their money. Union Bank of India holds a reputation for providing reliable service to its customers. Thus, it is considered an ideal platform for customers willing to open and maintain their savings accounts. By opening a savings account with Union Bank of India, you will gain access to personalised banking services and enjoy competitive rates of interest.

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