Union Bank Saving Account – Know Minimum Balance, Saving Account Interest Rate

Opening a Union Bank of India savings account is one of the most practical ways to manage your money securely while earning interest on your deposits. Known for its nationwide presence and reliable digital banking, Union Bank of India offers several types of savings accounts tailored for individuals, salaried professionals, senior citizens and students.

Whether you want to know about the Union Bank minimum balance, the UBI savings account opening process or the Union Bank savings account interest rate, this guide covers everything you need before choosing the right account for your needs.

What Makes a Union Bank Saving Account Stand Out?

A Union Bank Saving Account is more than just a place to park your money; it offers convenient access to multiple banking services, including debit cards, internet banking, mobile banking and automatic fund transfers.

Some of the key benefits include:

• Easy accessibility through 9500+ branches and 13,000+ ATMs across India
• Internet and mobile banking via the Union Bank App
• Complimentary RuPay debit card for cashless transactions
• Attractive Union Bank savings account interest rate compared to peers
• Free passbook and quarterly account statements
• Hassle-free utility bill payments and fund transfers

Union Bank Saving Account Opening: Step-by-Step Process

The Union Bank saving account opening process can be completed online or at your nearest branch. Follow these simple steps:

1. Visit the official Union Bank website

Go to the Union Bank of India website and click on the “Open Savings Account” option

2. Choose your account type

Select the type of UBI savings account: regular, salary or premium. Each has different features based on eligibility and usage

3. Fill in your details

Enter your full name, address, PAN, Aadhaar and other KYC details

4. Upload documents

Upload your scanned KYC documents (Aadhaar, PAN and photo)

5. Complete video KYC (for online opening)

If you choose to open the account online, a video KYC verification will be conducted by a bank representative

6. Fund your account

Make an initial deposit based on your branch category to activate the account.

Your Union Bank Saving Account will be operational once verified and you can start using mobile and internet banking services immediately.

Union Bank Minimum Balance: How Much You Need to Maintain?

Maintaining the Union Bank minimum balance is important to keep your account active and avoid penalties. The Quarterly Average Balance (QAB) depends on whether your branch is located in a metro, urban, semi-urban or rural area.

Here’s the breakdown:

Branch Category	Minimum balance you must maintain	Penalty for Non-Maintenance (per quarter)
Metro Branches	₹5,000	₹200 + GST
Urban Branches	₹3,000	₹150 + GST
Semi-Urban Branches	₹1,000	₹100 + GST
Rural Branches	₹500	₹75 + GST

What happens if you don’t maintain the QAB?

The bank may restrict certain facilities, such as cheque book issuance or fund transfers, until the minimum balance requirement is restored.

By maintaining the required quarterly average balance, you can avoid penalties and enjoy all the account benefits seamlessly.

Union Bank Savings Account Interest Rate

The union bank savings account interest rate determines how much you earn on your deposited funds. The rate varies depending on your account balance and is subject to periodic changes as per RBI guidelines.

Here’s the current rate structure:

Account Balance	Interest Rate (per annum)
Up to ₹50 lakh	3.00%
Above ₹50 lakh	3.50%

Union Bank Charges List

Every savings account comes with some service-related charges. The union bank charges list helps customers understand applicable fees for transactions and account services. Below is an overview:

Service	Charges
Cheque Book (20 leaves)	₹75 + GST
SMS Alerts	₹15 per quarter
Duplicate Passbook	₹100 + GST
ATM Withdrawal (beyond free limit)	₹20 per transaction
Demand Draft	₹2.50 per ₹1,000 (minimum ₹50)
NEFT/RTGS via Branch	₹2.50–₹50 depending on the amount
Account Closure (within 14 days)	Nil
Account Closure (after 14 days)	₹500

Comparison: Union Bank Minimum Balance in Metro vs Rural Branches

When comparing the UBI savings account categories, it’s essential to understand that the minimum balance for metro vs rural branches differs significantly:

• Metro and urban branches have higher balance requirements due to higher transaction volumes and service costs
• Rural branches maintain affordability for financial inclusion.
• Semi-urban or rural branches offer a convenient, low-maintenance option without compromising on banking features.

Why Choose Union Bank of India Saving Account?

A Union Bank of India Savings Account is ideal for anyone seeking reliable and nationwide banking services. Here’s why it stands out:

• Wide branch and ATM network across India
• Quick and paperless account opening
• Competitive union bank savings account interest rate
• Safe digital banking experience with RBI-compliant security features
• Access to value-added services like fixed deposits, credit cards and loans

Conclusion

If you ever find yourself short on funds or want to maintain your savings without dipping into them, Fibe can help. With Fibe, you can get an Instant Personal Loan of up to ₹5 lakhs at attractive interest rates to meet your short-term or emergency needs. The process is completely digital, quick and paperless, whether you’re managing your monthly expenses, paying bills or planning a major purchase.

Simply download the Fibe Instant Loan App or visit fibe.in to apply online and get money credited to your account within minutes. It’s the smarter, faster way to bridge financial gaps while keeping your savings intact.

FAQs on Union Bank Savings Account

1. What is the minimum balance in a Union Bank Savings Account?

The Union Bank minimum balance ranges from ₹500 for rural branches to ₹5,000 for metro branches, depending on your account location. Non-maintenance can attract quarterly penalties.

2. How to open a savings account in Union Bank?

You can complete the Union Bank saving account opening online through the Union Bank of India website or by visiting your nearest branch. Provide KYC documents, complete verification and deposit the initial balance to activate your account.

3. What is the Union Bank savings account interest rate?

The Union Bank savings account interest rate currently stands at 3.00% for deposits up to ₹50 lakh and 3.50% for amounts above ₹50 lakh.

4. Where can I check the Union Bank charges list?

You can view the updated Union Bank charges list on the bank’s official website under the “Service Charges” section.