UCO bank was established by Ghanshyam Das Birla in 1943 under the name of United Commercial Bank. The bank was established in Kolkata and started out with just 14 branches and an initial investment of ₹ 2 Cr. UCO Bank was quick to open branches outside India just as World War II came to an end. They started out with branches in Rangoon, London, Malaysia, Singapore and Hong Kong.
Today the bank maintains a strong presence in India with over 2500 branches across the country. Even today the bank has its headquarters in Kolkata, India and 45 zonal offices spread all over the country. They continue to operate with the vision to become India’s most trusted and admired bank.
UCO Bank accepts deposits from a wide variety of customers in fixed term accounts, paying interest on the funds maintained therein. Returns under these FDs are fixed and rates differ according to the holding periods. Deposit periods are also pre-determined. Depositors have the option under different schemes offered by the bank to maintain funds for short, medium or long periods of time. These schemes come with different kinds of value-add benefits such as renewal, nomination and overdraft facilities.
Any individual, company, private ltd, Hindu Unified Family, society, club, public undertaking, NRI, etc. may apply to open a fixed deposit with UCO Bank.
With such a wide base of customers it is but natural that UCO Bank has a multitude of schemes that are put in place to provide its customers with fixed deposit schemes that are best suited to their needs. Some of these schemes are:
This is a special fixed deposit scheme for which any existing customer or even a new customer can apply. This deposit can be opened for 1000 days at a time and the minimum amount that is invested is ₹ 5000. Any future investments are made in multiples of ₹ 1000 and the limit for investment in this scheme is ₹ 5 Cr. The interest earned is paid only at the time of maturity and investors can take loans against this FD.
This is a long term investment fixed deposit where the interest is compounded every quarter. The minimum investment in this scheme has to of ₹ 1000 and the tenure can be from 6 months to 10 years. The interest earned is only paid at the time of maturity.
This is a fixed deposit scheme that is available for a short time and may end by March 31st 2015. Under this scheme investors can deposit a minimum of ₹ 5000 for a period of 444 days. The maximum amount that can be invested in this scheme is ₹ 1 Cr. The interest earned is compounded for the first four quarters and the payment of the interest can be done every month at discounted rates.
This is again a scheme which will be around only till the 31st of March 2015. Those opting for this scheme will be required to make a minimum deposit of ₹ 50,000 for a period of 5 years. Further investments will need to be made in multiples of ₹ 10,000 and the maximum amount that can be invested is ₹ 1 Cr. The interest earned in this scheme can be paid out on a monthly basis.
This is yet another scheme that will be over by March 31st, 2015. Under this scheme depositors can deposit a minimum of ₹ 5000 and a maximum of ₹ 1 Cr. for a period of 8 years and 4 months. Premature withdrawal of the FD is permitted but the depositor may have to pay a penalty for it.
As the name suggests, this fixed deposit is aimed at people who are looking to save money and get tax benefits at the same time. Under this scheme, investors can invest a minimum of ₹ 100 to a maximum of ₹ 1.5 lakhs in a year. The minimum tenure for this deposit is 5 years. No premature withdrawals are permitted before the 5 year period has run out and investments made under this scheme can be shown under section 80C for tax benefits.
This is a fixed deposit that is similar to a reinvestment plan. Under this scheme a part of the deposit is made available to the depositor for withdrawal in case of emergencies. The money that the depositor withdraws will be in multiples of ₹ 5000 and it will not affect the remaining balance of the FD which continues to earn the same interest.
The minimum amount required to invest in an FD with UCO Bank depends on the scheme you opt for. Form most schemes it is ₹ 1000 but in the case of the tax saver scheme it is ₹ 100. In some cases it is even ₹ 5000 or ₹ 50,000.
The maximum amount that can be deposited in an FD account with UCO Bank depends on the fixed deposit scheme. In most cases the maximum amount for deposit is ₹ 1 Cr but in some cases it is also ₹ 5 Cr and above.
The minimum and maximum tenures for fixed deposits with UCO Bank vary from one scheme to another. The absolute minimum, however, is 15 days and the maximum period is 10 years.
You can use BankBazaar’s website to help you decide on the fixed deposit you want to make with UCO Bank. When on the BankBazaar website, you will be provided with a Fixed Deposit Calculator which will help you decide on the amount you want to invest and the tenure of the FD. It will also tell you what the approximate maturity value of the fixed deposit will be.
To open the fixed deposit account all you have to do is to download the account opening form, fill it up and submit it to the nearest UCO Bank branch with the appropriate supporting documents like ID and address proof.
The interest rates offered by UCO Bank on fixed deposits depends on the scheme you opt for and the tenure of the deposit. It also depends on the deposit amount since they categorise that into 3 categories, deposits up to ₹ 1 Cr, deposits between ₹ 1 Cr and ₹ 5 Cr and deposits of ₹ 5 Cr and above.
The lowest interest rate offered by them is 5% per annum and the highest is 8.75% per annum. Apart from this they even offer special interest rates for senior citizens, employees and ex-employees of UCO Bank.
Yes, UCO Bank does offer tax saver fixed deposits. It is are called the UCO Tax Saver Deposit – 2006 scheme. Under this scheme depositors are eligible to claim tax benefits under section 80C. They can also deposit a minimum of ₹ 100 and a maximum of ₹ 1,50,000 in a year in that account.
Yes. The interest earned on the FD’s held with UCO Bank may be taxed under the applicable laws. The tax may be deducted at source. In case a person does not come in any tax bracket or he or she is not liable to pay taxes, then they can submit the relevant forms and receive the appropriate tax exemption.
The feature of the fixed deposits may change according to the scheme you opt for but in general some of these features are:
Yes. Loans are provided against fixed deposits maintained with UCO Bank but the amount of loan provided may depend on the scheme you have chosen. The loan provided will be a certain percentage of the deposited amount.
Yes. UCO Bank offers an extra 0.5% interest rate for senior citizens. This rate is applicable over and above the prescribed interest rates for the tenure or the scheme.
No. UCO Bank does not offer credit cards against fixed deposits maintained with UCO Bank.
Yes, premature withdrawals of fixed deposits are allowed by the bank but there may be a penalty that you’ll have to pay for them. In the case of tax saver fixed deposits, premature withdrawals will not be possible before the initial 5 years of the deposit.
In case the deposit is an NRE fixed deposit and the amount deposited is in excess of Rs. 5 crores than a premature withdrawal will attract a penalty of reduction of the interest rates by 2%. The interest paid will also be calculated for the time for which the deposit was actually held.
Yes, NRIs can open fixed deposits with UCO bank as NRE or FCNR deposits. NRE deposits can be used to invest in Indian Rupees and the FCNR deposit to invest in foreign currencies.
The minimum duration of an NRE deposit can be 1 year and the maximum 10 years. The interest rates can range from 7.9% per annum to 8.5% per annum depending upon the amount that is deposited.
With FCNR deposits the interest will depend on the currency and the duration of the deposit. These deposits can be opened for 1 year to 5 years and funds can be held in 10 different currencies which are USD, GBP, Euro, JPY, CAD, AUD, CHF, SEK, SGD and HKD.