Union Monthly Plus
A Novel User-friendly Recurring Deposit Scheme, with flexibility of Step Up and Step Down options, with monthly instalment.
Features of Union Monthly Plus Scheme
Eligibility | By an individual in his/her own name. By more than one individual in their joint names with suitable repayment instructions. On behalf of a minor by his/her natural guardian or by a guardian appointed by court. In the name of institutions/Corporate/proprietorship/partnership/Trust/HUF etc |
Scheme Code | RDFLX |
Scheme Details | Recurring Deposit scheme with step-up and step-down option in monthly instalments. Customer have to declare the monthly instalment i.e "Core amount" at the time of opening of the account and deposit the same as initial instalment. Customer can deposit multiple times in a month in the account. The maximum permissible amount per month is 10 times the core amount or Rs 100000/- whichever is lower. |
Step Up Option | Depositor can increase (Step Up) the monthly instalment amount up to 10 times the Core Amount during any month. The instalment can also be deposited one or more times during a month, subject to maximum Ceiling of 10 times Core Amount. Example:CoreAmount-Rs.1,000/- Customer can deposit maximum up to Rs.10,000/- per month. The maximum permissible amount per month is 10 times the core amount or Rs 100000/- whichever is lower. |
Step Down Option | After stepping up the instalment amount, a customer can also reduce the same (Step Down), in any subsequent month/s, but the same should not be less than the Core amount |
Minimum Period | 6 Months |
Maximum Period | 60 months (In multiple of 1 month) |
Minimum Core Amount | Rs.100/- and in multiples of Rs.100/- |
Maximum Core Amount | Rs.100000/- |
Maximum Deposit amount in a month | 10 times the Core amount or Rs.1,00,000/- whichever is lower |
Rate of Interest | Rate of interest on this scheme will be as per the Term Deposit rate applicable for the period. |
Interest payment Frequency | Interest will be calculated on daily product basis and credited to the account on quarterly intervals. |
Penalty for delayed instalment | NIL |
TDS | TDS will be deducted as per guidelines |
Loan Facility | Available |
Nomination Facility | Available as per guidelines |
Automatic Renewal | Not allowed |
Premature Closure | Allowed. Interest will be paid for the run period at applicable rate and penalty if any. |
Penalty on Premature Closure | No penalty will be charged in case of premature closure. |
FAQs on Union Monthly Plus
- What is the Union Monthly Plus Deposit scheme?
The Union Monthly Plus is a user-friendly Deposit scheme offered by the bank, providing flexibility with both step-up and step-down options for monthly instalment payments. It allows individuals, joint account holders, minors under the guardianship of natural guardians or court-appointed guardians, as well as institutions and entities like corporations, proprietorships, trusts, and HUFs to open accounts.
- What is the minimum and maximum tenure for the Union Monthly Plus scheme?
The minimum tenure for this scheme is six months, while the maximum tenure can go up to 60 months in multiples of 1 month.
- Can I change the monthly instalment amount during the tenure of the account?
Yes, you have the flexibility to increase (step up) or decrease (step down) the monthly instalment amount during the tenure of the account, with certain limits. The maximum permissible monthly deposit is ten times the 'Core Amount' or Rs. 1,00,000, whichever is lower.
- Is there a penalty for delayed monthly instalments?
No, there is no penalty for delayed monthly instalments in the Union Monthly Plus scheme.
- What is the rate of interest offered in this scheme?
The rate of interest for the Union Monthly Plus scheme will be as per the Term Deposit rate applicable for the chosen tenure.
- Can I avail of a loan facility against my Union Monthly Plus Recurring Deposit account?
Yes, a loan facility is available for Union Monthly Plus Recurring Deposit accounts. You can inquire with the bank for specific details on loan facilities and terms.
- What is the process for the premature closure of a Union Monthly Plus Recurring Deposit account, and is there a penalty for it?
Premature closure of a Union Monthly Plus Recurring Deposit account is allowed. In the event of premature closure, interest will be paid for the run period at the applicable rate, and there will be no penalty charged for prematurely closing the account. You can contact the bank for further details and procedures regarding premature closure.
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