Union Bank offers home loans at competitive rates starting from 7.30% p.a. With flexible tenures of up to 30 years, you can get a financing of up to Rs.25 lakh, you can get a financing of up to 80% of the total property cost with this facility. The good part is you don’t have to pay any prepayment penalty fee if you decide to foreclosure the loan (only for floating rate loans). The applicable processing fee is 0.5% of the sanctioned amount plus GST.
Union Bank of India offers prospective homebuyers loans at competitive interest rates starting from 7.30% p.a. Longer tenures of up to 30 years coupled with EMIs as low as Rs.783 per lakh ensures a flexible repayment period. You can also get up to Rs.30 lakh as loan for home repairs.
The loans attract a processing fee of 0.50% of the loan amount plus GST, subject to a minimum of Rs.5,000 and a maximum of Rs.15,000 plus GST. The bank also offers a full waiver of prepayment penalty on floating rate loans. You also get a repayment holiday of up to 3 years.
Union Bank of India Home Loan Interest Rate
UBI Home Loan Schemes
Interest Rates
Union Home
7.30% to 7.55% p.a.
Union Awas
7.30% to 7.55% p.a.
Union Smart Save
7.45% to 8.05% p.a.
Union Bank of India Home Loan Schemes
Union Home
Available for single and joint application, even with siblings
Several convenient ways to make repayments
Also available for NRIs to purchase property in India
Interest rate for floating rate home loan
7.30% to 7.55% p.a.
Interest rate for fixed rate home loan (up to 5 years)
11.40% to 12.65% p.a.
Processing fee
0.50% of the loan amount (Min. Rs.5,000; Max. Rs.15,000) plus GST
Customised for individuals with a minimum income of Rs.48,000 per year
Specially for purchase of houses with a maximum cost of Rs.7 lakh
Can be availed for purchase/construction of a house, repairs/improvements/extension of an existing property or purchase of plot from government agencies.
Interest rate for floating rate home loan
7.30% to 7.55% p.a.
Interest rate for fixed rate home loan (up to 5 years)
11.40% to 12.65% p.a.
Processing fee
0.50% of the loan amount (Min. Rs.5,000; Max. Rs.15,000) plus GST
Allows borrowers to deposit additional funds with the regular EMIs
Savings on interest payments in case of additional deposits
Opportunity to withdraw the excess funds later for personal requirements
Loan amount
Effective Rate of Interest (Salaried)
Effective Rate of Interest (Non-Salaried)
Up to Rs.30 lakh
7.45% to 7.55% p.a.
7.55% to 7.65% p.a.
Between Rs.30 to Rs.75 lakh
7.65% to 7.75% p.a.
7.65% to 7.75% p.a.
Above Rs.75 lakh
7.95% to 8.05% p.a.
7.95% to 8.05% p.a.
Processing Fee
0.50% (Min. Rs.5,000; Max. Rs.15,000) plus GST
0.50% (Min. Rs.5,000; Max. Rs.15,000) plus GST
Use BankBazaar Union Bank of India Home Loan EMI Calculator to Know Your EMI
Knowing the Equated Monthly Instalments (EMIs) payable on your loan is of utmost importance when it comes to getting a housing loan. BankBazaar Union Bank of India Home Loan EMI Calculator is one such online tool that will help you get an idea of the EMIs you need to pay to the bank during the tenure.
This automated tool takes into account basic parameters such as the principal, rate of interest, loan tenure and the processing fee to calculate the EMI you will have to make against a loan.
The EMI calculator also provides a break-up of the total amount payable during the entire tenure and an amortisation schedule illustrating your repayments on a monthly and an annual basis.
Union Bank of India Home Loan Eligibility Criteria
Eligibility Criteria
Requirement
Age
Minimum Age: 21 years
Maximum Age: 70 years
Residency Status
Resident Indian
Non-Resident Indian (NRI)
Type of Employment
Salaried
Self-employed
Agriculturist
Document Required for All Home Loan Applicants Under UNION Bank
Identity Proof (any one)
Voter ID
Aadhaar Card
Valid Passport
Driving Licence
PAN Card
Proof of Residence (any one)
Driving Licence
Passport
Copy of Utility Bills (electricity bill, telephone bill)
Aadhaar Card
Voter ID
Proof of Income
Bank account statements for the last 12 months
Income Tax Return for the last one year
Property Documents
Title Deed
Allotment letter
Advance money receipt
Other Documents
Proof of outgoing loans, if any
Processing fee cheque in favour of the bank
Duly filled loan application form with 3 passport-sized photographs
Union Bank of India Pradhan Mantri Awas Yojana
Union Bank of India provides central assistance to the urban poor including slum dwellers to buy a house under the Pradhan Mantri Awas Yojana. The scheme can be availed by eligible beneficiaries looking to:
Purchase/construct a new house
Purchase a residential plot for construction
Extend/renovated an existing property
In order to be eligible for benefits under PMAY, the applicant must be a resident Indian citizen of at least 21 years of age and belong to one of the following categories:
Economically Weaker Section (EWS)
Low-Income Group (LIG)
Middle Income Group – I (MIG – I)
Middle Income Group – II (MIG – II)
Furthermore, the beneficiary or any of the beneficiary’s family should not own a pucca house under their name in any part of the country.
Housing loans availed under the PMAY scheme are eligible for an interest subsidy up to 6.50% depending on the category the beneficiary belongs to.
Union Bank of India also offers a moratorium period of up to 36 months for MIG - I/MIG - II categories and up to 18 months for beneficiaries in the EWS/LIG category. However, the moratorium period is not applicable to loans availed for the purchase of a completed house/flat.
Union Bank of India Home Loan FAQs
Who can be a co-applicant for my housing loan?
Any immediate family member – your parents, spouse, earning children, or siblings – is permitted to be a co-applicant for a loan. Adding a co-applicant will increase your loan eligibility as the income of the co-applicants will also be considered while determining the eligible loan amount.
Can I apply for Union Bank of India Home Loan online?
Yes, you can apply online through the Union Bank of India website.
an I make prepayments towards my loan? What are the charges?
Yes, you can choose to prepay your loan. The bank offers a full waiver of prepayment charges if the loan is being prepaid through personal sources or through balance transfer to another bank.
What is the moratorium period?
Moratorium period is defined as the period during the tenure when you will not be required to make kind of repayment towards your loan. You will have to make repayments in the form of EMIs only after the completion of the moratorium period. It is also known as repayment holiday.
What is an amortisation schedule?
An amortisation schedule is a table that depicts the repayments to be made during the loan tenure. The table also illustrates the contribution of your EMI towards the interest and principal components of the loan.
News about Union Bank Home Loan
Union Bank reduces MCLR by 10 basis points
Union Bank of India has reduced its marginal cost of funds-based lending rate (MCLR) by 10 basis points across all tenors with effect from March 11. The latest reduction was the ninth consecutive one by the lender since July 2019.
The new MCLR for the overnight tenure was 7.55% while for the one-month, three-month, and six-month tenures the MCLR stood at 7.60%, 7.70%, and 7.85% respectively. The bank reduced the one-year MCLR to 8% from the existing 8.10%. For the two-year and three-year tenure, the MCLR slipped to 8.15% and 8.20% respectively following the revision.
19 March 2020
Union Bank cuts MCLR-9th consecutive drop
On Monday, the Union Bank of India had announced the cut in its marginal cost of funds-based lending rate (MCLR). This has been reduced by 10 basis points with effect from 11 March 2020. This is now the 9th consecutive cut in rates that has been announced by the bank since July 2019.
The bank had reduced one-year MCLR to 8% from 8.10%. The overnight MCLR has been now been revised to 7.55%. The one-month MCLR is 7.60%.
11 March 2020
Union Bank of India slashes MCLR by 10 basis points
Government-run Union Bank of India has reduced its Marginal Cost of Funds based Lending Rate (MCLR) by 10 basis points across tenors effective from 11 January 2020. This was revealed in a recent release by the bank. After the revision, the one-year MCLR currently stands at 8.10%. MCLR is used to gauge the price of personal, home, and car loans. This is the seventh consecutive time that the public sector bank has announced a rate cut since July 2019, taking the cumulative rate cut in the range between 60 bps and 75 bps across different tenors. In the meantime, another public sector lender Bank of Baroda has revealed that there will be a revision in the one-month MCLR of the bank from the current 7.65% to 7.60%. There will be no change in the MCLR for other tenors.
13 January 2020
Union Bank of India slashes MCLR across all tenors by up to 10 bps
Union Bank of India has slashed its Marginal Cost of Funds Based Lending Rate (MCLR) by 5 to 10 basis points (bps) across all its tenors. The new MCLR for all the tenors are as follows: For the 1-year tenor it is 8.20%, for the 6-month tenor it is 8.05%, for the 3-month MCLR it is 7.95%, for the one-month MCLR it is 7.80%, and for the overnight MCLR it is now 7.75%.
11 December 2019
Union Bank slashes MCLR across various tenures
With effect from August 1, Union Bank of India has cut the marginal cost of funds-based lending rate (MCLR) across all tenures. The rates have been cut up to 20 basis points. The rates for the overnight and the one-month tenure have been reduced by 15 and 20 basis points while the rates for the three-month and six-month tenures have been cut by 10 basis points. The rates for the one-year tenure have been cut by 5 basis points. The new rates for the overnight and the three-month tenures will be 8.10%. The rates of the three-month, six-month, and the one-year tenure will be 8.25%, 8.35%, and 8.50% respectively. It needs to be mentioned here that this is the second rate cut by the bank since the month of June.
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I have taken home loan directly through Union Bank Of India .The rate of interest and the processing fee was nominal and submitted documents through the agent ,This loan is still active and i have taken this loan for home construction. There are more hidden charges which was informed later this was the only issue. I have been informed that will receive Rs.7000 to 8000 due to good credit score but it was not happened.
I have taken home loan which was taken directly through Union Bank of India .The rate of interest was less it was 8.5% and still this loan is active .I have got the loan amount without any delay .All the required details about this loan was shared by the agent. According to me the service is not satisfied .
I have taken my home loan with United Bank of India. The customer services are good. I got a good response as well. The rate of interest and processing charges are normal. In all it has been a good experience and the after loan services are also hassle free.
I had applied for a home loan and It was with UNION BANK .I was highly impressed. My home loan was approved in few days.Loan amount is satisfactory . They are awesome and they take care of you need very well.The good thing about UNION BANK is their customer service.
The reason for getting the loan is because it is govt bank also the rate of interest was lesser when compared to the others. They have given with the 8.6% which was satisfactory. The documentation process was simple and quick to get the loan. The loan amount was good. The customer support and responsiveness is good, there is no option of getting the service through the online.
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4
LOGANATHAN C CHANDRAN
, chennai
Reviewed on Jun 08, 2019
I have taken Home loan directly through Bank itself.The loan amount was 45 lakhs for the tenure of 15 years and so far completed paying the premium for 2 years.The rate of interest and the processing fee was nominal.The loan got sanctioned on time .The process was very smooth and satisfied with the service .
I had taken a Home Loan from UNION BANK OF INDIA almost three years back and the experience i had has been good so far. The interest rate with them has been nominal when compared with the other banks. Their customer support team has also been helpful at times.
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1
VENKATA SAI NAGESWARA KAMCHARLA
, hyderabad
Reviewed on Apr 29, 2019
This union Bank has given good service to me when applied for Home loan .This bank is providing good service and the rate of interest and the processing fee was nominal .The loan got on time and the loan amt was sufficient as well.The documents was less as well .The Overall service is Good .
I have taken my home loan with UNION BANK OF INDIA . The documentation was also very fast. I am happy with their services considering the loan experience. The tenure period is 15 year. I am happy with the services and the loan amount is 200000 which was very satisfactory .
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2
BIJUBHAI ABRAHAM THOMAS
, surat
Reviewed on Mar 26, 2019
I have taken home loan through UNION BANK OF INDIA , the Application process was smooth and the loan amount was credited to my account with in few days.I am very old customer of this bank i got 850000 as my loan amount . The tenure period is 15 year .
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2
BIJUBHAI ABRAHAM THOMAS
, surat
Reviewed on Mar 26, 2019
I have been holding my home loan with Union bank, they have given me sufficient loan amount and the rate of interest they have charging me was nominal for me and they have charged me processing fee it was nominal ,and still this loan is running.Their service is good.
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6
ANAND BHUSHAN PARSAD
, thane
Reviewed on Mar 03, 2019
I have taken a home loan from Union bank. Since my builder had a tie up with union bank, they have not asked the much documentation and they have sanctioned the loan on time. They have offered me a interest rate of 8.75% and the processing fee was around Rs. 9000.
I have taken a home loan from Union bank. Since my builder had a tie up with union bank, they have not asked the much documentation and they have sanctioned the loan on time. They have offered me a interest rate of 8.75% and the processing fee was around Rs. 9000.
In 2008, I took the housing loan from Union bank of india, they gave me the set of documentation list, I have submitted it got approved on time. The interest rate is good around 8.2% it was the floating one it was fine for me. The response is good, I directly deal with the bank manager.
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4
SHANMUGAVELU M MOHANRAJ
, bangalore
Reviewed on Jan 09, 2019
I had taken a home loan from Union Bank of India. Well at the time of applying, there was not much delay and it was processed on time. I have compared the rate of interest with other banks as well and i found union bank given that same market value . Well the loan tenure period is 30 years.
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2
BHAVIN KANSARA
, ahmedabad
Reviewed on Nov 24, 2018
It has been a good experience i had with this loan where the loan amount has been satisfactory and the interest rate has been nominal when compared with the market rate. There is almost 9 months left to close this loan and there has not been any hassle faced with their banking services so far.
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6
MUKESH HARSORA
, ahmedabad
Reviewed on Oct 23, 2018
The experience i had with this Home Loan has been easy, the loan amount which they had provided me has been satisfactory as well. The interest rate with them has been around 8.4% which has been nominal when compared with the market rate. Their customer support team also had been helpful and had been good as well.
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5
RAVNEET SINGH
, chandigarh
Reviewed on Oct 06, 2018
I have taken a home loan with Union Bank of India and my loan experience was good, the loan amount was for Rs 12-13 lacs with little high interest when compared to others. Customer service was good and the tenure period was 15 years but i preclosed in 8 years, there was no penalty charged for preclosure.
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9
SUBRATA MAJUMDER
, kolkata
Reviewed on Sep 06, 2018
I have taken a home loan with Uniion Bank of India and my experience was average. The loan amount was for Rs 17 lacs with nominal interest rate when compared to others. Customer service was good and they responded on time. The tenure period for this loan is 20 years.
I took a home loan from the Union Bank of India. The whole loan process took considerable time. The loan amount was 10 lacs, the interest rate is nominal and they offered a floating rate of interest. Overall it has been a very good experience with the home loan with the Union Bank of India.
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2
NILADRI DEBDAS
, hyderabad
Reviewed on Jun 23, 2018
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