Union Bank Of India

Products
Union Home
 Union Home
• PURPOSE
• Purchase of new/old residential unit (house/ flat/villa/apartment
etc.)
• Construction of residential unit on exiting non agriculture plot.
• Purchase of non-agricultural plot and construction of residential
unit (composite project) thereon**
• Repairs/ improvements/ extension of the existing residential
property.
• Take-over of housing loan availed from another bank / FI
• Completion of under construction residential unit.
• Purchase of solar power panel along with purchase / construction
of house.
• ELIGIBILITY=>
• Indian citizens and NRIs
• Minimum entry age is 18 years and maximum exit age up to 75
years.
• Individuals may apply singly or jointly with other eligible individuals.
• QUANTUM OF LOAN =>
• No limit on the quantum of loan.
• Loan eligibility depending on repayment capacity of the borrower
and value of property
• Maximum loan amount for repairs/renovation is Rs.30 lakh.
• MARGIN, I.E. YOUR SHARE =>
• 10% of the total cost of the purchase/ construction for loans up to
Rs.30 Lakhs
• 20% of the total cost of the purchase/ construction for loans above
Rs.30 lakhs and up to Rs.75 Lakhs.
• 25% of the total cost of the purchase/ construction for loans Above
Rs.75 Lakhs
• 20% of total cost of the repairs/renovation.
• MORATORIUM PERIOD =>
• Moratorium period of up to 36 months in case
of purchase/ construction
• Moratorium period of to 12 months in case of
repair & renovation.
• REPAYMENT =>
• Repayment period of up to 30 years in case of
purchase/ construction
• Repayment period of 15 years in case of repair
& renovation
• REPAYMENT METHODS =>
• Equated Monthly Installments (EMI)
• PREPAYMENT PENALTY
Floating rate loans => There is no prepayment
penalty / take-over penalty if loan is taken over
by other banks/FIs.
• Fixed rate loans => There is no prepayment
penalty if loan is prepaid from own verifiable
sources.
• A take-over penalty of 2% is charged on the
average outstanding balance of the preceding 12
months if the loan is taken over by any other
bank / FI or adjusted by the borrower in lump-
sum from any third party/source (except genuine
sale)
• SECURITY => Simple/Equitable mortgage (E.M.)
of the residential property
• GUARANTEE =>
• Third party guarantee is not required for Resident
Indian
• One/two guarantors of Indian Residents, having
means equivalent to that of the loan amount, is
to be provided by the NRI applicant.
• INSURANCE =>
• Property should be comprehensively insured for
an amount not less than the value of the
property (less cost of land), covering all risks with
Bank clause.
Union Awas
 Union Awas
• PURPOSE
Special Home Loan Scheme to purchase/ construct house in Semi
Urban or Rural Area.
• Repairs/ improvements/ extension of the existing residential
property in Semi Urban or Rural Area.
• ELIGIBILITY
Residents of rural and semi urban areas are the target group
• Permanent employees of schools/colleges/other establishments
and also good farmers having regular source of income not less
than Rs.48,000 per annum
• Minimum entry age is 18 years and maximum age up to 75 years.
• Individuals may apply singly or jointly with other eligible individuals.
• Repayment capacity is to be assessed based on the income
certificate issued by Tehsildar/Mandal Revenue Officer
• QUANTUM OF LOAN
• For purchase/construction, maximum loan amount up to
Rs.10 lakhs for semi-urban areas and up to Rs.7 Lakhs for
rural areas
• For repairs/improvement, maximum loan amount up to
Rs.5 lakhs for semi-urban areas and rural areas.
• Loan eligibility depending on repayment capacity of the
borrower and value of property
• MARGIN, I.E. YOUR SHARE
• 10% of the total cost of the purchase/ construction
• 20% of total cost of the repairs/improvement.
• MORATORIUM PERIOD
• Moratorium period of up to 36 months in case of purchase/
construction
• Moratorium period of to 12 months in case of repair &
renovation.
• PREPAYMENT =>
• Repayment period of up to 30 years in case of
purchase/ construction
• Repayment period of 15 years in case of repair
& renovation.
• REPAYMENT METHODS =>
• Equated Monthly Installments (EMI)
• For borrowers engaged in agriculture or allied
activities, Quarterly/Half Yearly/Annual
Installments instead of EMI may be permitted
depending upon the cropping pattern.
• PREPAYMENT PENALTY =>
• There is no prepayment penalty if loan is taken over by
other banks/FIs.
• SECURITY =>
• Simple/Equitable mortgage (E.M.) of the residential
property
• In case the proposed residential unit is under
construction, suitable interim security may be required
(till the period of its completion)
• GUARANTEE =>
• One/two guarantors, having means equivalent to that
of the loan amount, is to be provided
• INSURANCE 
• Property should be comprehensively insured for an
amount not less than the value of the property (less
cost of land), covering all risks with Bank clause.
PMAY - PRADHAN MANTRI
AWAS YOJNA
• PURPOSE =>
• To fulfill the housing requirement of urban poor including slum dwellers by
providing Central assistance from the government. The central assistance
will be provided for:
– Purchase of new/old Residential Unit
– Construction of a Residential Unit.
– Purchase of plot and construction of a Residential Unit thereon.
– Extension of existing Residential Unit i.e. addition of rooms, kitchen, toilet etc.
• ELIGIBILITY =>
• Resident Indian citizen and Non Resident Indian, age group of 21-70 years
belonging to:
– Economically weaker section (EWS - household income less than Rs.3.00 lakh
per annum)
OR
– Low Income Group (LIG - household income more than Rs.3.00 lakh and up to
Rs.6.00 lakh)
OR
– Middle Income Group (MIG-I household income more than 6.00 lakh and up
to Rs.12.00 lakh)
OR
– Middle Income Group (MIG-II-household income more than12.00 lakh and up
to Rs.18.00 lakh)
• MORATORIUM PERIOD
• Maximum moratorium period of up to 36
months.
• In case of purchase of completed residential
unit, no moratorium is permitted.
• REPAYMENT
• Repayment period of up to 30 years
• Repayment to be made as per EMI method
only.
• PREPAYMENT PENALTY
• There is no prepayment penalty.
• SECURITY
• Mortgage of the residential property.
• If the house/ flat proposed to be purchased is yet to be
constructed or is under construction, interim security
may be required (till the period of its completion).
• GUARANTEE
• Third party guarantee is not mandatory for Resident
Indian.
• One/two guarantors of Indian Residents, having means
equivalent to that of the loan amount, is to be
provided by the NRI applicant.
• INSURANCE
• Property should be comprehensively insured for an
amount not less than the value of the property (less
cost of land), covering all risks with Bank clause.
Union Miles – Vehicle Loan
 Union Miles – Vehicle Loan
• PURPOSE
Loan can be availed by individuals for personal use:

– Purchase of New 4-Wheeler

– Purchase of Old 4-Wheeler, not older than 3 years
– Purchase of a New 2-Wheeler
– Loan can also be availed by Companies / Firms for professional use i.e.
purchase of vehicle for usage by their Directors / employees.
• Takeover of four-wheeler loan from other Bank/FI for existing
Corporate / Retail Borrower.**
• ELIGIBILITY
Resident Indian citizen and Non-Resident Indians (NRIs).
• Minimum age - 18 years and maximum age - 75 years.
• Individual, either singly or jointly with family members viz. father,
mother, son, spouse or daughter (unmarried) as co-applicants.
• Companies / Firms for purchase of vehicle for usage by their
Directors/employees**
• QUANTUM OF LOAN
Minimum – No ceiling
• Maximum - as under:
– New 4-wheeler - No ceiling
– Old 4-wheelers (not older than 3 years) - Rs.20 Lakh
– New 2-wheeler - Rs.10 Lakh
• MARGIN, I.E. YOUR SHARE
15% of on-road price of new 4 wheeler
• 25% of on road price of 2 wheeler
• 40% of valuation cost of old 4 wheeler
• Note: 5% concession in margin (for purchase of
new vehicle only) applicable for salaried
individuals having salary account with us.
• REPAYMENT
New 4 Wheeler - 84 months
• New 2 Wheeler - 36 months
• Old 4 Wheeler - 60 months
• MORATORIUM
No moratorium permitted under the scheme.
• PREPAYMENT PENALTY
There is NO prepayment penalty if loan
adjusted from own verifiable source.
• SECURITY
Hypothecation of vehicle purchased out of Bank's
finance
• Bank's lien to be noted with the Road Transport
authorities
• GUARANTEE
No guarantee required for individual borrowers
with CIBIL score of 700 and above.
• Guarantee of a local resident Indian having
means equivalent to loan amount, is to be
provided by the NRI applicant.
• In case of companies guarantee of the
promoter/director is required.
• In case of partnership firm, guarantee of all the
partners is required.
The End