Ubi Loan Product

7/31/2019 Ubi Loan Product

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Chairman and MD Mavila Vishwanathan Nair Headquarter Mumbai

Union bank is one of India's largest state-owned banks(the government owns 55.43% of its share capital),.

Total revenue of bank is 18491 Rs. crore and all thebank's branches have been networked with

its 3025 ATMs.Its online Telebanking facility are available to all its Core

Banking Customers - individual as well as corporate. It hasrepresentative offices in Abu Dhabi, United Arab Emirates,and Shanghai, P China, and Hong Kong.


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Union Bank of India (UBI) was registeredon 11 November 1919 as a limitedcompany in Mumbai and wasinaugurated by Mahatma Gandhi. At thetime of India's Independence in 1947, UBIstill only had four branches - three in

Mumbai and one in Saurashtra.


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HOME LOAN

VEHICLE LOAN

EDUCATIONLOAN

LOAN AGAINSTPROPERTY

CORPOARTELOAN


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HOME LOANELIGIBILITY

Indian citizen above 21 yearsIndividual, either singly or jointly with other family members


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QUANTUM OF LOAN

Up to Rs. 3 Crores for A -class cities and up to Rs. 1Crore for other cities

Up to Rs. 10 Lakhs for repairs. MARGIN, I.E. YOUR SHARE 20% of the total cost of the purchase/ construction

of house/ flat for loans up to Rs. 2 Crores 35% of the total cost of the purchase/

construction of house/ flat for loans above Rs. 2Crores

20% of the total cost of the plot 20% of the total cost of the repairs


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Moratorium period of up to 18 monthsRepayment period of up to 25 years; 10 years in case ofrepairsFlexible methods of repayment.Interest rate for 0 to 5 year is 12.50-13.75% upto 2croreProcessing charges are 0.50% of the loan amountsubject to maximum of Rs. 15,000.PREPAYMENT PENALTY

Floating rate loans

There is no prepayment penalty if loan is prepaid fromown verifiable sources or taken over by other banks/FIs .


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Cont Fixed rate loans

There is no prepayment penalty if loan isprepaid from own verifiable sources.A take-over penalty of 2% is charged on

the average outstanding balance of thepreceding 12 months if the loan is takenover by any other bank / FI or adjusted bythe borrower in lump sum from any thirdparty/source


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SECURITY

Equitable mortgage (E.M.) of the residential property If the house/ flat proposed to be purchased is yet to be constructed or isunder construction, interim security may be required (till the period of itscompletion)

GUARANTEE Third party guarantee is not mandatory

INSURANCE

Property insurance is compulsory to the tune of the value of the property


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UNION AWASMinimum 21 year and minimum

regular source of income 48000p.a.Individuals, jointly with other family members. Construction: semi urban7lac ;rural area 5lac

Repair: semi urban 3lac ; ruralarea 2lac .A penalty of 2% on the averagebalance of the preceding 12months, if the loan is taken over.Equitable mortgage (E.M.) of

the residential property.

Repayment period of up to25 years (300 EMIs); 10 years(120 EMIs) in case of repairsFlexible methods ofrepayments50% of the processingcharges plus service tax asapplicable at the time ofapplication50% of the processingcharges plus service tax asapplicable on acceptanceof sanction.A guarantee of sufficientmeans is required.Property insurance iscompulsory to the tune ofthe loan amount.


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VEHICLE LOAN UNION MILESNew or old 4 wheeler and new 2 wheeler for 3 year Indian citizen aged 18 years and above holding valid licenseLoan limit 40 lakh for new and 10 lacs for old vehicleBorrower share

15 % of on-road price (Vehicle Cost + Registration Charges +Insurance +Road Tax) & 50 % of old vehicles cost

4 wheeler

loan amount Processing fees

Upto Rs. 2 Lakhs Rs. 500 per vehicle plus service tax

Above Rs. 2 Lakhs Rs. 1000 per vehicle plus service tax


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2-wheelersRs. 250 per vehicle plus service taxA penalty of 2% on the average balance of the preceding 12months, if the loan is taken over by any other Bank /FI or adjusted bythe borrower in lumpsum from any third source/party

Security:Hypothecation of vehicle purchased out of Bank's financeBank's lien to be noted with the Raod Transport authorities.GUARANTEE Guarantee of the spouse is requiredIn case borrower is unmarried, 3rd party guarantee of sufficientmeans


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UNION EDUCATIONELIGIBILITY

Indian citizenSecured admission to the concerned institute in India or abroadthrough appropriate selection process and cleared the qualifyingexamination, if anyCourses covered in India

Graduation / post-graduation / diploma courses from recongnizeduniversitiesTechnical / professional / management courses

Courses covered outside IndiaGraduation / post-graduation degrees offered by recongnized

universitiesCertified degree courses conducted by CIMA, London, CPA, USAand other such institutesDiploma courses are not covered under Union Education


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Limit or quantum of loanFor studies in India - maximum upto Rs. 10 Lakhs.higher can be for specail schemeFor studies outside India- maximum Up to Rs. 20 Lakhs.MARGIN i.e. your shareFor loans upto Rs. 4 Lakhs, the margin is nilFor loans above Rs. 4 Lakhs, margin is 5% for studies in India and 15%for studies outside India.MORATORIUM PERIODCourse period + 1 year Course period + 6 months after commencement of jobRepayment period of up to 7 years after moratorium period.RepaymentRepayment period of up to 7 years after moratorium period.Interest 10.65 base rate


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SECURITY

GUARANTEE

LOAN AMOUNT SECURITY

Upto Rs. 4Lakhs NIL

Rs. 4 - 7.5 Lakhs No collateral securityrequired Third party guarantee

is neededAbove Rs. 7.5 Lakhs Collateral security of suitable

value is required

Parent / guardian of the student who is availing loan have to join in asco-

borrower INSURANCE Life insurance of the borrower is compulsory to the tune of the loanamount OTHER CONDITIONS


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DOCUMENTSProof of identityPassport/PAN Card/Employee identity card/Any other valid proofProof of addressElectricity bill/Telephone bill/Ration card/Any other valid proofLast 12 months bank statementAdmission papers

Admission letter / admit cardSchedule of expenses including fee structure and living expenses

Marksheets - Class X or equivalent onwardsProof of income, if any For salaried class

Last one year ITRForm-16/ letter from Employer Last 6 months salary slip

For business class Last three years ITR

P & L, Balance sheetAgriculturistsIncome certificate from concerned revenue officer (Tahsildar)

Proof of land holding


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3 photographsProof of out-goes Loan repayment statement, if any

LIC Policies, if anyValid proof of any other out-go


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UNION MORTGAGEQUANTUM OF LOANELIGIBILITY:Age 18-60

Own a residential/ commercialproperty such as house/ flat/building.

Monthly income 10000 for salary base people and 1.20lacs for non salary basedperson.In absence of IT returns ofagriculturists, incomecertificate by relevantauthorities can be accepted.Individual, either singly or jointlywith other family members.

1 to 50 lakh for metro andurban cities1 to 25 for semi urban cities.

50% of the fair market value ofthe property mortgaged as per

thevaluation report not more than6month.

Fresh valuation at the cost of theborrower(s) is required once in

three years during the tenure ofthe loan


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Nature of facility

REPAYMENT:Upto 7 year Interest rate14.40 % floatingPrepayment penaltyA penalty of 2% on the average balance of the preceding 12months,

Salaried people Term loan

Non salaried people Term loan and securedoverdraft


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SECURITYEquitable mortgage (E.M.) of the residential/

commercial propertyGuarantee is not mandatoryINSURANCE should be tune of the property


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CORPORATE CREDIT


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TERM LOANSalient features Funds for

Setting up new manufacturing/industrial unitsExpansion of existing units

Swapping of the high cost debts availed from other Banks/FIsCan be under Deferred Payment Guarantee basisMaximum tenor upto 84 monthsFast disposal of proposalsTerm loan can also be availed in foreign currency i.e. FCL/FCTL


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INFRASTRUCTURE FINANCESalient Features Funding the projects for

Generation/Transmission of Power,

Developing Roads, Ports & Airports,Laying/maintaining pipelines for gas, crude, water Setting up Industrial Parks, SEZsTelecommunications servicesIrrigation projects, water treatment plants, sanitation/seweragesystems.Construction of buildings for educational institutions, hospitals,warehouses

Maximum tenor upto 20 yearsFunds can be also be availed in foreign currency viz. Buyers Credit& ECB


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TRADE FINANCE

Facilities available for meeting pre sales and post salesrequirements both in domestic as well as foreign currency

Packing Credit advance in domestic as well as foreigncurrencyRunning packing credit facility also availableForeign Letters of Credit for procurement of rawmaterials/goodsPurchase/Discounting of Foreign Bills under LC or under

confirmed order.Negotiation of Bills under LCFinance under Gold Card Scheme to the exporters onbetter terms of credit including rate of interest


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Ubi Loan Product

Documents

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