Union Bank Introduces Term Deposit Plan with Insurance and Lifestyle Benefits

Union Bank of India has rolled out a new term deposit scheme called the ‘Union Wellness Deposit’, offering a combination of fixed deposit returns, health insurance, and lifestyle-related features.

As of 10:21 AM on May 14, 2025, Union Bank of India share price was trading at ₹134.30, a 2.70% increase and a 17.78% increase over the past six months.

Tenure and Interest Rates

The deposit has a fixed tenure of 375 days. It carries an annual interest rate of 6.75%, with an additional 0.50% offered to senior citizens, bringing their effective interest to 7.25% per annum.

The scheme is available for investments starting from a minimum of ₹10 lakh and going up to ₹3 crore. Customers opting for this product will have access to facilities such as premature withdrawal and loans against the deposit.

Health Insurance Coverage

One of the major inclusions is a Super Top-up Health Insurance cover of ₹5 lakh for a period of 375 days. The policy provides cashless hospitalisation, and is available only to the primary account holder in case of joint deposits.

Eligibility Criteria

The deposit is open to resident individuals aged 18 to 75 years, either as a single applicant or jointly. In joint accounts, only the primary holder is eligible for the insurance coverage.

Debit Card and Lifestyle Perks

The scheme also includes lifestyle benefits linked to the RuPay Select Debit Card. These additional features are tied to the card and come bundled with the deposit account.

Read more: Union Bank Share Price Rises Over 3% Post Strong FY25 Results; Profit Up 32%, Dividend Announced

The Union Wellness Deposit is positioned as a retail-focused term deposit scheme. It combines elements of financial savings with value-added services, available only during the tenure of the fixed deposit.

Conclusion

The scheme provides a structured investment option with a fixed return, along with bundled health and lifestyle services. It is currently being offered to eligible individuals through Union Bank’s retail banking channels.

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