Union Bank of India Waives Minimum Balance Charges to Boost Financial Inclusion

In a significant customer-centric move, Union Bank of India has announced a complete waiver of charges for non-maintenance of minimum balance in general savings deposit accounts. The new policy will be effective starting from the quarter ending in September. This initiative aims to enhance accessibility and promote inclusive banking practices, especially for underserved sections of society.

Waiver Applies to General Savings Accounts Only

As per the official press note released by the bank, the waiver is limited to general savings deposit accounts. It does not apply to customised savings products offered by the bank. The decision is aimed at bringing uniformity and fairness to the banking system and making banking services more accessible.

“This move is aimed at ensuring uniformity, fairness, and enhancing accessibility of basic banking services to customers. We are committed to supporting inclusive growth and believe this step will further strengthen our engagement with the underserved segment of the population,” the bank said.

Precedent Set by Other Public Sector Banks

Even before this announcement, Union Bank had already exempted specific customer groups from such charges. Accounts opened under the Pradhan Mantri Jan Dhan Yojana (PMJDY), as well as savings accounts held by pensioners and senior citizens, were already free from non-maintenance charges.

The bank now joins several other public sector banks like State Bank of India (SBI), Indian Bank, Canara Bank, Punjab National Bank, and Bank of Baroda, which have previously taken similar steps by waiving such charges for all savings account holders.

Read More: Union Bank of India Plans to Raise ₹6,000 Crore Through Equity and Debt!

Union Bank of India Share Price Performance 

As of July 25, 2025, at 1:27 PM, Union Bank of India share price is trading at ₹137.06 per share, reflecting a decline of 5.46%. Over the past month, the stock has surged by 5.02%.

Conclusion

With this initiative, Union Bank of India reaffirms its commitment to financial inclusion and customer empowerment. By eliminating charges that could deter low-income users from active banking, the bank is taking a step forward in strengthening the reach and relevance of the country’s banking system.

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