Union Bank of India Home Loan
Union Bank offers home loans starting at 8.60% per year with flexible repayment up to 30 years. EMIs begin from just Rs.805 per lakh. Floating rate loans can be closed anytime without penalty. The bank offers home repair loans up to Rs.30 lakh and applies a 0.5% processing fee along with GST.
| Home Loan Schemes | Interest Rates |
|---|---|
| Union Home Loan | From 7.45% p.a. |
| Union Awas Loan | From 7.45% p.a. |
| Union Smart Save Loan | 8.30% – 9.90% p.a. |
Union Bank Home Loan — Eligibility
- Age: You need to be at least 21 years old to apply, and the loan should be fully repaid before you turn 70.
- Residency: Available for Resident Indians and NRIs
- Employment Type: Salaried individuals, self-employed professionals, and agriculturists
Compare Home Loan Interest Rates Across Different Banks
| SBI Home Loan | 7.25% p.a. to 10.50% p.a. |
| HDFC Home Loan | 7.75% p.a. onwards |
| PNB Housing Finance | 7.70% p.a. to 11.45% p.a. |
| Axis Home Loan | 8.35% p.a. to 9.35% p.a. |
| Union Bank of India Home Loan | 8.60% p.a. onwards |
| Bank of Baroda Home Loan | Floating rate: 7.45% to 9.20% per year, Fixed rate: 9.15% to 10.20% per year. |
| LIC Home Loan | 7.50% p.a. onwards |
| Kotak Mahindra Bank Home Loan | 7.99% p.a. onwards |
| Central Bank of India Home Loan | 7.35% p.a. onwards |
| Aditya Birla Housing Finance | Salaried: 8.80%–14.00% p.a. & Self-employed: 9.10%–14.75% p.a. |
| HSBC Home Loan | 7.70% p.a. onwards |
| Standard Chartered Bank Home Loan | Starting from 8.95% p.a. |
| TATA Capital Home Loan | 7.75% p.a. onwards |
| YES Bank Home Loan | 9.00% - 11.50% p.a. |
| IDBI Home Loan | 7.65% p.a. onwards |
| Bandhan Bank Home Loan | 8.14% p.a. onwards |
| Federal Bank Home Loan | 8.75% p.a. onwards |
| South Indian Bank Home Loan | 8.30% p.a. onwards |
Union Bank Home Loan Schemes
Union Home Loan
- Available for single and joint applicants, including siblings
- Flexible repayment options for convenience
- NRIs can apply to purchase property in India
- Interest Rate: From 7.45% p.a. (floating)
- Processing Fee: The bank charges a processing fee of 0.50% of the loan amount, with a maximum limit of Rs.15,000 plus GST.
Union Awas Loan
- Designed for individuals with minimum annual income of Rs.48,000
- Loan up to Rs.10 lakh in semi-urban areas and up to Rs.7 lakh in rural areas
- Can be used for purchase, construction, repairs, improvements, or extension of a house
- Interest Rate: From 7.45% p.a. (floating)
- Processing Fee: The bank charges a processing fee of 0.50% of the loan amount, with a maximum limit of Rs.15,000 plus GST.
Union Smart Save Loan
- Option to deposit extra funds along with EMIs
- Save on interest payments with additional deposits
- Withdraw surplus funds later for personal needs
- Loan Amount & Rates (Salaried):
- Up to Rs.30 lakh: 8.30% p.a. onwards
- Above Rs.30 lakh: 8.30% p.a. onwards
Documents Required for Union Bank Home Loan
To apply for a Union Bank Home Loan, applicants must provide the following documents:
- Identity Proof: You can use Aadhaar, PAN, Voter ID, Passport, or Driving Licence as identity proof.
- Address Proof: Aadhaar Card, Passport, Driving Licence, Voter ID, or recent Utility Bills
- Income Proof: Latest Income Tax Return (1 year) and last 12 months’ Bank Statements
- Property Papers: Title Deed, Allotment Letter, and Advance Payment Receipt
- Other Documents: Processing fee cheque, loan application form, and 3 passport-size photos (details of ongoing loans if any)
Union Bank Home Loan under PMAY
Union Bank provides home loans with subsidy benefits under Pradhan Mantri Awas Yojana (PMAY) for first-time homebuyers.
- Eligible Uses: Buy or construct a house, purchase a plot with construction, or renovate/extend an existing house
- Who Can Apply: Resident Indians above 21 years from EWS, LIG, MIG-I, and MIG-II categories
- Condition: Applicant or family should not own a pucca house anywhere in India
- Benefits: Interest subsidy up to 6.50% and a moratorium of up to 36 months (not for ready-to-move houses)
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How to Apply for Union Bank Home Loan
Applicants can apply for a Union Bank Home Loan through three easy ways:
- Online via RatingOK: Visit RatingOK’s home loan section, choose Union Bank, click Apply Now, and submit details
- Online via Union Bank Website: Go to Union Bank’s official site, open the home loan page, and apply online. Customer care assistance is available
- Offline at Branch: Visit the nearest Union Bank branch with required documents and submit the application
How long does Union Bank take to approve a home loan?
Once you submit all required documents, the loan is usually sanctioned within 5–6 working days.
What documents are required for a Union Bank home loan?
You need proof of identity, proof of address, income documents (like salary slips, ITR, or bank statements), property papers, and other documents requested by the bank.
Can non-resident Indians (NRIs) apply for a home loan with Union Bank?
Yes, Union Bank offers home loans to NRIs for buying residential property in India as per RBI rules.
Who can be a co-applicant?
Parents, spouse, earning children, or siblings can join as co-applicants. Their income can also help increase your loan eligibility.
Can I apply for a Union Bank home loan online?
Yes, you can apply easily through the official Union Bank website.
Can I prepay my home loan?
Yes, you can prepay your loan anytime. Union Bank does not charge any penalty if repayment is made from personal funds or by balance transfer.
Can I get another home loan if I already have one with Union Bank?
Yes, existing customers can apply for an additional home loan if they meet the eligibility criteria.
What is a moratorium period?
It’s a grace period at the start of the loan when you don’t have to pay EMIs. Repayment begins once the moratorium period ends.
What is an amortisation schedule?
It’s a plan showing how your payments are divided between reducing the loan and paying interest over time.
What does EBLR mean?
EBLR (External Benchmark Lending Rate) is the rate linked to the RBI repo rate, which Union Bank uses to decide home loan interest rates.