Public sector Union Bank of India has launched a special fixed deposit scheme, ‘Union Wellness Deposit‘, which is different from the traditional term insurance scheme. The most special thing about this FD scheme is that you also get health insurance coverage in it.
According to PTI News, this is a 375-day retail fixed deposit scheme, which is applicable for adults up to 75 years of age, and the minimum deposit amount in it is ₹ 10 lakh. The depositor will get 6.75 percent interest on this. Senior citizens will get 0.50 percent additional interest on investing in this scheme. So, if you want health cover along with a safe investment, then this scheme can prove to be a great option for you.
Health cover up to ₹ 5 lakh
Amidst the difficulties in increasing deposits, this public sector bank allows investing up to a maximum of ₹ 3 crore in this scheme. The facility of premature withdrawal and a loan against deposit is also available in it. This scheme offers a super top-up health insurance cover of up to ₹5 lakh for 375 days.
This also includes cashless hospitalization. One thing to understand is that if you open a joint account in this scheme, the insurance cover will be available only to the primary account holder. So, if you want health cover for both you and your spouse, it would be better to open separate accounts.
Who will get the benefit in your absence
NRI customers cannot open a deposit account under the Union Wellness Deposit Scheme. Also, note that cumulative/multiple deposits will not be covered under this scheme. TDS in this term deposit scheme will be deducted as per the guidelines for domestic term deposits. Nomination is mandatory in the Union Wellness Deposit Account, as health insurance is linked to the deposit amount.
You can increase the available deposit, however, the insurance coverage will not be available on renewal. In case of extension of the deposit opened under this scheme, the insurance coverage will be available till the original maturity date. Therefore, make sure to enter the name of the nominee while opening the account.
The bank’s loan business grew by 8.6 percent to ₹ 9.82 lakh crore
Union Bank of India’s loan business grew by 8.6 percent to ₹ 9.82 lakh crore during the March 2025 quarter. Its total loan business was ₹ 9.04 lakh crore at the end of March 2024. The bank’s total deposits stood at ₹ 13.09 lakh crore at the end of the fourth quarter of the financial year 2024-25, up 7.22 percent from ₹ 12.21 lakh crore in the same period a year ago.
The bank’s total business grew by 7.8 percent to ₹ 22.92 lakh crore at the end of March 2025, from ₹ 21.26 lakh crore at the end of March 2024. This reflects the strong financial position of the bank, which further increases customer confidence.
