Union Bank of India Revises Interest Rates On Savings Accounts: Details Inside

One of the top public sector banks in the nation is Union Bank of India. The bank has modified the savings account interest rates. The bank is now providing savings bank deposits with a maximum return of 4% in accordance with the modification. According to the Union Bank of India's official website, the revised interest rates on savings accounts take effect on November 20, 2023.

Union Bank of India Savings Account Interest Rates

The bank is offering an interest rate of 2.75% on savings account balances of up to Rs.50 Lakh and 2.90% on Rs.50 lakh to Rs.100 crore balance slab. On savings bank deposits of Rs.100 crore to Rs.500 crore, Union Bank of India is promising a return of 3.10% and on Rs.500 crore to Rs.1000 crore balance slab, the bank is offering a 3.40% interest rate.

Union Bank of India is promising an interest rate of 4.00% on a savings account balance of above RS 1000 crores.

Interest will be credited quarterly in the months of April, July, October, and January every year, with calculations based on a daily product basis.

Union Bank of India said that its net profit for the second quarter ended September 30, 2023, jumped by 90% YoY to Rs 3,511.4 crore. Union Bank of India had a net profit of Rs 1,848 crore for the same period the previous year. In comparison to the same quarter in FY23, when it was Rs 8,305 crore, net interest income (NII) jumped by 10% to Rs 9,126.1 crore in Q2FY24.

Compared to 7.34% in the June quarter, the gross non-performing asset (GNPA) was 6.38% in the September quarter. In comparison to 1.58% in the previous quarter, net NPA was 1.30%. The bank's net non-performing assets (NPA) were Rs 10,421 crore in Q2FY24 as opposed to Rs 12,137.9 crore in Q1FY24, and its gross non-performing assets (NPA) were Rs 54,012.3 compared to Rs 60,103.7 crore. Compared to Rs 4,076.8 crore in the same quarter last year, provisions were Rs 1,767.9 crore in the quarter under review.

The CASA deposits have grown by 4.45% YoY. As of September 30, 2023, the bank's total deposit balance was Rs 11,37,628 crore. The bank had a rise in overall business of 9.24% year on year, with gross advances growing by 9.50% and total deposits growing by 9.04% in the quarter ended 30th September 2023.

The bank's total business as of September 30, 2023, was Rs 19,84,842 crore. During the second quarter of FY24, the bank's return on equity and return on assets climbed to 17.97% and 1.07%, respectively. The bank employs 76,700 individuals and has a network of 18,000 BC Points, 10,000 ATMs, and more than 8,500 domestic branches during Q2FY24. At Rs. 1,984,842 crore as of September 30, 2023, the bank's total business was made up of Rs. 8,47,214 crore in advances and Rs. 11,37,628 crore in deposits.