Title of the scheme
'UCO Monthly Income Scheme'
Period of operation of the Scheme
The scheme would be open for the general public from 16th December 2013 and the scheme has been converted into normal term deposit scheme.
Eligibility to Open Account
Eligible Depositors under the scheme would be same as eligible depositors Fixed Deposit Scheme currently available in the Bank.
KYC (Know your Customers)
KYC Norms for opening account are applicable for these accounts and hence proof of residence and proof of identification will be required along with recent photograph of the depositor/s.
Period of Deposit
Amount of Deposit
a) Minimum Amount: Rs. 50,000 (thereafter in multiples of Rs.10000/-)
b) Maximum Amount: Upto Rs.100 lac
Rate of Interest
As applicable under the normal term deposit for a period of 5 years
Payment of Interest
Monthly Interest Plan - Simple Interest rate will be paid without any discounting and credited on the first day of the next month of opening 'UCO Monthly Income Scheme'.
In all cases of premature withdrawals, the interest would be payable at 1 % below the applicable card rate under the normal fixed deposit has remained with the Bank as on the date of deposit and not at the contractual rate.
Loan/Overdraft against the Deposits
Facility for availing loan/overdraft against 'UCO Monthly Income Scheme' would be available as per existing guidelines for availing loan/overdraft against Bank's own Fixed Deposits.
The facility of nomination would be available under the scheme.
Payment to Nominee/ Legal Heirs
In the event of the death of the depositor, the deposit would be paid to nominee/legal heirs as per existing rules.
All branches of the Bank would be authorized to open 'UCO Monthly Income Scheme' accounts under the Scheme.
The existing Application Form for fixed Deposits is to be used for accepting deposit under the scheme.
The branches shall invariably take an undertaking from customer stating that "I have read, understood and accept the terms & conditions of 'UCO Monthly Income Scheme'.
In the absence of any specific mandate provided by the depositor at the time of opening of account, the maturity proceeds may be transferred to SB/CA of the depositor /renewed for a certain period at card rate of interest prevailing at the time of maturity.
Tax would be deductible at source as per the prevailing Income Tax rules.
The'UCO Monthly Income Scheme' is not transferable.
However, the deposits are transferable from one branch to another branch in the same name(s) would be permissible without any change and as per the existing Bank's procedure.
Special benefits for senior citizen/ staff/ Ex-staff/ Senior citizen Ex-staff
Deposits from under-mentioned categories of depositors shall be allowed incentive as per the existing norms.
Acceptance of Deposit under the scheme
Deposits under the scheme would be accepted only when accruing as a fresh Fixed Deposit for the Bank.
In other words, the existing Fixed Deposits cannot be directly renewed under the scheme through a premature extension as usual and the existing Fixed Depositors who wish to convert into the scheme would have to compulsorily take premature payment of their existing deposits and pay the usual penal charge for pre mature closure.
However, any existing Fixed Deposit maturing during the scheme period would be eligible to enter into the scheme as it would be a fresh deposit for the Bank under the scheme.
Applicability of normal Fixed Deposit Rules
Other than the special terms and conditions of the scheme, the deposits under the scheme would be governed as per the normal Fixed Deposit Rules of the Bank.
Product Code under CBS
A separate Product Code under the CBS system for the scheme would be created by Head Office, DIT.
Further, Head Office, DIT would be circulating the "Job Card for 'UCO Monthly Income Scheme' containing the guidelines for the branches for opening the required account in CBS for operationalizing the scheme.
Download mandate form here