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COMMON DOUBTS
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CLARIFICATIONS
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What is UCCA?
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The Premium Current Account Product of Union Bank suited for Traders and Business Class.
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How many Categories/ Variants are there and what are they based on?
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There are 5 variants /categories of UCCA i.e.
UCCA –I, UCCA –II, UCCA –III, UCCA –IV & UCCA –V. They are based on Average Monthly Balance (AMB).
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What is AMB for various categories /variants?
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- UCCA –I Rs.50,000 AMB
- UCCA –II Rs.1,00,000 AMB
- UCCA –III Rs.5,00,000 AMB
- UCCA –IV Rs.10,00,000 AMB
- UCCA –V Rs.50,00,000 AMB
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Who chooses the category? The Bank or the Customer?
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Customer chooses the category by executing a declaration to that effect, at the time of opening.
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Who has the ownership of maintaining the AMB, the Customer or the Bank?
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The Customer has the ownership of maintaining the AMB.
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When the Calendar month starts under UCCA?
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The Calendar month under UCCA starts from 26th date to 25th date of succeeding month.
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Who can Open UCCA?
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Individual, Proprietary, Partnership Firms, Joint Account Holders, HUF, Limited Companies, Trusts, Association, Co-operative Societies etc.
OR
Any entity other than Banks /Financial Institutions
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What are the Free Fund Transfer limits for various categories?
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- Fund Transfers under RTGS /NEFT /Intersol are Absolutely Free of Service charges for all categories.
- DDs on RBI centers Absolutely Free of Service charges for all categories.
- Fund Transfers by way of DD /PO from Rs. 10 lacs to Rs. 50 lacs Daily or Rs.250 lacs to Rs.1250 lacs Monthly are free based on category.
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Since RTGS/NEFT/ Intersol are totally Free, Can the daily/monthly Free limits be exclusively used for DDs / Pos?
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YES, Free limits are exclusively for DDs / POs
UCCA –I Rs.10.00 lacs /day
OR
10 Remittances per month not exceeding Rs.250 lacs.
UCCA –II Rs.20.00 lacs per day
OR
20 Remittances per month not exceeding Rs.500 lacs.
UCCA –III Rs.30.00 laces per day
OR
30 Remittances per month not exceeding Rs.750 lacs.
UCCA –IV Rs.50.00 lacs per day
OR
50 Remittances per month not exceeding Rs.1250 lacs.
ØUCCA –V All Remittances are Free without ceiling.
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What is Daily option?
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Customer can opt monthly limit as specified above under different UCCA categories
Once an option is exercised it can not be changed for 3 months
It is good for customers who have daily Outward Fund Transfer
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What is Monthly option?
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Customer can opt monthly limit as specified above under different UCCA categories
Once an option is exercised it can not be changed for 3 months
It is good for customers who do not have daily Outward Fund Transfers.
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Whether DD /PO above limit is charged?
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Yes. At a concessional rate of Rs.1.25 /1000 Maximum Rs.5000/-plus service tax.
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When the charges, over and above the free limits will be debited to the Account?
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Charges as applicable over and above the limits will be debited to the Account with in one week of the completion of one month.
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Can the unused Daily /Monthly limits be carried over?
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No
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What is the free outstation cheque collection limit for various categories of UCCA?
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- UCCA –I Rs.2.00 lacs.
- UCCA –II Rs.4.00 lacs.
- UCCA –III Rs.20.00 lacs.
- UCCA –IV Rs.40.00 lacs.
- UCCA V All cheque collections are Free without ceiling
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Whether the limits are regulated on lodgement basis or realization basis?
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Collection Cheques are regulated on Realisation basis, as per prudent Banking practice.
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How a Returned Collection Cheque is treated?
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Return Cheque will attract usual service charges as per the extant guidelines.
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Whether outstation cheque collection over and above the limit is charged?
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Yes. At a concessional rate of Rs.1.25 /1000 plus service tax.
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Whether Cash Deposits /Withdrawals in Base Branch and Base Center Branches are free?
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Yes. All Cash Deposits /Cash Withdrawals in base Branch and Base Center Branches are Free.
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What about Cash Deposits / Withdrawals at non Base Centers?
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Cash Deposits /Withdrawals upto Rs.1.00 lac are free.
o Cash Deposits above Rs.1.00 lac is charged @ Rs.1.50 per 1000
o Cash Withdrawals above Rs.1.00 lac is not allowed in non Base Center Branches.
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How many cheque leaves are issued Free of cost?
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UCCA I & II - 100 Leaves per month
UCCA III - 200 Leaves per month
UCCA IV & V - Unlimited
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Whether Cheque leaves above the limits are chargeable?
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Yes. At the rate of Rs.3.37 per leaf.
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What is meant by Upfront facility?
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Concessions, as above, are extended from day one to the customer, irrespective of AMB in the first month.
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This means the AMB is not mandatory in the 1st Month?
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Yes, AMB is not mandatory in the 1ST Month and therefore there is no penalty for its non –maintenance in the 1st Month.
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Is upfront facility available to converted UCCA from ordinary account?
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No. Because in such cases, the 1st month is over long back, when the CD account was opened. In certain cases, years back. Hence not available.
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What is Customer Account
OR
Any Account Facility?
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Facilities including concessions can be availed through any Account viz. SB/CD/CC/OD/PC and in any UBI Branch by the UCCA holder.
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In that case, the daily or monthly limits are the same or different for a Customer?
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Of course, whether he avails through UCCA or Any Account, in one Branch or Any Branch the limits are same.
Transactions in all accounts are Clubbed, and to be within the limits of chosen category.
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In the case of Customer availing facilities through CC (Hypo) or any other Account, which Account will be debited if he exceeds limit?
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Over the limit, charges will be debited to UCCA not CC (Hypo) Account or any other Account.
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What is meant by Auto Sweep?
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Auto Sweep means Automatic Transfer of Fund from one account to another account of the customer with same Cust. Id.
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In case CC (Hypo) A/c is chosen to operate by UCCA holder, will required amount be automatically swept by System to honour a Cheque?
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YES. But Reverse Sweep from CC / OD /PC is not permitted, since the prudent conduct of Borrowal Accounts insists end use/DP.
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In case of PC operative UCCA holder how Auto Sweep will operate?
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No. Auto Sweep does not operate since PC Account credits are allowed only in Foreign Exchange.
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What is Auto Roaming Facility?
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UCCA customer will get automatically roamed up or down his category, based on previous month's AMB.
Upward AMB entitles Higher facilities.
Downward AMB entitles Reduced facilities.
Downward AMB below the chosen category attracts Penalty.
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Whether penalty is charged for non-maintenance of AMB?
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Yes. In case of non-maintenance of AMB of chosen category, penalty will be levied as under.
UCCA –I Rs.1000/- per month
UCCA –II Rs.2000 /- per month
UCCA –III Rs.4000/- per month
UCCA –IV Rs.6000/- per month
UCCA –V No penalty
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Are there any Exit Clauses? If so, what are the Clauses?
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There are three Exit Clauses
Second month default in Chosen AMB.
Two Consecutive /Intermittent default in Lowest AMB.
Six Consecutive /Intermittent default in Chosen AMB.
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What is the logic of the 2nd month default in AMB leading to Exit the UCCA?
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Since in the 1st month, all free facilities are extended without AMB, simply based on Customer’s declaration of category chosen, in the second month, the Customer should stand by his commitment.
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What are the benefits of UCCA to Bank?
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Bring in:
Core Business Connections
Cost Effective Resources
Reduction in Cost of Deposits
Increased Cross Sales of Products
Increased fee based income
Increased Business Share
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What are the benefits to Customer?
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Free Fund Transfer.
Free Cheque Collection
Free Cash Deposit / Withdrawal
Free Cheque Book
Shrink Transaction Cost
Efficient Fund Management.
Widens Business Horizon
Increase in Net Profits
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How UCCA is superior to ordinary CD Account since Fund Transfers are Free for all CD Accounts through RTGS/ NEFT/ Intersol?
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UCCA Customer gets additionally;
- Free DDs to 18 RBI Centers daily or monthly
- Free DDs daily & monthly as per limits to other centers.
- Free POs daily and monthly as per limits.
- Free Cheque Collections as per limits.
- Free Multicity Cheques
- Free Cash Deposit/ Withdrawal facility in base Branch and base center Branches.
- Cash Deposit facility in non-base branches at concessional rate of Rs.1.50p per thousand.
- Above all, gets Preferred Customer Status
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