Canara Bank vs Union Bank of India Credit Cards: Free Flat 0.5% Against Waivable Fees and a Metal Flagship

These are two public-sector lineups that look similar from a distance, with Visa and RuPay options and modest income floors. Up close the pricing logic differs. Canara Bank lists its own-brand retail cards at zero joining and annual fee and pays 0.5% on everything. Union Bank of India charges small annual fees that spending waives, and in return offers higher base rates on some RuPay cards, a few lounge-heavy co-brands and a metal flagship.

Price structure

Canara's retail range, covering Classic, Standard, Gold, Platinum, World, Signature and Select cards across Visa, Mastercard and RuPay, shows no fee on any of them. Income floors start at ₹15,000 for the RuPay Classic and ₹16,667 for the Visa Classic and Mastercard Standard.

Union's entry cards carry an annual fee that a modest spend removes: Visa Gold ₹350 (waived at ₹30,000), RuPay Platinum ₹350 (waived at ₹30,000), Visa Platinum ₹450 (waived at ₹50,000), RuPay Select ₹550 (waived at ₹50,000). Data for the RuPay Platinum shows a ₹350 field while its description mentions a different figure, so confirm the fee before applying. The Visa Signature has a ₹1,999 annual fee waived at ₹2,70,000. For a cardholder who spends nothing much, Canara costs less. For anyone who spends ₹50,000 a year, Union's fees disappear anyway.

Base reward rate

Canara's rate is a flat 0.5% on all its cards. Union's rates vary. RuPay Select and Unicorn pay a 1% base, Visa Signature 1%, Sparsh (for visually impaired customers) 1% with 2% in a listed category, and the entry Platinum cards 0.5%. Gold sits lower at 0.25%. For a moderate spender choosing between plain cards, Union's RuPay Select doubles Canara's rate for a fee you can waive at ₹50,000.

Lounges

Canara's free Visa Signature offers 3 domestic and 1 international visit per quarter, the Mastercard World 3 self and 2 guest domestic visits a quarter plus international visits, and the RuPay Select 2 domestic visits a quarter and 2 international visits a year. These are strong at no cost for customers who meet an income floor around ₹83,333.

Union competes with paid but cheap options. RuPay Select gives 2 domestic visits a quarter and 2 international a year for ₹550, waivable. JCB Health (₹499) and JCB Wellness (₹999) give 8 domestic and 2 international visits a year. Unicorn (₹2,400) gives 8 domestic and 2 international Priority Pass visits. Canara is cheaper if you reach its income floor; Union is the better route if you do not.

Fuel and top end

Union's Uni Carbon with HPCL costs ₹499 and ₹550, waived at ₹1,00,000, with a 6.5% fuel rate capped at ₹500 a month. Canara offers only a 1% fuel waiver capped at ₹100. Union's Nexteria is a ₹12,499 RuPay metal card waived at ₹8,00,000, with unlimited lounge visits for the primary holder; Canara's ceiling is a free Visa Signature. Anyone wanting a premium card must go to Union.

Accessibility cards

Canara has secured cards against FD in RuPay Select, RuPay Platinum and Gold variants. Union's U-Secure serves customers without an ITR, MSME offers a card sliced out of a business limit, and Sparsh is built for visually impaired users. Our secured card guide explains how FD-backed cards work. Union has more specialised options.

Who should choose which

Fee-averse customer with ₹83,333 monthly income: Canara Visa Signature. Moderate spender wanting a 1% base: Union RuPay Select. Lounge seeker below that income: Union JCB Health. HPCL fuel buyer: Union Uni Carbon. Premium metal: Union Nexteria.

Further reading

The Canara Bank guide covers each Canara card, and the RuPay credit cards on UPI guide shows how to link either bank's RuPay card to UPI. For a related match-up, see Union Bank vs Bank of Baroda.