For most individuals, a Savings Account acts as the primary mode of transacting with banks. It serves as a place to deposit extra cash. It also lets you build a safety net for your loved ones. Apart from this, when you open such an account, you can enjoy other benefits like smarter bill payments, online fund transfers, access to investments, etc.
Let us understand a Savings Account and its various features and benefits. Let us also focus on the typical eligibility requirements for opening such an account.
Overview of Savings Accounts
When you open bank account online, you get access to a financial instrument that lets you deposit funds and earn a modest interest on them.This account marks the first interaction that people have with the financial and banking system. It usually serves as a medium to store money you do not want to use currently safely.
Another benefit is that you can withdraw your funds up to a specific limit anytime. Today, you can easily open a Savings Account online by following these steps:
- Once you select your favoured bank, go to their website or download their Banking app.
- Complete the account opening process. Keep your PAN card, ID, and address proofs ready to make the process smoother.
- Use video-KYC for seamless verifications.
- Once your bank verifies your details, they open your account and send the details to your registered email address.
Features and benefits
When you open a Bank Account online, you can enjoy the following benefits:
- It acts as a secure place to save and deposit your money.
- The funds you store earn interest at competitive rates. Hence, compare the Savings Account interest rates various banks offer when opening your account.
- You get the benefit of Online Banking Platforms provided by the bank. It ensures you have easy access to your account 24*7.
- Typically, you get a Debit Card when you open a Savings Account. You can use such a card to withdraw money from ATMs and pay for purchases online and at physical stores.
- A Bank Account lets you transfer money seamlessly across India and overseas using various online channels.
- You can use such an account to register your billers and schedule payments for your utility bills.
- A Savings Account provides access to various Mutual Fund Investments. It also lets you open and deposit money in a Term Deposit to realise your financial goals.
Eligibility requirements
The eligibility requirements to open a Savings Account may vary across banks. The typical requirements usually include the following:
- Indian residents over 18 can open such an account singly or jointly.
- Minors canopen this account with their parents or guardians.
- Banks also allow Hindu Undivided Families and foreign nationals to open such an account.
