The banking sector plays a very important part in every individual’s life and the nation’s economy. Whatever financial requirement you may have, whether it’s fund transfers, making repayments, or availing credit, you turn to the banks to fulfill it. Bank Accounts are an integral part of this banking system. Every individual must have a Bank Account. It secures and simplifies banking.
There are different Bank Accounts that you can open. Savings Account is the most popular account to open. You can deposit money in this savings account and earn a competitive interest rate. Since Savings Account is a common financial product, you can open it with any leading bank. Typically, look for the best Savings Account interest rates for account opening.
What is Savings Account?
A Savings Account is that bank or NBFC deposit account where you can securely store your money and access various banking services. The best part? You can earn an interest on the amount deposited. The interest rate keeps changing based on market conditions and policies of the Bank/NBFC you are associated with.
Features & Benefits of Savings Account
The features, benefits, and eligibility criteria for opening a Savings Account may vary across banks and NBFCs. However, most banks offer some common features such as:
- Easy to open
You don’t need to go through detailed documentation or evaluation processes to open an account. A valid KYC document would be enough to open the account.
- High-Interest Rates
Most banks offer competitive interest rates on Savings Accounts. The interest rate keeps varying depending on the bank/NBFC you are associated with.
- Low Balance Requirements
Many Banks and NBFCs require a very low/minimal balance in your savings account. This may start from Rs 500 and go up to Rs 10,000 based on the Bank/NBFC that you have chosen.
- Safety & Security
Your money is safe in bank deposits as they are insured by Deposit Insurance & Credit Guarantee Corporation (DICGC). In case of bank failure, DICGC ensures you get back your deposits up to Rs 5 lakhs via an insurance cover scheme.
- Easy Access
Banks provide several channels to access your Savings Account. You can use the internet, mobile banking, ATMs, POS machines, and even visit the bank in person to access your money whenever needed.
Tips to Get the Most Out of Savings Account
Following are useful tips to make the most of the account:
1. Link to online banking platforms
Upon opening a Savings Account, link it to the bank’s online banking platforms. This way, you can meet all your banking requirements remotely in minutes. Make sure to have your login credentials. Once you have access to the online platforms, you only need to link your account. Enter key details about your account for linking.
You can also choose to link multiple accounts to the bank’s online portal and Banking app. Ensure to choose the right account while making a transfer. Link your account to various UPI apps too. By doing so, you can make payments and transfers to any mobile number, UPI ID, or by scanning the QR code.
2. Maintain a higher account balance
You will have to maintain a low/minimum balance in your savings account. You are also liable to pay a penalty in case of non-maintenance. Generally, it is recommended that you maintain a higher balance in your account. This is because higher deposits attract a higher interest rate. This helps you earn a higher interest income. There is no upper limit to the deposits you can make to your online Bank Account.
Hence, deposit as much as possible to earn a higher interest. You can easily deposit money in your savings account via a cash deposit, cheque, or online transfer.
3. Benefit from Debit Card services and offers
Usually, you receive a Debit Card on the Savings Account opening. This card is generally issued free of cost. Debit Card is an incredible instrument that allows you in making the most of your Savings Account. You can use the card to make offline and online transactions. When offline, you can either swipe or tap your card at any merchant payment machine to pay.
In online mode, you must enter your card details to make a transaction. You receive an OTP every time you initiate an online transaction. Enter the OTP to validate the transfer. This assures maximum security of your Net Banking.
4. Discounts on Debit Card Payments
Additionally, banks provide attractive discounts and offer on Debit Card payments. Thus, you can save more while using your card to make payments. Keep track of your transactions. Tracking your account is incredibly important for financial security.
Banks generally offer the facility to view all past and present transactions in the Savings Account without cost. You can use this feature to review all past transactions made with the help of a Debit Card or Net Banking service.
5. Check For Fraudulent and other charges
Also, check if there are any unrecognizable/fraudulent charges on your account. If you identify any suspicious activities on your Savings Account, report them immediately to the bank’s customer care team or fraud department. You should change your password often and opt out of auto or recurring payments. Take advantage of other services.
Besides regular banking services, banks offer various additional benefits to Savings Account holders. You can use these services, such as free personal accident insurance, cashless hospitalization, lifestyle discounts & offers, etc.
You can also enroll in other digital products or invest money in mutual funds offered by the bank, usually at no extra cost. This helps you make your account more secure and profitable.
Overall, Savings Account is an ideal way to manage your finances effectively and maximize your returns. Make sure to opt for the bank with the best Savings account interest rate. A reliable bank offering all the features and services that fit your needs is the right option. Remember all the points mentioned above to make the most out of your Online Bank Account while managing your finances securely and easily.