Building a secure future involves financial planning. You want to accumulate a corpus, secure a shelter, and plan your retirement. All these achievements start with a small step of saving money. Stashing away a tiny amount is the foundation for building capital for most of us. Hence, before making long-term investments, focus on saving funds regularly. Banks let you do this conveniently with a Savings Account.
It is meant to safeguard your finances and let you use them for various purposes. You enjoy high liquidity that allows you to pay for expenses while tracking funds. Moreover, Internet Banking saves you the hassle of visiting the bank to perform such tasks. The key is to utilise its features for smooth finance management optimally. Banks let you do this by offering different categories to suit your needs. They include:
Regular Bank Account
This is the primary category that is open to every individual. Opt for it if you do not have any specific needs. It is ideal for managing your funds under standard banking terms. This involves maintaining a minimum balance and withdrawal limits. Also, the saved-up capital is apt for attaining short-term goals. The online Bank Account also offers personal banking features to manage your expenses.
Zero-Balance Account
A significant limitation in Regular Bank Accounts is the minimum balance requirement. Most banks require you to maintain a balance ranging between Rs. 2,000 to Rs. 10,000. This proves difficult for those with lower funds. The Government offers a solution for this through Basic Savings Bank Deposit Account under Pradhan Mantri Jan Dhan Yojana. It comes with zero-balance requirements. This keeps your concerns of maintaining a minimum balance at bay.
Another alternative that foregoes the balance requirement is a Salary Account. Unlike other categories, your employer initiates the online Saving Account opening for this type.
Senior Citizen Account
Individuals retiring after the age of 60 years have a limited income source. However, their expenses are on the higher side. A Senior Citizen Account addresses such specific needs. It lets you do more than just park funds and leverage Personal Banking benefits. When you open a Bank Account under this category, you get higher interest, basic Health Insurance coverage, investment-related benefits, etc.
Minor Account
Learning to save early acts as a stepping stone to making better financial decisions. Hence, banks encourage kids to start saving from a young age through this account category. They allow accessibility through Banking apps for convenience. The only requirement is for parents to become secondary account holders until the child becomes an adult. Then, it gets converted into a Regular Bank Account.
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