Savings Account

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Another kind of account offered by Banks is Savings Account wherein no cheque book is offered for such accounts. These are opened primarily by customer's who are interested in depositing their funds with the Bank to earn interest and also wants access to their funds.

A savings account provides flexibility to customer's to withdraw from such account as per their requirement but informs him that interest will be paid only the balance available in the account at the End of Day and credited to their account at the end of the month. These interest calculations are generally system calculated without any human intervention. As mentioned earlier cheque books are generally not offered for such kind of accounts and a debit card is provided to withdraw funds from the ATM or to swipe the card at any of the merchant outlets.

A minimum balance has to be maintained for these accounts as well and as mentioned in my earlier blog a nominal fee will be charged to the account at the end of every month incase the required monthly average balances are not maintained by the customers.

Also, remittances can be received and sent from this account without any hassle either by visits the Bank directly or using any of their alternate channels available. Lookout for the offers provided by few Banks on cost of remittances if the same is requested via an alternate channel and not be visiting their Branch. This can help you to reduce your remittance cost to some extent.

All other features offered by the Bank such as Internet Banking, Mobile Banking, SMS alerts are also offered on savings account free of charge. Again would like to reiterate that opening any account does not require you to take any of the liability product or an investment product and if anyone refuses to open your account without taking any of these products, you have a right to raise a complaint that the Bank will accordingly respond to your complaint.