A savings account is a deposit account you hold with a bank. This is an interest-bearing account and although these kinds of accounts do not have a high interest rate, it is reliability and safety which make them a good option for saving your money.
Table of Contents
- Compare & Apply for Best Savings Account Online
- Types of Saving Account
- Savings Account Interest Rate from Top Banks
- Eligibility Requirements for Opening a Savings Account
- Documents to be Submitted for Opening a Savings Account
- Features and Benefits of Savings Account
- Open your Online Savings Account with Bankbazaar
- Visiting the Bank and Opening a Savings Account
- What is the Cash Withdrawal Limit & Cash Transaction Limit for Savings Accounts
- Savings Account With the Post Office
- Charges for opening and using savings account for top banks
- Frequently Asked Questions (FAQs)
Compare & Apply for Best Savings Account Online
|Savings Account||Interest Rate||Minimum Balance Requirement|
|Indian Bank Savings Account||2.90% p.a.||0.230% of the loan amount (Maximum of Rs.10,236) Rural/Semi urban: Rs.1,000 (with cheque facility) Rs.500 (without cheque facility) Metro/urban: Rs.2,500 (with cheque facility) Rs.1,000 (without cheque facility)|
|Kotak Bank Savings Account||3.50% p.a.||Zero Balance Savings Account|
|DBS digibank Saving Account||3.00% p.a. to 4.00% p.a.||Zero Balance Savings Account|
|Axis Bank Savings Account||3.00% p.a. onwards||Zero Balance Savings Account|
|State Bank of India Savings Account||2.70% p.a.||Nil|
|Standard Chartered Bank Digital Savings Account||2.75% p.a. onwards||Rs.2 lakh|
|IDFC Bank Savings Account||3.00% p.a. to 5.00% p.a.||Rs.10,000|
|IndusInd Bank Savings Account||4.00% p.a. onwards||Rs.1,00,000|
|Yes Bank Savings Account||4.00% p.a. to 5.00% p.a.||Rs.10,000|
Types of Saving Account
Regular Savings Account
- These are opened on basic terms and conditions.
- The regular savings accounts do not see regular deposits of consistent amounts, and and are the equivalent of a safe house where money is kept for safekeeping.
Salary-based Savings Account
- These accounts are opened by banks at the request of companies that require a platform for payment disbursal.
- Banks offer preferential rates and terms for these kinds of accounts. When the date of payment disbursal arrives, the bank withdraws money from the company account and disburses the money.
- One must note that almost most salary accounts will not have a minimum balance requirement.
- If salary is not credited for 3 consecutive months, the accounts will be converted into a regular savings account.
Senior Citizens Savings Accounts
- The accounts function in the very same way as regular savings accounts, but it offers much higher rates of interest and banking privileges for senior citizens.
- These accounts will be linked to other senior citizen savings schemes for remitting the funds from their retirement accounts or pension funds, and consolidating all the funds under one single bank account.
Minors’ Savings Accounts
- These accounts do not have a minimum balance requirement. A minor’s saving account has been curated for educating children about banking facilities and savings accounts.
- This kind of account can be opened and operated under the supervision of the legal guardian until the child reaches 10 years old.
- After turning 10 years old, the child is allowed to operate the account on their own.
- Once the child turns 18 years old, the account will be converted into a regular savings account.
Zero Balance Savings Account
- This account merges the features of a savings account and a current account.
- While there are limits on withdrawal amounts, you will not charge penalties if the balance falls below the prescribed minimum.
Women’s Savings Account
- These kinds of accounts come with special features to benefit the account holder.
- These benefits include discounts on certain purchases, low interest rates on loans, and a waiver on demat account charges.
Savings Account Interest Rate from Top Banks
|Canara Bank||2.90% p.a. to 3.50% p.a.|
|IndusInd Bank||4.00% p.a. onwards|
|South Indian Bank||2.35% p.a. to 4.50% p.a.|
|Citi Bank||2.50% p.a.|
|YES Bank||4.00% p.a. 5.00% p.a.|
|Bank of India||2.90% p.a.|
Eligibility Requirements for Opening a Savings Account
The Savings Account eligibility criteria can be different for different banks. The common criteria are as follows:
- A Savings Account can be opened both singly and jointly by Indian residents above the age of 18 years.
- Foreign nationals and Hindu Undivided Family are eligible to open a Savings Account.
- Minors can open a Savings Account with their parents/guardian.
Documents to be Submitted for Opening a Savings Account
|Proof of age and identity||PAN, Voter ID, Passport, and Driving license|
|Photographs||At least 2 passport-sized photographs|
|Proof of address||Driving license, Voter’s ID, Passport, Utility bill|
|Senior Citizen Card||Document with proof of their age. A senior citizen card is issued by the Social Welfare Department and is the document that is most preferred as proof.|
Features and Benefits of Savings Account
- A savings bank account is a safe place to store surplus funds.
- The balance in a savings account earns interest.
- Savings Account Interest rates on savings account can range from 3.5% to 7% p.a.
- Easy access to internet banking and mobile banking
- Banks usually offer discounts on the locker rental facilities for customers who maintain the minimum quarterly balance.
- Most banks also provide savings account holders with various insurance covers including personal accidents and death.
- You can use ATMs all across India with your debit card
Open your Online Savings Account with BankBazaar
Here’s how you can apply for a savings account through bankbazaar.com:
- Log on to www.bankbazaar.com
- Select 'Investments'
- Choose 'Savings Account'
- Enter required details
- The BankBazaar tool will compute all your information and give you a list of best savings accounts
- Choose the account which you think is best for you
Visiting the Bank and Opening a Savings Account
The steps to open a Savings Account offline are as follows:
- Make sure to visit the bank with all the required KYC documents. Carry your original documents as well as the copies of the same.
- Once you reach the bank, go to the designated counter and request the account opening form. You have to go through the entire form and fill it up with all the details. Make sure to recheck all details correctly.
- Submit this form along with the copies of your documents.
- The officer at the bank will then give in your application for processing and verification.
What is the Cash Withdrawal Limit & Cash Transaction Limit for Savings Accounts
Mentioned below are the Cash Withdrawal Limits & Cash Transaction Limit of some well-known banks in India:
|Bank Name||Cash Withdrawal Limit*||Cash Transaction Limit*|
|RBL Bank||Rs.50,000 to Rs.1.5 lakh||Rs.10,000 to Rs.3 lakh|
|Yes Bank||Rs.25,000 to Rs.1 lakh||Rs.1 lakh to Rs.3 lakh|
|Kotak Mahindra Bank||Rs.40,000 to Rs.2.5 lakh||Rs.50,000 to Rs.4.5 lakh|
|Lakshmi Vilas Bank||Rs.10,000 to Rs.1 lakh||-|
|IndusInd Bank||Rs. 50,000 to Rs.5 lakh||Rs.50,000 to Rs.10 lakh|
|HDFC Bank||Rs.25,000 to Rs.1 lakh||Rs.2.75 lakh to Rs.3.5 lakh|
|Axis Bank||Rs.40,000 to Rs.3 lakh||Rs.1 lakh to Rs.6 lakh|
Savings Account with the Post Office
- A Post Office Saving Account is an Account which can be opened at a post office.
- While a bank may not have branches in every city, post offices are generally present even in the most remote of cities located in the regions that are usually not easy to access.
- A Post Office Savings Account can be opened by an adult individual who is of Indian nationality.
- Minors above the age of 10 years can also open this account, or have a guardian open such an account on their behalf.
Charges for Opening and Using Savings Account for Top Banks
HDFC Bank Savings Account
HDFC bank savings account offers a wide range of savings account schemes which have unique features and privileges, that can be availed in a quick and convenient manner.
- AMB Requirement Rs.10,000 for Metro and urban
- AMB Requirement Rs.5,000 for semi urban
|AMB Slabs||Metro & Urban||Semi Urban|
|Rs.7,500 to < Rs.10,000||Rs.150||NA|
|Rs.5,000 to < Rs.7,500||Rs.300||NA|
|Rs.2,500 to < Rs.5,000||Rs.450||Rs.150|
|Rs.0 to < Rs.2,500||Rs.600||Rs.300|
Axis Bank Savings Account
Axis bank savings account offers a vast variety of savings accounts to customers along with personalized services and attractive benefits.
|Rs.10 for every Rs.100 shortfall in required balance or Rs.600,(whichever is lower)||Rs.10 for every Rs.100 deficit or Rs.500 (whichever is lower)||Rs.10 for every Rs.100 deficit or Rs.300 (whichever is lower)||Rs.10 for every Rs.100 deficit or Rs.250 (whichever is lower)|
Kotak Mahindra Bank Savings Account
The Kotak Mahindra Bank savings account that is offered by Kotak Mahindra Bank is very popular and comes with a variety of options.
SBI Bank Savings Account
The most attractive features are that the SBI Bank savings account does not require a minimum balance and provides ATM/Debit card, net banking and mobile banking facilities.
Debit Card Transaction charges
With yourDebit Card, use ATMs all across India and swipe to make purchases.
|Bank||Annual Debit Card Maintenance charges||Cash withdrawal|
|HDFC Bank||Rs.150||Rs.20 + taxes|
|Kotak Mahindra Bank||NA||NA|
Frequently Asked Questions (FAQs)
What is the meaning of Average Monthly Balance requirement?
The balance that must be maintained over the course of the month is the average monthly balance. Certain banks offer savings accounts where the Average Monthly Balance can be zero.
Can I access the savings account if I am travelling to a different city or state within India?
Yes, you can access the savings account if you are travelling to a different state or city within India. You can access the account via Phone Banking, Internet Banking, or visiting the ATM.
Is it possible to have any number of Basic Savings Bank Deposit Account in a particular bank?
No, you can have only one Basic Savings Bank Deposit Account in a bank.
Is it possible to withdraw money in another city where I do not have a savings account?
Yes, you can withdraw money by visiting any ATM within the country or outside the country. However, depending on the ATM, a transaction fee may be applicable.
What are the different savings account services that I can access via net banking?
Depending on the bank, the savings account services that are available via net banking may vary. Some of the main services that can be availed via net banking are mentioned below:
- Viewing details of the savings account
- Stopping payment instructions
- Transferring money to a third-party account
- Shopping online
- Requesting for the account statement
- Opening an FD and linking it to the savings account
- Making payments
Under a BSBDA, are there any charges levied to issue a passbook?
No, the passbook is issued free of cost under a BSBDA.
What are the various savings account services available via Phone Banking?
The different savings account services that are available via Phone Banking are mentioned below:
- Balance enquiry
- Previous transactions
- Cheque status
- Balance that was available on a particular date
- Statement request
- Request for a cheque book
What are the eligibility criteria to open a savings account?
Depending on the bank, the eligibility criteria to open a savings account may vary. Given below are the individuals who can open a savings account at Kotak Mahindra Bank:
- Foreign nationals who are residing in India
- Hindu Undivided Families
- Resident Indians
What are the different nomination facilities under a savings account?
The different nomination facilities are mentioned below:
- Bank deposits
- Only one nominee can be added for a sole account or a joint account
- An individual who is operating the account on behalf of a minor can add a nominee
- The required form must be filled in to add the nominee
Savings Account Popular Pages
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