Types of Savings Bank Account

A savings account is the best provision by the bank. They not only keep our money safe but pay us interest as well. Everyone should have at least one savings bank account.

Many banks offer various discounts and benefits on your purchases, too, if you open a savings account with them. The Saving account may not have a very high-interest rate, but it is very reliable, and there is no risk money loss. Hence, it is an excellent option to park your money.

Types of Saving Account

Coming to the different types of savings account, you can open a savings account of these categories:

Regular Savings Account

These are the basic savings account that has basic terms and conditions. The regular savings accounts are best for keeping your money safe.

Senior Citizens Savings Accounts

As the name says, this account is created especially for the senior citizens, with specific functionality and benefits. The senior citizen savings account is just like regular savings accounts, but it offers a higher interest rates as compared to the regular savings account. There are certain banking privileges offered too for senior citizens.

You may link this online savings account to other senior citizen savings schemes such as retirement accounts funds, etc. so that all the funds work under the same bank roof.

Salary-based Savings Account

Salary-based Savings Accounts are the accounts that are generally opened by the companies as a platform of payment disbursal to their employees. The salaried individuals receive their salary in these accounts. Many banks offer preferential rates for these accounts. When the payment date arrives, the bank withdraws money from the company account and posts the money on the salary account of the employees.

Most of the salary accounts do not have a minimum balance requirement. If the salary does not credit for continuous three months, then this account gets converted into a regular savings account.

Minors’ Savings Accounts

Minors’ Savings Accounts do not have a minimum balance requirement. This account is made for child education benefits. You can open this account and operate under your supervision as a legal guardian until the child is ten years old. After that, the child can operate the account as per his wishes. When the child is 18 years old, this account gets converted to a regular savings account.

Women’s Savings Account

Women’s Savings Account is curated to offer unique features and benefits to women account holders such as discounts on individual purchases, low-interest rates on loans, a waiver on Demat account charges, etc.

Zero Balance Savings Account This account is the best account as there is no requirement of balance maintenance. Zero Balance Savings Account does not charge penalties if the balance falls very low. However, it may have limits on withdrawal amounts.