Current accounts are opened for normal businessmen, companies, and businesses in the bank. These accounts are of many types according to the convenience and level of businessmen. For example, premium current account, regular current account, Flexi current account, etc. Due to business, account holders deposit money in the bank several times a day and withdraw. You understand that in a business, whatever are the requirements related to money, those facilities are available. But there are some disadvantages as well as some advantages of having this current account. First, let's know about the advantages.
Advantages of the current account
- Overdraft facility is available in the current account. Overdraft means that you can withdraw more than the amount that is not in the account. Suppose a businessman told the bank that he needs one lakh rupees, but only 40,000 rupees in his account. But 90,000 rupees are also coming from him. So the bank will ask you to withdraw one lakh rupees from the check.
-There is no limit for transactions (deposit and withdrawal) in the account. Apart from this, there is also the facility of local check collection, free cash deposit, and the issue of demand draft on a large amount in the current account.
Savings accounts are open for small savings, such as fixed income. Student, House Maker, Pensioner and Senior Citizen, etc. This account is of two ways. Single and joint accounts. That is one account of one person or two people. You can open a savings account only in your own name or in the name of any other person with you.
You can open this account by paying Rs 1000 to Rs 5000. There are three ways to withdraw money from the account. By filling in the money withdrawal form, through ATM and check. Any transaction above Rs 10 lakh in this account is given to the Income Tax Department.
International debit cards, funds transfer from NEFT, safe deposit locker, sweep in the facility, mobile banking, bill payment, etc. are provided in a regular saving account.
In Savings Plus account, in addition to international debit cards in high-level savings accounts, special discounts are available for purchasing Personalized Check, Payable at Par checkbook, Intercity, and multi-city banking, Discounts on locker rentals, Gold bars, etc.
- You will get interested in the money deposited in the account. The annual interest rate on savings accounts varies across banks. Currently, SBI's interest rate is 3.4%. The average saving account interest rate of all banks is 4 percent.
- Facilities are available on this account also. Such as electricity bill, telephone bill, e-banking facility, etc. It all happens online. Through the internet.
With this account, you can fill house loan, personal loan, car loan with EMI (installment every month).
- Fund transfer (EFT) can also be done electronically from this account to another person's account.
- The facility of deposit locker, sweep-in facility, mobile banking, bill payment, etc. is provided.
In addition to the International Debit Card, special discounts are available for purchasing Personalized Checks, Payable at Par checkbooks, Intercity and Multi-city banking, Discounts on locker rentals, Gold bars, etc. in Savings Plus account and higher fixed-income accounts.
All the money you have in your account. Can not remove the whole. About 1000 rupees have to be left in it. You can withdraw the whole only when the account has to be closed. There will be a limit for the withdrawal of money in the month. It can range from two to five. For example, if your account has an average balance of Rs 25,000, you can withdraw money three times. One who has an average of 50,000 rupees in his account, can withdraw 5 times. Apart from this, the money will be deducted on withdrawing money.
PAN (Permanent Account Number) will have to be given on depositing Rs 50,000 or more. If the bank manager feels that you are accumulating more than you are not earning, then he can ask you where that much money came from.
No matter how much money is in the savings account. You will not get a loan based on them. As if you want to have Rs 50,000 in the account, but withdraw one lakh rupees. Then it will not be possible.
Zero balance account - Top banks in India, including State Bank of India (SBI), ICICI, HDFC Bank, and Axis Bank, offer zero balance saving accounts to their customers. A zero balance saving account does not require the customer to maintain a minimum balance in the account. SBI Basic Savings Bank Deposit (BSBD) Account, popularly known as Zero Balance Saving Account, is mainly for the economically weaker people of the society so that they charge for not being able to retain money in the account. Or save instead of paying fees.