A Step wise Guide to Opening Savings Account
Having a good saving practice is key to financial well-being. Alas, there are times when we lack the necessary reserve. When you have a specific amount kept aside for emergency needs, you will be able to manage your finances well. It can help you secure a better financial future.
Usually, a person realizes the importance of having substantial long-term savings during times of need. One quick way to build a corpus for an emergency is to open a savings account. The savings account offers excellent interest rates, zero monthly service fees and low or no requirements for a minimum balance.
Here is your step by step guide to opening a savings account.
1Select How to Open Savings Account
You may choose to apply online, using your smartphone or in person, depending on the bank you have selected. The online process usually takes a few minutes to complete the entire application submission.
2Gather Your Documents
Keep your identification documents handy such as Aadhaar, PAN card, or driving license. Enter your correct details as per your government-issued identification documents. Make sure you recheck the information entered before proceeding.
3Provide Personal Details
Enter your personal details such as contact information, your first and last name, permanent address — typically based in India — and telephone number. Fill other required details to open savings account. Enter your current email address and correct birth date.
4Select a Single or Joint Account
Let the bank know whether you want to open savings account for yourself or a joint account. If you want to open a joint account, fill additional information to confirm the identification details for your partner.
5Accept the Terms and Conditions
Ensure to read the disclosure document containing the terms and conditions. It describes fees, liabilities, and the calculation of the interest along with other details. It is imperative to know all such information so that you do not face any challenges in the future. Click on the accept button and move forward.
6Select Your Deposit Amount
When you open a savings account online or by visiting a bank, you have to deposit some amount to start its operations. However, a zero balance savings account does not require any deposit. You can deposit this amount through online payment, by cash or cheque. Some banks may also need you to do a wire transfer check or schedule it to a specific period.
Most banks require a minimum amount to open a savings account, often ranging from INR 1000 to 10000, except zero balance accounts. Even if you do not have to fund your account when you open it for the first time, it is better to deposit money sooner rather than later. This way, you will start earning interest early.
7Submit your application
If you apply online, you’ll probably get an acknowledgment within minutes, but it may take 2 to 5 business days for the bank to verify your information and officially open your savings account. Making savings deposits monthly will help you build a significant bank balance – which you can use during an emergency or for any other arising expenses.
When you open a savings account, it is planned in a certain way to cater to your banking needs from all walks of life. It is also imperative to open a savings account with a reliable bank like Axis bank to get better interest rates and other online and offline facilities. You can also make investments after you open a savings account. Check their page online or contact the customer service to find out more.