Savings accounts not so simple

        I remember some few years back ,one of leading bank had pioneered the concept of home based savings account opening with a simple utility of a tab. No need to send any physical form or photo, the relationship manager  captures all details on his device and only asks for a photo identity proof. Boom you have opened a new savings account. Along with it he hands you an account opening kit containing rules, charges and a default debit card (although not personalised) and it's security pin.

        So simple that it seems opening an account , we slowly realise that we have dug a hole for uncounted charges and fees. These days banks tempt us with variety of savings account designed in a way to suit our needs. Some of the popular types are:

1. No frills savings account
2. Senior citizens accounts
3. Women special account
4. Kids advantage account
5. Zero balance account

        The main purpose of any savings account is to compliment hard cash in hand. However at times, the minimum required balance forces us to limit our usage . Hence, in this article we would like to draw your attention to few pointers which may help you decide banking with appropriate bank.

Check on charges - for every additional demand for a cheque book , replacement of card or interest statement could mean an additional charge to be levied. Also, at times, the Neft charges are huge to make a regular transfer among your various accounts. In case, if you transact more than 15 time at the local branch in a month (in most of banks ) it is subject to charge. These charges are mostly true to a simple savings account or mostly in private banks. Incase of privilege banking or HNI account these charges could be waived off.

Check on Average Balance Requirement - in case if there is high balance requirement, opening a savings account is not helpful especially if it's a salary account with all EMI and payments linked to it.

Check on automated payment option - although now mostly all bank have  introduced ECS payment for utility and other regular bills,it is no harm to understand if it is free or chargeable.

Check on technology support - it is necessary to see if you can transact your basic needs beyond local branch from your computer,mobile or phone. If there is an app designed it should have the required  security facilities. Even if the bank boosts of good deals on online marketplace it always better to compare it on ur own.

Thus we understand that owning a savings account is not a momentary decision buy requires a lot of plan to it. Its not like a sub sandwich, made of limited options.