Bank Accounts are used to ensure the safety of money along with having easy access to it. You can have interest on your deposits. Generally, banks could be categorized into 4 categories including private, public, foreign, and cooperative banks. You may choose the bank category as per your needs. Which type of bank would be ideal to choose depends on your requirements.
- Savings Account –
They are also called deposit accounts. They are meant to help consumers in the context of saving their money. You can open this account if you hold an Aadhaar card and PAN card.
These two things are important to kick off a bank account. There is no specific limit on what amount of money you can save in your account. You need to carry a mandatory amount in your savings account.
- Current Account –
They are also called the business account. And the motto of the current account is making possible the frequent transfer of money. These accounts are called the best ones to accomplish everyday business activities.
Talking about this account category, there is no upper limit to maintain an amount. It needs a higher minimum balance in comparison to the savings accounts. If you open a current account, you would not get any sort of interest on your current account at all.
- Salary Account –
When it comes to the Basics of Banking, the importance of a salary account cannot be ignored. Employees working in big corporations get their salary through this type of account. Big corporations want their employees to have a salary account and that is why they request their favorable bank to open a salary account for their employees.
There is no specific amount to the minimum amount to maintain in this account. It’s a zero balance account and employees hold the right to withdraw all their money whenever they want. You can convert this account to a savings account whenever you want accordingly.
- NRI Account –
You might have heard about NRI accounts several times. NRI as the term on its own says that it is supposed to be about the people who are not living in India. NRI accounts are run by people not living in India but who want to maintain a banking account in India. There are prominently 3 sorts of NRI accounts including NRO, NRE, and FCNR.
- RD Accounts –
These accounts are regarded as deposit accounts that want to get interested in their money indeed. These accounts are called the ideal way to make a higher income in comparison to those introduced by savings accounts. The minimum amount you need to maintain is 1K per month. Every bank has different guidelines indeed. The best thing about RD accounts is that they could easily be discontinued even if the tenure did not come to end without bothering about losing the earned interest.
- FD Accounts –
FD account is next on the list. This is called the safest way to save and make interest on an idle amount. The higher money you have in your account, the more interest you would be having. The best thing is that FD is regarded as a risk-free investment bringing high returns to you.
We hope that shared information has benefited you a lot. Now, you know which bank account category would be ideal for you. Choose the best bank category accordingly so that you could have the most indeed. The fact cannot be ignored that the Structure of Banking is quite interesting. All you need to understand is it thoroughly. The more you know it, the more it gets interesting. Your knowledge also increases accordingly. If you want to make your career in this field then you must be aware of this basic information.
Conclusion –
So, what are you waiting for? Get your account opened in the bank you find goes suitable to you.
