A Savings Account lets you securely park your money, ensuring its protection. You enjoy instant access to the deposited money through various means. This way, you have funds when needed. You earn a competitive interest rate on your Savings Account deposits. This keeps your money growing.
A Savings Account also provides access to a wide range of banking services, simplifying day-to-day banking. In a nutshell, opening a Savings Account is necessary and advantageous.
Savings Accounts are of different types. Zero Balance Savings Account is a popular type. The blog will cover everything there it to know about the account. From the account benefits to the procedure for Zero Balance Account opening online.
What is a Zero Balance Savings Account?
A Zero Balance Savings Account does not need minimum balance maintenance. Almost all types of Savings Accounts have a minimum balance requirement. A penalty applies to the non-maintenance of the balance. This made banking difficult for those unable or unwilling to maintain the balance. To ensure hassle-free banking, banks introduced the Zero Balance Savings Account.
Zero Balance Account opening online takes away the burden of the minimum balance maintenance. It ensures security and instant access to funds, anywhere anytime. It also extends exclusive banking services to meet banking needs.
What are the Benefits of a Zero-Balance Savings Account?
The following benefits make the Zero Balance Savings one of a kind:
- Promotes Financial Inclusion
As mentioned, the account does not need minimum balance maintenance. It allows individuals from the low-income category to open an account. It also caters to those with irregular income who want to open an account and bank. Furthermore, several banks have a low initial deposit requirement for account opening. These factors promote financial inclusion.
- Suitable for Learning Basics
A Savings Account is the first account many students and young professionals have. These individuals have both limited financial resources and banking understanding. A Zero Balance Account opening online is suitable for them. It enables them to learn banking basics without the pressure of balance maintenance.
- Incredible Flexibility
The Zero Balance Savings Account allows better liquidity of savings. This ensures that the account holders are not stressed while making transactions or withdrawals.
- Protection and Accessibility
Depositing money in the account ensures its safekeeping. Despite the deposit, the funds remain accessible without restrictions. There are several ways to access the Savings Account funds. This includes Debit Card withdrawals, online transactions, cheques, UPI transactions etc.
- Competitive Interest Earning
The Savings Account deposits attract a competitive interest rate. This way, the deposited money grows automatically.
The interest rate is applicable as per the bank’s standard norms and regulations. The bank calculates the interest rate on the daily account balance. They credit the accrued interest to the account every quarter.
Note: The Savings Account interest rate is subject to terms and conditions.
- Banking Services and Benefits
The Zero Balance Savings Account extends a host of banking services and benefits. Common services and benefits include – a globally accepted Debit Card, flexible account limits, Insurance coverage, and reward points.
Moreover, the internet and mobile banking facilities are key services the account offers. They bring the world of banking to the fingertips.
What is the Eligibility and Document Requirement for the Zero-Balance Account?
Fulfil the following eligibility and document requirements to open bank account online:
- You need to be an Indian resident.
- You need to provide original copies of your PAN and Aadhar Card.
- The PAN and Aadhar Cards should be linked.
Note: These are general eligibility requirements. Every bank has its specific requirements. Contact the bank’s customer service or refer to their website/app for the requirements.
How Do You Open a Zero-Balance Savings Account Online?
Open bank account online in four simple steps:
- Verify your identity by entering your PAN and Aadhar number.
- Provide your personal details in the account opening form.
- Fulfil the Know Your Customer (KYC) requirement via video calling.
- Deposit the initial funding amount in the account.
Note: You also have the option to open a joint Zero Balance Savings Account.
What Do You Need to Know About Zero-Balance Savings Account?
Note the following pointers before Zero Balance Account opening online.
- Plan charges – You must pay a basic charge for the Zero Balance Account. The bank will charge you the plan charges monthly or annually.
- Initial funding amount – You need to deposit an initial funding amount into an open bank account online. You make the initial funding using a Debit Card, online transfer, or UPI. You cannot use a Credit Card for this. Once the account is active, you can withdraw the initial funding amount.
- Account charges – You must pay the account fees and charges upfront. Taxes will apply to all charges as per the governing laws.
Summing It Up
The Zero Balance Savings Account does not need a minimum balance maintenance. This allows you to maintain a preferable amount in the account. You can make withdrawals and transactions from the account without worries. The account provides access to a bouquet of banking services and benefits. This elevates your banking experience.