So, today we will be discussing the bank accounts, which one to choose, meanwhile the Difference between Savings Account & Current Account. We will be detailing you out the complete things and the difference, mostly an individual got confuses which one to choose, either saving or current account. After reading out this article, you will be getting a clear idea, which account will be benefited for you. The savings account & current account are the two different types of accounts, whose facility is available in every bank.
Information About Saving Account
This type of account is created by an individual, for the multiple uses such as, to get a salary, to save his/her money in the bank, or to deposit the money in the bank. Mostly this is preferred to deposit the money, into the bank. Some of the terms and condition of saving bank account are as given below.
Terms & Conditions of Savings Account
- Minimum Balance: The minimum balance to be maintained in this account is starts from around Rs.500/- to Rs 2,000/-. This is the balance, which is to be compulsory maintained by an individual, in order to make his/her account active. Although it varies from bank to bank. Zero balance facility may also be provided by some banks.
- Transactions: The saving account holder is having limited transactions. In a day, they can withdraw up to 45,000 – 1 lakh or the other amount as per the bank. The amount varies from bank to bank.
- Over Draft: Here the customer can only withdraw, what is available in his/her account not more than that.
- Other Facility: The customer is provided with the debit card, checkbook to withdraw the amount & to do other transactions.
Information About Current Account
This type of account is created by an individual, for the business. Because in business, the transactions are not limited, and always there is an urgent requirement of money. So, if you are a business holder, based on your income, you have huge transactions than, we suggest you go for the current account.
Terms & Conditions of Current Account
- Minimum Balance: The minimum balance to be maintained, in this account is Rs 25,000-30,000. This is a huge amount to be maintained. At the same time, there are been many benefits, of the current account, and please note that the minimum account balance (MAB) may vary from bank to bank.
- Transactions: The current account holder is having no minimum transactions. They can withdraw a number of times. This is the major advantage of the current a/c – As in the business, the sometimes large amount is required. So, at that moment, if even we are saving money, but the account is saving the account, you can’t withdraw, but if you have a current account you can withdraw easily.
- Over Draft: The overdraft facility is only available in a current bank account. Overdraft means, you can with extra money, from the bank apart from your money in your account, for a limited time, which you have to give back to bank again. The overdraft money varies, from bank to bank. So contact your bank to know much more about it. If this attracts interest then you must avoid it.
- Another facility: The account is provided with the debit card, cheque book to withdraw the amount & to do other transactions.
We believe that now you have got a clear idea, about which account you need to open either Saving or Current Account. If you have any queries feel free to comment in the comment section. Our team will react out you soon.