Businessmen as well as any individual can deposit money and withdraw money at
any time from these accounts. The banks pay an interest at a certain rate for these
accounts. Savings accounts can be opened individually or jointly by few individuals.
Today, commercial banks have introduced different specialized savings accounts
under different names other than the normal savings accounts.
Opening a savings account would provide various advantages for both businessmen
and individuals. Given below are such advantages.
# Receiving security for money.
# Earning an interest income.
# Ability to deposit or withdraw money at any time.
# Ability to withdraw money in an emergency.
# Ability to transact via automated teller machines.
# Ability to pay using debit cards.
Opening a savings account
The process of opening a savings account is simple. In order to open a savings
account it is required to submit, a duly completed savings account mandate of the
bank, deposit slip, Know Your Customer (KYC) form and the tax declaration form
along with the national identity card. In addition, it requires to deposit the minimum
amount recommended by the bank or any amount greater than that. When all these
requirements are fulfilled, the bank issues a pass book for the savings account
holder. Deposits, withdrawals and the balance are recorded in this pass book.
