The savings bank account teaches you the value of savings. It offers you features which are an incentive to save. Your savings bank account offers you a lot of facilities, besides just parking your money and earning 4-6% interest a year.
Why invest in a Savings Bank Account?
The word “Savings” in a savings bank account encourages you to save. You save your money for a rainy day.
If you maintain a high balance in your Savings Bank Account, you get a discount on locker fees on gold/valuables you store in the bank locker.
Many banks offer you a free accident insurance plan, if you maintain a Savings Bank Account with them.
Discount on gold coins
If you maintain a Savings Bank Account with a high balance, you get discounts on the gold coins you purchase with the bank.
Eligibility for Savings Bank Account
If you are a resident of India, you can open a Savings Bank Account. You can also open a Savings Bank Account in the name of your minor child.
Features of a Savings Bank Account
You get a locker discount
If you maintain an average quarterly balance of INR 50,000-INR 1, 00,000, your bank will give you a 10-25% discount for the locker fees on the gold or other valuables you deposit in your locker.
The Insurance benefit
Some banks offer a free accident policy if you have a Savings Bank Account with them. Your Savings Bank Account is no longer a zero balance account with an ATM card.
You can buy gold coins from your bank
If you have a Savings Bank Account with a sizeable amount say over INR 50,000-INR 1, 00,000 maintained quarterly, you may get a 3-5% discount on the gold coins you purchase from your bank.
Promotional offers and discounts
You have a lot of money lying in your Savings bank Account. You might be in for a pleasant surprise. You might just get a discount at your favorite eatery and on that awesome Doughnut they sell there.