There are numerous banks that help you open a savings account. This is the most common financial account type suitable for people. However, there are certain factors you must consider for selecting the best saving account to begin your financial transaction with safety.
Here are the top features you must look for while opening your savings account.
Interest Rates Allowed by the Bank
This is one of the primary factors for selecting the best saving account. The RBI deregulated the regimen for the interest rate in 2011, which led to banks deciding their interest rates. Therefore, the saving account interest rate of different banks ranges between 4% to 6.25% P.A. However, some banks offer an even higher interest rate if the account holder manages a high balance saving account.
Therefore, you must check the saving account interest rate with a bank and understand the conditions of keeping a high balance in the account before opting to open a savings account.
Minimum Balance Requirement
The minimum balance required by a bank is another crucial factor that needs special consideration apart from the saving account interest rate. Generally, most banks charge a fine if their account holders maintain a balance lower than the minimum requirement. Therefore, while searching for the best saving account, select the bank you will be able to maintain the minimum balance requirement.
Debit Card and Other Offers
Generally, most banks provide a set of freebies when you open a savings account. These include a debit card, chequebook, supplementary cards, discounts on shopping, etc. Although some of these offers may be meaningful to you, some might be unnecessary. Therefore, you must carefully evaluate these freebies before selecting the best saving account to meet your financial purposes.
Service and Transaction Charges
Before you open a savings account, attentively look at the charges levied by the bank on various services and transactions. Although you may choose to ignore the fee applicable for the features that you use rarely, you must look for the charges taken on international transactions, a cap on swiping the ATM cards in a month, and the maximum number of free online transactions, etc. If you are okay with the service charges taken by a bank, you can proceed to open a savings account.
Timing of the Banking Services
Presently most banks offer the facility of internet banking to their customers because of great flexibility in the transaction. However, their user experience differs a lot. While some provide great internet service, others need to upgrade their technology. Therefore, while selecting a bank for the best saving account, consider searching for customer feedback and go with the banks that provide excellent experience and service to its customer.
ATM and Branch Density
Today most financial transactions take place through the internet. However, for some transactions, you still need to depend on cash and the bank. Therefore, to select the best saving account, it is crucial that you open your savings account with a bank that has a dense ATM to withdraw cash and a good network of branches at convenient spots to meet your banking needs.
People count on the best saving account to securely keep their hard-earned money. The online and on-site staff members and customer care executives help its customers with a product or service. Therefore, you must figure out whether the customer service of a bank is efficient enough to offer support in needful situations.
Opening a savings account means trusting a bank with all the monetary matters. It is therefore vital to choose the right bank and best saving account interest rate to continue a smooth and stress-free financial journey.