Savings account is a banking service provided by the bank to its customers so that the user can deposit their monthly savings and can earn interest. But there are two types of savings account provided by the bank one a regular savings account and the other is a 0 balance savings account. You must be thinking that both are savings account so what’s the difference, the difference is that in a 0 balance account you don’t require to maintain a minimum balance. On the other hand, regular savings accounts require a minimum balance. Read this article to know the benefits of a zero balance savings account.
Features of the 0 balance savings account
When you open a zero balance account then you can get the below-mentioned benefits:
ATM or Debit Card: You can use your debit card to make maximum up to 4 cash withdrawals in a month and also can use it for online transactions. There are no additional charges on your ATM or debit card usage.
Free Passbook and Insurance coverage: The bank also provides a free passbook to the 0 balance savings account holder. And you can also take an accident insurance cover pf INR 1 lakh under Pradhan Mantri Jan Dhan Yojana (PMJDY).
Online banking service: With the online banking service you can track your account activities and shop easily through online payment service. Even, you can apply for a debit or credit card using the bank online service.
Zero balance facility: The most attractive feature of a 0 balance savings account is its zero maintenance charges and no minimum balance requirement. Because the user gets the benefit of an easily maintained account and can use it even if there is zero balance in the account.
How to Open a 0 balance savings account?
You can open a zero balance account easily by using the banks online banking services, some of the banks that offer you an attractive rate of interest on your zero balance account are:
Kotak Mahindra Bank: Kotak provides you an interest rate of 5% on your deposited amount at zero maintenance charges. You can apply for a 0 balance savings account easily by just visiting the Kotka official website or through its mobile app.
HDFC Bank: With effortless banking services of HDFC Bank, you can apply for the 0 balance account and can get an interest rate of 3.5% to 4% on your savings. It gives you the option to convert your debit card into an international card.
Above mentioned banks provide you the facility of zero balance account by submitting your KYC, PAN or Aadhar details you can instantly create your 0 balance savings account. However, you can only open a zero balance account in your bank if you close the existing regular savings account. So, a zero balance account can provide you several benefits in comparison to a regular savings account. It is important to note that you can’t convert your regular account into a zero balance account. Make your savings more comfortable with a 0 balance savings account.