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Everyone is familiar with a bank account. A bank account is mandatory if a person wants to do any online transactions. Now it is very easy to open a bank account than before. Banks not only keep our money safe but we also earn interest income on our money kept in the bank account.
The biggest benefit of a bank account is that your money is safe and it can’t be stolen or lost. It is you who only can use the money kept in your bank account.
How to Open a Bank Account?
Which type of Bank Account you want to open?
Banks offer facilities to open various types of account. A person can open minimum balance saving account, zero balance saving account, current account, fixed deposit, recurring deposit etc. You have to make the decision which type of account you want to open.
Choose the bank which is best suitable for you
Once you decide which bank accounts you need to open, then you have to choose which bank is best suitable for you. There are many banks in India and selecting the best suitable bank for you is a little bit difficult.
The services offered by banks to their customers differ from one bank to another. Some banks offer a higher interest rate on the deposits while some banks charge minimum fees.
In addition to that, there is a requirement to keep a minimum balance in your saving account. The minimum balance requirement of banks range from Rs 1,000/- to Rs 10,000/-
So, you are advised to check all the information about the bank and choose that bank which is most suitable to you. You can also visit the nearest bank branch and collect all the relevant information from bank executives.
Ask the important question before opening your account
After finalising your bank account, collect all the relevant information from bank executives. Many time people don’t collect the relevant information from the bank before opening the account. Not collecting all the relevant information may result in higher bank charges.
Few are the information you need to collect before opening the account:
• Is there any Minimum Balance Requirement and if yes, then how much is the minimum balance requirement
• If a deposit holder fails to maintain the minimum balance, then how much bank deduct from his account
• Is there any limit of ATM transactions and if deposit holders cross the limit then how much bank charge for it
• Monthly fees or annual fees for maintaining the account
• If you have any other doubt then you must ask them.
Supply necessary information to banks to create your banks
Banks demands few information and documents before opening a bank account. The requirement of documents varies from one bank to another.
These are the few documents which every bank wants from you:
• Identity Proof: – Government-issued ID like Passport, Driving licence, Voter’s ID card, etc.
• Address Proof: – Passport, Driving License, Voter’s ID card, etc.
• PAN Card
• Latest Passport size photographs
Banks executives verify your documents
After you submitted your documents, bank executives verify them. They check all the documents and the forms you submitted are complete and correct or not. If they satisfied with all the documents and information you provided to the bank, they will open your account.
Deposit initial amount in your new bank account
After your bank account is opened, you need to deposit the initial amount in your account. After depositing the initial amount, the bank provides passbook, debit card, cheque books etc.
Keep the entire account document secure
After your account is opened, your bank provides you with various documents which contain important information. Banks also provide your passbook, cheque book, debit cards etc.
You need to keep them in a safe place where no one can access your documents. In case if your any document is missing or you think that it falls in the wrong hand, then you must inform to your bank branch and request them to freeze your account.
Frequently Asked Questions
The minimum requirement of money to open a bank account varies from one bank to another. Some bank requires a minimum balance of Rs 1,000/- while many banks especially Private Banks require a minimum balance of Rs 10,000/-.
In addition to that, the minimum requirement also depends on which type of bank account you want to open. In case of zero balance saving account, there is no need to deposit any initial amount for opening an account. While minimum balance is required to be maintained in minimum balance saving account.
Most of the banks provide an online application to open a bank account. So, any person can open a bank account online without visiting the bank branch. Once you submit all the relevant details, the bank verifies the same. If the bank is satisfied with all the information, they will send a welcome kit to your email.
If you are applying online then processing your application may take 3-5 days. But if you visit your bank branch and fill the bank account opening form then it the approval process is fast. Your application and documents are instantly checked by the bank executives. And if they are satisfied by all the documents then your account will be opened within a few hours.
There are several types of accounts. Every bank wants that their customer open various accounts like saving account, recurring deposit, fixed deposit etc. in their bank. There is no problem if you open a different account in the same bank but different branch.
There are several types of accounts. Every bank wants that their customer open various accounts like saving account, recurring deposit, fixed deposit etc. in their bank. There is no problem if you open a different account in the same bank branch.
The minimum age to open a bank account is 18 years. However, if you are under 18 your parents or legal guardian have to sign all the documents they are responsible for all the bank transactions.
Banks demands few information and documents before opening a bank account. The requirement of documents varies from one bank to another. And the identity card is one of the most essential documents which a bank requires to check the identity of the person opening the account. So, you can’t open a bank account without an Identity card.