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Are you aware of these 4 saving account categories?

Earning an income, or multiple incomes aren’t sufficient today. You now also need to invest your funds appropriately to make the most of your earnings. Today, the best way to invest your earnings is by investing it in a bank account, namely the savings account. But what does this account offer over the other bank accounts?

For one, you will earn a return on the investment you provide. This rate is normally higher than the rate of inflation, in order to keep the appropriate value of your financial investments stable throughout the years. Additionally, the latest online saving account opening offers features that offer quick links to various facilities such as pay bills or quick transactions just by logging into your account online. Furthermore, they offer an excellent amount regarding the liquidity of funds.

As you can see, the saving account offers the ideal investment tool for all your earning. But to fully utilise your income, especially if you are looking for a higher returns or benefits, you will need to invest in the right saving account category. These categories offer different features and benefits, for different segments of the earning individuals. Some of the popular categories offered by the bank include:
Regular savings account: This account reflects the banks most basic terms and conditions. In this case, this account does not see regular deposits or consistent amounts or regular withdrawals. Normally, it can be used as a safe wherein which, the account holder can use to whenever required.

Salary based savings account: Normally large companies opt for this form of a savings account as it offers the ideal solution for large disbursals. Furthermore, banks offer companies preferential rates and specific terms for these types of accounts. It would be individually handled by each of the latter’s employees. When the salary disbursal date approached, banks will withdraw funds from the company’s account and disburse the required amount, within the salary based savings account, allotted to the employees. However, a consistent amount of deposit must be maintained, else, within three months of the stop of crediting, the accounts will be changed to a regular savings account.

Senior Citizens savings account: This account is specifically designed to meet the requirements and offer benefits for individuals in the senior citizen categories. They function similarly to the regular account. Hence there is no requirement for another online saving account opening when an existing account can be easily converted into a senior citizens account.  However, they offer a higher interest rate along with custom benefits. Furthermore, these accounts can be linked with other senior citizen schemes, such as retirement’s investments, or pension fund deposits. Thus all the funds can be consolidated in one single bank account.

Saving accounts for children and minors: This account functions in the same basic way as a regular savings account. This account offers the ideal situation to encourage the younger generation to invest their savings, giving them a higher sense of financial responsibility. Normally, a joint account holder, such as a parent or guardian will supervise the usage.

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