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After starting your day, you have to meet a wide array of personal and professional responsibilities. Dropping your children to school, meeting deadlines at the office, on-site visits and meetings with clients, shopping for groceries while returning from work, and so on. The list of completing things within a day can be endless, thus leaving you with little or no time to make a physical branch visit to the bank to access your savings account. But, with the advent of the internet, banks have adopted digitalization measures, which in turn, allows for hassle-free and convenient banking transactions. One such measure is the facility of online savings accounts. While a majority of the country’s population has an offline savings account, recently there has been a sharp increase in the individuals opting to open online savings accounts. Needless to say, there are multiple benefits of opening an online savings account.

Have a look at the benefits of online savings account:

1. Ease of opening:

Online savings accounts provide for increased convenience, like ease of opening the account. While earlier opening an offline savings account required repeated physical branch visits along with cumbersome paperwork, now you can open an online savings account effortlessly. With the digital transformation in the country, you can now open an online savings account through your smartphone in just a few minutes. After visiting the bank’s web portal, you just need to fill-in the Aadhaar & PAN details, Personal details and Voila! your account is opened! Here, it becomes important to know about the documents required for opening an online savings account:

  • Proof of Identity: PAN Card
  • Proof of residence: Aadhaar Card

Higher interest rates: While offline savings accounts provide for an extremely moderate rate of interest, ranging from 2.75% to 4% per annum, the online accounts provide comparatively higher interest rates. You can receive annual interest rates ranging between 5% and 7% on online savings accounts. At times, interest rates can also change as per the amount of money in your savings account. So, it is always advisable to have a clear picture of the interest rates being offered, before opening an online savings account.

2. Lower fees:

One of the major advantages of opening an online savings account is lower fees. While offline accounts can charge you with account opening fees along with the stipulation of maintaining a minimum balance, many of the digital savings accounts have zero requirement for maintaining a minimal balance. What’s more, you can open an account without any account opening charges and with zero hidden fees. The transparent and minimal fee structure have made online savings accounts popular in the country.

3. Easy access to funds:

A primary benefit of opening an online savings account is that it allows easy and convenient access to your hard-earned money. Be it a sudden medical emergency, an unfortunate accident or any unforeseen expenditure, you can rely upon the funds in your digital savings account. These apart, you can also meet your regular planned expenditure through your online savings account. The online account is easily accessible either through your laptop, tablet or smartphone. With portable devices, such as a smartphone, you can not only access your savings account online, while on-the-go, but also choose to make banking transactions such as transfer of funds through IMPS or NEFT services. Banks provide you with a debit cum ATM card with the account, and you can use it to withdraw money round-the-clock. You can also use it both for online and offline shopping.

4. Automatic bill payments:

Are you constantly setting reminders for making the last-minute bill payment? Now fret not! For, through the auto-debit facility available via net banking in your online savings account, you can choose to pay your multiple bills in a hassle-free manner. Bill payment at the right time will ensure that you don’t have to pay any late payment fine. Besides, the transactions are secure and digitally registered.

5. Get access to the best deals:

Once you open an online savings account, you can get access to a wide array of offers such as cash-backs as a welcome bonus, higher fixed deposit rates, rewards, discounts, free subscriptions on OTT platforms, and so on.

Conclusion: An online savings account is among the keystones for better management of your personal finances. Opting for a digital savings account can provide you with a range of benefits, like better interest rates, easy access to funds, automated bill payments, banking while on-the-go, and so on. It is always advisable to choose a trusted and reliable banking partner for opening the best online savings account.

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