A savings bank account is truly a necessity of every person in India. A savings bank account is normally opened by the salaried people or by the people with regular source of income. While a savings bank account is opened, there are facilities for students, senior citizens, retired people and senior citizens.
Savings bank accounts encourage savings in the common people and for this, the banks offer interest. In India, most of the private banks like Axis Bank, HDFC Bank and ANZ Grind lays Bank have kept Rs 5000 as the minimum balance for opening a Savings bank account. There are nationalized banks in India like State Bank of India, Bank of India and Canara Bank, which have kept Rs 1000 as the minimum balance for opening a savings bank account in their branches.
Other highlights of Savings Bank account
- The first and foremost advantage of Savings bank account is to help boost up savings in the people.
- You can deposit any kind of sum in the savings bank account any number of times. But if you deposit more than Rs 50,000 in your account in a single go, then you will be asked to furnish the details of your PAN card.
- You can make withdrawals as you like. But there are restrictions by banks about number of withdrawals and amount of money.
- The money can be withdrawn either by cheque or by filling a withdrawal slip.
- The banking industry gives 4 to 6 % interest on the deposits in Savings Bank accounts.
Documents required for opening savings bank accounts
The nationalized banks like State Bank of India, bank of India and Punjab national Bank need the following documents to open a Savings bank account. These documents have been made mandatory according to KYC (Know your customer) norms by the Reserve Bank of India.
List of documents needed by Nationalized banks to open Savings bank accounts
- Two passport sized photographs
- Copy of PAN card
- Proof of identity (List of documents)
Any one of the listed documents can be produced as the proof of Identity.
- Your Passport
- The Voter ID card
- Identity cards of defense personnel
- ID cards of Reputed employers
- Driving license
- Pensions pass book or order from the government or Public sector units (PSU).
- Students ID card recognized by Government of India and bona-fide educational institutions
- Any photo ID card issued by government post offices.
Proof of address
- Anyone in the list of documents given below can be your proof of address.
- Photo copy of the Electricity Bill
- Landline Telephone Bill (should not be older than 3 months)
- You can also provide xerox copy of the Bank account statement of your other banks
- Xerox copy of your Ration card
- A Letter from any recognized public authority
- Assessment letter from Income tax or sales tax department
Documents required by the Private Banks
Private Banks likes ICICI Bank, Axis Bank, Indus Ind bank and ANZ Grind lays Bank have their norms for submission of documents, while opening a savings bank account. The documents are as follows;
- 02 passport size of your recent photos
- Proof of residence
- Last page photo copy of Passport
- Photo copy of the driving license
- 1st page of gas connection document
- Xerox copy of the electricity bill
One of these documents will do as the proof of residence.