Banks and financial institutions in the country have introduced zero-balance accounts to extend banking services to more number of customers. This type of Account promotes financial inclusivity for everyone, making banking benefits accessible to a larger target audience.
A zero-balance Savings Account allows you to secure your funds and grow them with the applicable savings account interest rate.
What is a Zero Balance Account?
Before planning to invest your time to complete a zero-balance account opening online or offline process, understanding what this account category means is necessary.
A zero-balance account is a savings account category that allows individuals to enjoy the key benefit of a savings account interest rate along with no minimum balance requirements.
A general savings account has a minimum balance requirement. That means the account holder should maintain a minimum account balance. This balance differs for different banks, varied account categories, and the location of the bank branch (rural areas might have a lower balance requirement).
However, on opening a zero-balance account online or offline, you will still get the same benefits of a savings account even if your account has zero deposits.
Key benefits of a Zero Balance Account
Easy to Open an Account
With the zero-balance account opening online facility, you can now quickly complete the process from the convenience of your home in a few quick steps, even in rural areas.
To apply for a zero-balance account online, you need to have a valid copy of your PAN card, a mobile number linked to your UID card, and a camera to complete your KYC verification.
Just go to the bank’s website, fill out the application form and upload the necessary documents to get your application ready.
No minimum balance requirement
One of the most significant benefits of a zero-balance account is the zero minimum balance requirement.
The account holders can deposit and withdraw as needed without the stress of money deductions due to insufficient funds.
It is thus an excellent option for everyone who does not have a direct or continuous source of income to save their funds.
Online banking benefits
Similar to a savings account, a zero-balance account also allows you to enjoy numerous banking perks and privileges.
When you choose a zero-balance account opening online process, you get to benefit from online banking advantages.
This includes debit card facilities, online banking freedom, and ATM withdrawals, ensuring you have a seamless and hassle-free experience with the account.
Better savings
Along with improved fund management, a zero-balance savings account also compensates the user with a beneficial savings account interest rate to help them grow their fund value.
This increases the financial freedom of the individual without burdening them to deposit money regularly to maintain a said balance in their account.
Moreover, it encourages people to avail of banking services and make informed financial decisions for their well-being and liquidity, increasing financial literacy.
Conclusion
Today, the need of the hour is to educate people about the numerous benefits of investing and saving their money for a better future.
With a zero-balance account, the barrier between people with infrequent income sources and the banking industry is broken.
The zero-balance account facility bridges the gap to promote inclusivity for everyone and to allow all individuals to take better control of their finances to meet their financial needs and goals in the future.
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