- Date : 09/05/2022
- Read: 4 mins
Know the prominent differences between the regular and digital savings bank accounts in this post with proper definitions and features.
Often, you get confused when it comes to saving money or while making an investment. This boils down to whether you should open a digital bank account or a regular one. However, as per the experts, there aren't many differences, and the similarities are overwhelming. In short, there is no harm in owning either of the two or better both of them. However, when it comes to personal finance, it is better to know the differences between a regular and digital savings account before you opt for one or another.
What is a digital savings bank account?
A Digital Savings Account is a type of savings account that can be opened and managed from anywhere through handheld devices and gadgets. Your Aadhaar number and PAN number is all you need to create an account. You will receive an OTP on your Aadhaar registered cellphone number once you have completed the application form, which you will use to complete the procedure. This will enable you to access best-in-class mobile banking and internet banking once you've opened your account. Hassle-free banking will greatly simplify your life.
What is a regular savings account?
A regular savings account is a type of bank account that helps you to retain your money safely and you can still be collecting the interest. The general amount of transactions you can do per month on a savings account is mostly limited. however, regular savings accounts do suit you if you consistently set money aside each month in them.
Features of a Digital Savings Account
A Digital Savings Account provides you with many advantages while being simple, quick, and painless. The following are some of the most important aspects of your Digital Savings Account:
- Interest rates are better than regular bank accounts.
- Online money transfer is completely free.
- Payments through direct debit
- Fixed Deposits and Recurring Deposits can be booked online.
- Transactions at the ATM are free
- Accident and travel insurance are provided at no cost.
Features of a Regular Savings Account
When browsing for normal savings accounts, you can find both variable and fixed-rate alternatives. The amount of access you have to your money varies as well. Learn more about it through these features:
- The interest rate will be more if you put a big amount in a cash section or an easy-to-operate or reach account.
- You'll get all of the money you put into your regular savings back at the finish of the given term.
- However, if you skip a payment or withdraw money, your rate will drop, so being able to set aside money each month is critical!
- When browsing for normal savings accounts, you can find both variable and fixed-rate alternatives.
Benefits of digital savings account
A digital savings account benefits everyone, whether you're a college student or a working professional who manages household spending. As a result, rather than staying dormant in your digital savings account, your money is earning interest and growing. Through your bank, you may access your funds from anywhere, at any time, with a digital savings account. Your account balance is secured with digital savings account on a secure server. You can track all of your expenses over months and even years with a digital savings account.
One such beneficial virtual or digital savings account providing you incredible benefits is Kotak 811 AC-
The features that you can enjoy by opening up an account in here are:
- A/c opening process, TAT: Install 811 App/Website or visit your nearest branch to fill up the basic details.
- Minimum balance required: Zero
- Interest rates: Around 4%
- Banking transactions available: IMPS & NEFT Free
- Account opening Charges: Zero
- Cheque book, ATM card: Available
Digital bank accounts are a thing for today's fast forward and hassle-free generation and their rapid lifestyle. So, if oyu want to make your life easier by paying your bills virtually and getting your savings under one roof with the least charges and more interest rates, then you can simply opt for one of the best from the top banks like Indusland Bank Savings Account, Axis Bank Digital Savings Accounts, Paytm Payment Bank and so on.