Apply for Bank Account Online

Updated: 21-05-2024 08:16:13 AM

Having a bank account in today’s time is a necessity. A bank account is a way to save money in a better way. Banking is an institution that offers us with different types of accounts. These accounts help us in managing our money well and let us track our savings and spending that we do on a regular basis.

How to Apply for Savings Account Online

Opening a bank account online is easy. To apply for a digital bank account online, one needs to check the following:

• You may be required to pay some basic amount whilst opening the account. This amount will cover the cost associated while setting up the new account.
• Some banks make it mandatory to maintain an average minimum balance. If the benefit is no value to you, you should look for a zero-balance account.
• Check if the bank is offering additional services like debit card, chequebook, net banking, phone banking, etc. This will make you less reliable on your bank and you will be able to have full control over your account.
• If you intend to withdraw money on a regular basis, you need to find a bank that offers good ATM facilities and low transaction fee while using bank’s ATM. Choose an account that allows you to do withdrawals without any penalties.
• Before opening an account, go through the miscellaneous fee being charged by the bank thoroughly.
• Since everything is now digitized, find a bank that provides online services. Check if you can easily transfer money from online channels easily and transactions are done economically or at zero cost.
• There might be times when you will have extra money in your account and you might be tempted to spend that money. Look for a bank that offers auto-sweep facility.

How much Time does it take to Open a Bank Account Online

Processing the application and issuing the account number is instant these days. e-KYC using Aadhaar OTP verification or video KYC ensures the verification is done instantly. One needs to wait for seven to ten days to get a debit card through mail. However, most banks provide a digital ATM card for the time-being with the digital savings account. The username and password for mobile banking and internet banking can be generated instantly.

Advantages of Applying for a Bank Account Online

Applying for a bank account online has its own set of privileges and benefits. Let us highlight some of those:

• You are saved from lengthy lines and the pain to visit the bank
• You can open it anytime from anywhere
• Minimal documentation is required and you do not have to provide physical copies of the documents
• Account verification can be done through e-KYC or video KYC
• Account is opened in a matter of minutes and transactions can be started almost immediately
• All notifications are provided almost instantly through e-mail and SMS
• Most digital accounts have zero maintenance charges and no minimum monthly balance requirements
• If digital debit cards are opted instead of physical ones, no debit card annual maintenance charges are required
• Netbanking and mobile banking gets activated instantly making it easy to carry out transactions online

Types of Bank Accounts

Savings Account

A savings account is the simplest banking instrument available. One can open a savings account and deposit money in it to earn decent interest on it. It has high liquidity and allows an accountholder to withdraw or transfer funds at will. One can carry out transactions online, through ATM, missed call, mobile banking, SMS or by visiting a bank from a savings account. To read more about savings accounts, click here.

Current Account

Current Account is a kind of deposit account used by businessmen and professionals. Dealing mainly with liquid deposits, it allows for withdrawal of funds and cheques being written against the balance and does not limit the number of transactions in a day. It is a type of deposit account especially for those who need to make a substantial number of transactions on a regular basis.

Unlike savings account, a current account generally does not follow any transaction limits and lets the holder opt for overdraft facilities. However, most banks do not offer any interest on the amount deposited in a current account.

Also Read: Current Account

Online banking gives your control over your financial life on your fingertips. There are risks when it comes to security. Hence, you need to be careful in how you approach online banking.

FAQs

Q. Do I have to pay extra to open a bank account online?
Ans. Account opening charges in case of most digital accounts is nil. Even if the bank charges a fee for account opening, the fee is relatively less than that charged while opening the account offline.

Q. Which online bank account should I open?
Ans. Ideally, you should carry out a proper research on the available savings account and choose the one that meets your requirements and accessibility the best.

Q. Are there any charges for signing up for online banking?
Ans. No, there are no charges for signing up for online banking.

Q. Can I open multiple savings accounts online from different banks?
Ans. Yes, you can open as many accounts online as you want to. But having a number of savings accounts may also have certain limitations. You should open savings account only as per your needs and requirements.

Q. Is online banking service available 24×7?
Ans. Online banking service is available round the clock, seven days a week.