The banking sector has developed with the growth in technology over the last few years. The Savings Account opening online allows the customer to manage and transact via laptops or the Banking app from the comfort of their homes. It saves the customer’s time, money, and effort by bringing all their banking solutions right to their doorsteps.
Digital vs Regular Savings Account
Account opening: Online Saving Account opening is an effortless process. It is quick and does not require you to be physically present at the bank branch. You can submit all your documents online, complete the verification process instantly, and start transacting. Meanwhile, a standard account requires the customer’s physical presence. They need to carry their documents and related copies. Today, this may not be a preferable option.
Debit Card: The online Bank Account comes with a Debit or ATM Card that gets used for online and e-commerce transactions without carrying a plastic card everywhere. Conversely, the customer needs to visit the bank branch within working hours to operate a regular account.
Transactions: All the online transactions like NEFT, RTGS & UPI are free of cost. So, you can make as many payments or transfers as you want without worrying about the processing fees. On the other hand, transactions in a regular account are not always accessible and attract charges beyond a specific limit.
Accessibility: The Internet Banking facility under the Saving Bank Account offers complete access to all features from anywhere at any time of the day. However, to manage or operate a regular account, the customer needs to visit the branch within business hours or days.
How are Digital and Insta Savings Account different?
Joint account: The online account can get converted to a joint account by visiting your home branch, while the Insta Account is self-operated and cannot be converted to a joint one.
Debit card: Online Savings Account offers Visa or Mastercard Debit Card, while the Insta Account comes with a RuPay Card.
Balance /transaction limit: The balance in the Insta Account should not exceed Rs. 1 lakh, and the total credit summations permissible is Rs. 2 lakh yearly. In contrast, no such limit applies to online accounts. However, cash withdrawal through Debit Cards is up to Rs 1 lakh, and over 1 lakh Green Channel Counter machines are available at branches for withdrawal.
Cheque book: Opening accounts via Online Banking provides the option of applying for cheques or passbooks instantly. Insta Account comes with no such provisions.
The online Savings Account interest rates are higher than the ones offered offline. One should always make an informed decision based on their choice and requirement.