Answers
What is the difference between saving account and current account?
Answer by: VISHAL BANSAL
The comparison Chart-
Particulars | SAVING ACCOUNT | CURRENT ACCOUNT |
Meaning | Saving bank account is an account for individuals, who keep their money to save for meeting their current and future financial requirements. | Current account refers to a running account, in which there is no limit on the operation, during a working day. |
Account opened | Saving account can be opened with less amount say minimum amount of Rs. 500, 1,000 or more, which vary from bank to bank | Current account can be opened with higher amount say minimum amount of Rs. 5,000, 10,000 or more, which vary from bank to bank |
Objective | To encourage savings of a person. | To support frequent and regular transactions. |
Best for | Individual | Proprietor, Firm, Companies, Trust, AOP’s, |
Interest | Interest is received on balance held with bank | Interest is not received on balance held with bank |
Withdrawals | You can make limited withdrawals | There is no restriction on Withdrawals |
Passbook | Passbook is issued by banks | There is no issuance of passbook, you can take statement or download it. |
Overdraft | There is no overdraft facility can be availed against saving accounts | The overdraft facility can be availed in current accounts |
Cheque Book | There is restriction on issuance of cheque book | There is no restriction on issuance of cheque book |
Bank Charges | There are small transactions, so bank charged Nil or lower amount of charges | There are great transactions, so banks charged amount for account keeping charges periodically |
© 2024 - EnSkyAR Financial Services