Many people are getting confused when it comes to applying for a savings account. This confusion is created about whether you should open your regular savings account or digital savings account.
According to banking experts, there are not too many differences between regular savings and digital savings accounts, but there are similarities observed. In simple terms, there is no harm in investing in any one or both of the options.
When we talk about personal finance, it is good to know all the distinct factors between regular savings and digital savings accounts. Let us go through the complete guide.
Digital savings account
A digital savings account is a type of account that you can easily open and manage from any location through your mobile devices. If you want to create your digital savings account, then all you need to have is your PAN card and your Aadhaar number.
After that, you will get the OTP on the numbers that are registered on your Aadhaar card. Once you submit the OTP and fill out your application form online, and complete the other account process, then you can access the banking facilities that come with the savings account.
With the digital savings account, you can get hassle-free banking features that will make your life simpler and easier.
Regular savings account
A regular savings account is the type of savings account that permits you to keep your money safe and collect the interest on it. The specific amount of the transactions is possible on this savings account monthly.
If you want to set your money aside consistently, then the regular savings account will not fit you.
Key features of digital savings account
A digital savings account will provide many benefits to the account holders while being quick, simple, and painless. Consider some of the most important aspects of the digital savings account.
- Transactions through the ATM are free.
- Payments are easily made through the direct debit
- Transfer of money online is completely free
- Travel and accident insurance cover provided at no cost
- The rate of interest of digital savings account is better than that of regular savings accounts
- Recurring deposits and fixed deposits can be booked online
Key features of the regular accounts
While finding a normal savings account, you can find both fixed and float rate alternatives. The amount of access to your money is changed according to the different alternative interest rate alternatives. Let us check out the following features of a regular savings account.
- At the end of the term, you will get all the money you keep in your regular savings account.
- You can find both the fixed and float rate alternatives
- It is easy to operate and reach the regular type savings account
It is concluded that digital savings accounts are best to make your hassle-free process related to keeping money, making transactions, etc.