How can anyone think about managing their personal finances, without a bank account? You need money to buy necessary things, to pay someone, and to keep something aside for emergency. It is difficult, and sometimes rather impractical to keep all the money you earned at home. Similarly, carrying enough cash to make big payments is difficult. Bank accounts provide security, safety and convenience for your money.
Let it be any bank, whether public or private, it offers a number of bank accounts depending on your requirement and financial goal. Some common types of bank accounts offered by financial institutions in India are:
Current Account
The significance of a current account is found more with firms, companies, business enterprises and entrepreneurs than with individuals. These entities have a large number of transactions, which include receipts, payments and withdrawals. A current account offers no limit to the number of transactions you can conduct on a day. It allows you to avail an overdraft facility, which is withdrawing more than what is available in the account. When there is no limit to the deposits made, there is also no limit to the withdrawal of money with this account.
Unlike a savings account, a current account offers a zero or low interest, and it asks for a minimum balance to operate.
