Best Banks Compared for Opening Your Account

A customer to any financial service is born in a bank. To buy or subscribe any financial product or service, you need to open a bank account. With so may banks offering multiple types of accounts it become a hard choice. Here, we will compare Banks accounts to make this decision simpler.

Types of Bank Accounts

There are basically four types of bank accounts provided by various banks in India. They are saving bank accounts, current bank accounts, recurring deposits and fixed deposits. Other features that a bank might provide these days are smart deposits, power saving deposits etc.

Here is a table describing the 4 basic bank accounts:

Now, the problem arises here when one needs to choose the best bank for themselves. There are many banks in India nationalised, regional rural, private sector and foreign banks functioning in India. If one wants to open an account, then after selecting the account type he/she needs to see the interest rates on these accounts.

Interest rates

Interest rates provide on fixed deposits of various tenure as on date. However, this keeps on changing very frequently so please refer to respective bank website or their branch for latest information.

Whereas, in case of saving banks account, the rates vary from 4% to 7 %.

Other Charges

Other than interest rates while opening a bank account, one should also consider other parameters like the number of branches, minimum balance, and the penalties faced by a person while failing to meet the minimum requirement. Moreover, transactions and ATM related details should also be taken care of by people opening a bank account.

Let’s compare bank of India, HDFC bank, ICICI bank, Axis bank, Kotak Mahindra Bank and Yes bank. These banks have interest rate of 4%, 4%, 4%, 4%, 5.5% and 6% respectively. Minimum quarterly balance in these banks is of rupees 500 for Bank of India with rest all the others have Rs.10, 000. If a customer fails to maintain this balance in his account, then bank charges them with an amount that should be paid. This amount may vary from bank to bank.

For Bank of India it is Rs.30 per two months, in case of Axis Bank it is Rupees 750 per quarter, if the amount is in between 5000-10,000 then one needs to pay Rs 250 per month and if it is less than Rupees 5000 then you have to pay Rs.350 per month, that is if you hold an account in ICICI bank. Same goes with HDFC, but in Kotak Mahindra, one needs to pay rs.750 for the upper condition (minimum amount between Rupees 5000 to 10,000) and Rupees 1000 is the minimum amount is less than 5000. If you have maintained less balance in Yes bank than you would be charged Rs. 750 quarterly Except Yes bank everyone charges if the ATM transaction limit crosses 5. In, Kotak Mahindra, one needs to pay an additional amount of Rupees. 17.8per transaction while others charge Rupees 20. Apart from this one should check there ATM network and connectivity at the end of the day, it’s your cash invest and deposit it with care.