Most banks insist that you keep a minimum balance in your savings account. If you don’t, you will be charged a penalty. If your savings account balance runs low by the end of the month or if you are one who doesn’t like to keep money in your savings account, you will require a zero balance savings account. These are accounts where you don’t have to maintain a balance in your account at any time. Even if the balance is nil, there will be no charges. Here are some of the top zero balance accounts available in India.
Yes Bank savings account
This account comes with no transaction charges. You also get a debit card with zero annual maintenance fee for the first year. The interest for this account will be paid out every quarter. You will need to deposit Rs 10,000 for opening the account. However, you can withdraw the entire amount after opening the account. The welcome kit comes with ATM cum debit card, a cheque book and booklets for the schedule of charges.
What are the eligibility criteria? In order to open a zero balance savings account with Yes bank, you should have a relationship with the bank. Here are the acceptable ones.
- Fixed deposit of over Rs 50,000
- Current account
- Recurring deposit of Rs 5,000 per month (this is only Rs 3,000 if the customer is a woman)
- Mutual fund where there is a SIP
- Credit card
The interest rate for Yes bank savings account is 5% for the balance of less than Rs 1 lakh, 6% for balance between Rs 1 lakh and Rs 1 crore and 6.25% for balance above Rs 1 crore. This account provides unlimited ATM withdrawals.
Standard Chartered Aasaan savings account
You can open this zero balance savings account by giving a few details such as your Aadhaar number and PAN. Unlike other zero balance savings accounts, Standard Chartered Aasaan savings account comes with an international debit card. There are no charges for the debit card. Aasaan account provides free unlimited ATM withdrawals to its customers. These ATM withdrawals will be free of charges.
Accountholders will get a multicity, payable-at-par cheque book. This will be free of cost. They will also have unlimited access to any Standard Chartered branch in India. There will no additional charges for the branch visits. Customers can access their account using both online banking as well as mobile banking. The unique features of this account are that both Resident Indians, as well as Hindu Undivided Family (HUF), can open this account.
RBL digital savings account
You need only your Aadhaar number and PAN card to open this savings account. This account is an instant, paperless account. For opening this account, you have to be a resident Indian holding valid PAN and Aadhaar and residing in a city where RBL Bank has branches. Also, you shouldn’t have an existing savings account or fixed deposit with RBL Bank.
How to open the account? Go to the RBL website and provide your Aadhaar number and PAN. You will get an OTP on your registered mobile number. Provide it to open the account. The balance in your account including fixed deposits cannot exceed Rs 1 lakh. Total credits during the year can be up to Rs 2 lakh.
The welcome kit will come with a Titanium debit card and a passbook note. You will have to pay for the cheque book. RBL Bank offers an interest rate of up to 6.5% for its savings account. The ATM transactions will not have any charges. This means unlimited ATM transactions.
Most other banks such as ICICI Bank and Axis Bank have a basic savings account that requires zero balance. However, these come under the Jan Dhan Yojana and might not have many features. It is best to check with banks to get the account that suits your needs