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5 Things To Know About A Zero-Balance Savings Account

Opening a bank account may sound like an easy task. However, today, banks have different types of saving account catering to every need of the individual. Choosing the right one can be tricky and confusing. One of the most lucrative accounts in the Indian market is the zero-balance savings account. The reason being you do not have the pressure of maintaining minimum balance every month.

The definition:

A zero-balance saving account means an account attached with no strings of minimum balance. In the case of regular savings account, you need to maintain a nominal amount every month. Else, you could face a penalty. Such accounts are offered to a specific set of individuals such as salaried individuals and Pradhan Mantri Awas Yojana people, who cannot afford a regular savings account.

You need to submit essential KYC documents to open zero-balance account. Online banking or mobile banking requires only your PAN card details.


  • No charges for ATM debit card
  • Free chequebook as well as passbook every year
  • No fees for internet or mobile banking
  • There are no charges for cash deposit transactions too
  • Special privileges for salary account holders based on company and institution policies

Smart things you need to know about the account:

  • No penalties: As aware, banks levy penalty for non-maintenance of balance in the account usually. This is where a zero-balance account scores above the regular account. You need not maintain any balance as you can keep any amount of money in the account.


  • Internet banking: The zero-balance account takes away the load of minimum account balance aspect and yet, you can enjoy the facilities of regular savings account. Get your internet banking services activated while opening the zero-balance savings account. In case you are unsure of technology and functioning of the account online, bank officials assist you with the same and explain everything about internet banking.


  • Add-ons: A zero-balance saving account comes with facilities such as ATM card, chequebooks, passbook, and so on. In fact, you can use the ATM or debit card free internationally as well. Also, the chequebooks are offered free with a fixed amount of leaves every year. You receive a new cheque book for a nominal fee.


  • Dormant account: In case you do not make any transaction for a specific period, then your account becomes dormant automatically, i.e. inactive. You cannot then make transactions at an ATM, shopping centres with your debit card, or scroll through your account on mobile banking apps. If you want to continue the luxuries of zero-balance account, you need to activate it again.


  • Accountholders and interest rates: You can operate a zero-balance saving account either personally, jointly, or with either or survivor, former or survivor, anyone or survivor, etc. The interest rates on such accounts are higher if you open it online. Else, the offline mode offers similar interest rate as a regular savings account.

If you wish to open zero-balance account, you must take assistance from a financial advisor or do thorough research.

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