Savings account is type of a deposit account placed in a financial institution, where the consumer can place its idle funds in the realm of capitalization of the deposited funds however there is no limit on the amount being deposited, or the withdrawls. It is the basic banking instrument used by most of the individuals to access their funds at any time with the advantage of earning modest profit. Savings account usually offers lower interest rate as compare to the deposit account or investment in mutual funds. They are the safest mode of investment for those investors who want risk-less investment.
Key Features of a Savings Account
The key features of saving account are that it inculcates money saving attitude in the masses with the added benefit of earning gains on your invested amount. Following are the features of the savings account.
- They offer modest interest rates
- They offer a personalized account number to the individual
- No limits are imposed on the deposited amount
- You can access your funds at any time without the restriction of time frame on your invested amount
- For enhanced security personalized cheques can also be offered
- Provides mobile and internet banking
Documents Required for the Saving Account
Nowadays, you can easily open the savings account without any hassle. Here is the list of documents:
- Original copy of CNIC along with attested photocopy
- 2 passport size pictures
- Proof of source of income
- Telephone/electricity/water bill
- If you are a foreign resident then a valid passport, valid visa along with residential permit, which is greater then 180 days. You need to provide to thebank.
Eligibility Criteria for the Saving Account
Opening a saving account does not require an applicant to satisfy maximum conditions of a bank. It can be opened with the minimal conditions which are as follows:
- Individual must be a Pakistani citizen
- The individual must be above 18 years old. Minors under the age of 18 years can also open the account under the umbrella of their parents/guardian
Please note that there are several other savings & investment options (other than savings accounts offered by retail banks) that can be explored here in the Mutual Funds comparison service.