Use Savings Account for more than Transactions

For generations, we have always been taught to save a portion of our earnings. Also, when it comes to savings, there is a quote that every financial expert swears by, which goes like this “Do not save what is left after spending; instead, spend what is left after saving.” Even if you are earning a small income today, a part of it must be saved so that the amount can be utilized whenever a short-term financial need arises. Well, this is just one of the benefits of Savings Account. If you have been using the account just for transaction purposes, then here’s what you need to know about it.

What is Savings Account & its Importance?

A Savings Account is a traditional bank account that you can open with any bank or financial institution to park your idle funds. It is the best investment avenue to keep your funds safe. In fact, much better than keeping a large sum of cash at your residence, which makes it vulnerable to threats like theft. If you do not have a Savings Account yet, here’s why it is important to have one:

You can plan your finances in a better way
You don’t need to carry cash around
You can generate income in the form of interest
You can send and receive money
You can enjoy digital banking facilities, including Mobile Banking, NetBanking, NEFT, RTGS, IMPS, UPI etc.

Use of Savings Account beyond Transactions

The use of a Savings Account only for the purpose of transactions is not the right approach when you can explore many more benefits related to it. Here are a few ways to use your Savings Account other than just basic transactions:

A gateway to begin investments:

There’s no right age to begin an investment, the earlier you begin doing so, the better. You can use your Savings Account to pay for your investments - be it Mutual Funds, Fixed Deposits, Recurring Deposit, or Pension Plans. You can begin with SIP in Mutual Funds and opt for an automatic mode of payment. So, when you start increasing your savings amount, gradually, you can also grow the SIP.

Income-generating account:

Today, Savings Account also helps you earn Monthly Interest Payouts. Once you open an AU Savings Account, you get to enjoy high interest rates on your balances as well as Monthly Interest Payouts to manage your cash flows better.

An ideal way to build emergency funds:

Emergency funds are an essential corpus that will be helpful when you face any financial trouble. It prevents you from the debt trap. When you set aside a portion of savings for emergencies, it becomes easy to access as well, as you can avoid borrowing a loan.

Leverage your relationship with the bank:

When you hold a Savings Account with a bank, you can be eligible for some offers or benefits offered by the bank. For instance, you can manage an AU Savings Account online using AU 0101 App / NetBanking. Using the online services, you can book flights, recharge your mobile, book hotels & cabs, & apply for a host of services & products.

How to apply for AU Savings Account?

Whether you are a student, housewife, senior citizen or own a business, we offer a Savings Account to cater to your various needs. So, any resident of India who is 18 years & above with KYC documents & passport-sized photograph is eligible to open an AU Savings Account. It is easy to open an account online using our Video Banking feature, which is a secure way to get in touch with an AU Small Finance Bank representative. All you need is your PAN Card and Aadhar Card. Also, keep a blank paper and a pen ready for our signature. You can also visit our nearest Branch or call customer care.