DIFFERENCE BETWEEN SAVINGS ACCOUNT AND CURRENT ACCOUNT

Savings Bank Accounts v/s Current Accounts

At an ATM, we always have the option of choosing between a Savings Account or a Current Account. These are two types of accounts that have been created to serve different objectives and meet the financial needs of different types of users. Current accounts and savings accounts are offered by almost all major banks in India as SBI, ICICI, Axis, Kotak Mahindra Bank, HDFC Bank, Citibank, YES Bank, IndusInd, and many more. However, both accounts are different from each other in several aspects.

Savings Accounts

A savings account is an interest deposit account held at a bank or other financial institution that provides a modest interest rate. Banks or financial institutions can limit the number of withdrawals you can make from your savings account each month, and they can charge fees unless you maintain a certain average monthly balance in the account.

Current Accounts

Current accounts derive their name from the purpose and for regular transactions. This type of account is more suitable for users like companies, firms, entreprises, etc. Current accounts do not generate interest due to the fluidity they offer. Current accounts generally do not have a limit on the number of transactions that can be performed Read more...