Zero-balance bank accounts fall under the umbrella of savings accounts. Opening these accounts is relatively more straightforward and doesn’t require visiting the bank. No minimum balance requirements with a zero-balance account allow you to move your money quickly.

Zero-balance accounts have a monthly transaction limit. In general, the bank allows four transactions per month. Crossing four monthly transactions, convert your zero-balance account to a savings account.

According to the Reserve Bank Of India (RBI) guidelines, a zero-balance account is legally referred to as a ‘Basic Savings Bank Deposit (BSBD)’ account. This means you can access your account like a regular savings one despite having no balance. In addition, you get ATM and Debit Card access through it.

How to Open a zero-balance Bank Account?

To open an account, each individual must have a valid Aadhaar Card and Pan Card. To open the account, you must be an Indian citizen and at least 18 years old. It’s a simple process that can complete online with various verification steps.

Here are the steps for opening a bank account with a minimum balance –

• Step 1 – Open a zero-balance account by visiting the bank’s website of your choice
• Step 2 – Fill out your bank profile with your account information
• Step 3 – Look for a zero-balance savings account in the account section or directly search for it on the bank’s website
• Step 4 – Enter the necessary identity information as per your valid proof details
• Step 5 – Verify your identity details with proof, i.e., Pan Card or Aadhaar Card
• Step 6 – Finish your KYC verification over a video conference with a bank representative

A zero-balance account is extremely simple to start. All you need to do is sort your prerequisites out for a zero-balance savings account.

How to open a zero-balance Saving Account under Pradhan Mantri Jan Dhan Yojana (PMJDY)?

This account is mainly intended for rural Indians who cannot afford standard savings accounts and do not have proper access to their documents. Under this scheme, anyone 10 years or older can open a zero-balance saving account. Since the child is a minor, the account is accessible to their parents or guardians. The child will have access to the account when they turn 18.

Please check the following steps for opening an account under Pradhan Mantri Jan Dhan Yojana (PMJDY) Scheme –

• Step 1 – Visit the nearby bank in person.
• Step 2 – Submit your required documents (Birth certificate, Aadhaar card, etc.),  as well as records of parents or guardians if the minor is involved.
• Step 3 – As soon as the procedure is completed, the bank will issue a debit card for easy transactions.

Top 4 zero-balance Saving Accounts

Where to start your first zero-balance savings account? Let’s check out the four leading platforms offering zero-balance saving accounts currently in India.

1. Fi. Money is a money management app that lets you sort your finances. By opening a savings account, you can access your money, pay, invest, and more. You can have unlimited transactions in Federal Bank and five transactions in other ATMs. You also get a smart VISA platinum debit card delivered to your doorstep.
2. Kotak 811 – This account offers virtual and physical debit cards. Money can be transferred seamlessly and at an incredible pace. If you have less than Rs.50 Lakhs, you can earn up to 4% per year in interest. Plus, you are not required to pay the maintenance fee.
3. Axis Bank – You can earn up to 3% interest on accounts with a minimum balance of Rs.50 Lakhs. With a minimum balance of Rs. 20,000, you can make interest through their auto Fixed Deposit (FD) feature. What’s great is that you can get cashback on various online purchases.
4. IDFC Bank – Unlike other banks, IDFC offers higher interest rates with a lower minimum balance. With a minimum balance of less than Rs. 1 Lakh, you can earn up to 6% interest.

Conclusion

One of the easiest ways to save money with no fees is with a zero-balance savings account. The main difference between a regular savings account and a zero-balance account is that you are not charged when your account balance is zero. A zero-balance bank account is the best choice for anyone who wants to get a higher interest for a minimal amount.

A zero-balance account provides greater flexibility than a typical savings account. Don’t wait any longer; create zero-balance savings account immediately with Fi and start saving the minimum amount at a higher interest rate.

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