Having a high-yield savings account is one of among the smartest financial moves you can make quickly. It offers a secure place to build your money over time while earning interest along the way. But, not all savings accounts function the same. The key is finding one explicitly tailored to your needs and financial situation. This definitive guide covers all the essential factors to consider when selecting a savings account for maximum benefit.
1. UPI Payments
A key feature to look for in a savings account nowadays is strong UPI (Unified Payments Interface) capabilities. UPI allows quick and secure money transfers directly between bank accounts using a mobile app or website. Choose Opt for a savings account that enables seamless UPI money transfers to easily pay friends, transfer funds between your linked accounts, make digital payments, and more from your smartphone. Top banks like IDFC First Bank have invested heavily in UPI technology and offer fully-featured UPI payments through their slick mobile and internet banking apps.
2. Investment Opportunities
One of the handiest features of a savings bank account is the ability to grow your money through various investment avenues. Leading savings accounts nowadays provide access to high-interest fixed and recurring deposits, Systematic Investment Plans (SIPs) into mutual funds, IPO subscription capabilities allowing investment in new public company shares, and more. Your hard-earned savings can work for you by investing in productive alternatives that multiply returns over time. IDFC First Bank stands out by facilitating investments across fixed deposits, mutual funds, IPO funding, and other instruments directly through customer savings accounts.
3. Bill Payment Facilities
Hassle-free bill payment capabilities also rank among the most useful savings account perks for busy folks. The best savings accounts offer online portals and mobile apps that let you quickly pay your electricity, mobile, DTH, gas, water, and other monthly utility bills without hassle. Top banks like IDFC First Bank provide dedicated bill pay sections on net banking and mobile apps to conveniently track and pay your recurring bills from one place through auto-debit or online transfers. This ensures you get all the payment due dates.
4. Income Tax Compliance
Keeping income tax compliance also becomes easier with the right savings account. To simplify tax filing each year, choose an account that issues digital Form 16A detailing the interest earned on your savings. IDFC First Bank provides customers with annual Form 26AS to directly feed into their ITR and reduce return filing effort.
5. Shopping Deals
Many premium savings accounts cater to shopping lovers by bundling exclusive debit/credit cards packed with reward points, cashback, and discounts on online/offline spending. For maximum savings on your everyday purchases, check out free debit card variants from banks like IDFC First that unlock year-round transaction discounts, cashback offers, and incentive points redeemable against an array of merchandise.
6. Value-Added Services
Lastly, watch for banks offering extra financial services to account holders, like convenient lending products, demat accounts for managing investments, bank locker rentals, proprietary insurance plans, and more. Trusted banks such as IDFC First Bank go beyond regular savings accounts by providing customers with useful value-added services under one roof for a complete financial solutions experience.
The Bottom Line
Saving money may not sound exciting, but nothing feels better than watching account balances gradually swell month after month. It’s time to get your future planning underway. Although there are dozens of great options for securely growing cash these days through reputable providers. So, follow this guide to select the ideal savings account for your situation and get that compound growth making its way through smart savings.