Having a savings account is a great way to manage your money and carry out day-to-day transactions. However, did you know that many savings accounts come with additional benefits? These benefits can help you maximise your savings and get more out of your account.
Here are six tips on how to make the most of your savings account’s additional benefits.
- Interest rates
The primary benefit of a savings account is the interest rate paid on the balance. Banks offer different interest rates on their savings accounts and comparing and choosing the best one is essential. Many banks offer higher interest rates on their savings accounts to senior citizens, women, and children. By selecting the right account, you can earn a higher return on your savings.
- No minimum balance requirement
Some savings accounts come with no minimum balance requirement. This means you can keep your money in the account without worrying about maintaining a certain balance. This can be particularly useful if you are just starting to save and do not have a lot of money to deposit.
- Debit card offers
Most savings accounts come with a debit card, which can be used to withdraw cash or make payments. Many banks offer discounts, cashback, and other rewards when the debit card is used for transactions. You can save money on your everyday expenses by using the debit card offers.
- Free ATM withdrawals
Most banks offer a certain number of free ATM withdrawals from other banks’ ATMs per month to the savings account holders. This can help you save money on ATM fees. Before opening a savings account, check if your bank offers free ATM withdrawals and what the limit on that is.
- Online banking
Online banking is becoming increasingly popular, and most banks offer online banking facilities to savings account holders for carrying out various banking transactions. This can be a great way to manage your account from the comfort of your home. You can check your account balance, pay bills, transfer funds, and even invest in mutual funds or fixed deposits online.
- Rewards programme
Some banks offer rewards programmes linked to savings accounts. These programmes can include cash back on purchases, discounts on travel or entertainment, or even dining or take aways. Check to see if your savings account offers a rewards programme and how to use it.
- Investments
Through your savings account, you can also begin your investment journey. You can start fixed deposits, and can also invest in mutual funds through systematic investment plans. Your savings bank account can facilitate investments by allowing for monthly or periodic auto-debits from your account for investment contributions.
Final words
A savings account is an excellent tool for building wealth and saving for the future. By choosing the right account and taking advantage of the additional benefits, you could earn a higher return on your savings, save more money, and financially safeguard yourself from unforeseen events.
