Does Salary Account Have Minimum Balance?

Can I convert my salary account to zero balance account?

Accounts Topics Also, you would be unable to convert your existing account to a zero balance account.

We would advise you to convert the existing salary account to general savings account, with a monthly average balance to be maintained at minimum of Rs.

10,000.00 or as applicable..

Which account is salary?

By definition, a Salary Account is a type of Savings Account, in which the employer of the account holder deposits a fixed amount of money as ‘salary’ every month. Who can open a Salary Account? A business (employer) has to tie-up with a bank to open Salary Accounts for its employees.

Can we deposit in salary account?

You can put in cash in the Salary Account anytime but be aware that if the monthly number of ‘over-the-counter transactions’ done for the account crosses the specified number, it may attract a small fee. Over-the-counter transactions include depositing cheques, cash and withdrawing cash.

Is salary account a saving account?

As the name says, a salary account is basically opened by your employer to credit your salary. However, one should keep in mind, if the salary does not credit for consecutive three months than the account is considered as savings account and minimum balance maintenance is required. …

Is current account and salary account same?

Primary difference between savings and current account No interest is normally paid on a current account, while you get regular and periodic interest in the case of a savings bank account. Salaried individuals should not open a current account, unless they have a business.

Can I convert my saving account to salary account?

On the other hand, if your bank permits, you can convert your Savings Account to your Salary Account. This is possible if you change your job, and your new employer happens to have a banking relationship with the same bank for its employees’ Salary Accounts.

Can we change our salary account?

If a salary account gets converted into a savings account, the account holder has to pay any non-maintenance charges that are applicable. You also lose benefits that are associated with a salary account such as zero-balance maintenance, no annual fee or joining fee on debit cards, and others.

Who can open salary account?

Open a Salary Account in 3 easy steps. Salary Accounts can only be opened when an employer ties up with a bank. With this tie-up, the employer can transfer the monthly salaries in bulk in respective Salary Accounts of the employees.

Is salary account zero balance?

Salary Account vs Savings Account Salary account comes with no MAB requirement. This means that if your account has no money in it, you will not be asked to close the account or pay any penalty on it. Also, salary account does not need a minimum opening balance. It can be opened with zero balance.

What are the benefits of salary account?

The main benefits of the salary account are – Zero balance account and free unlimited transactions across ATMs of any bank, free ATM-cum-debit card, an additional ATM card for the joint account holder, free Internet banking, free multicity cheques etc.