Nowadays, banks attract customers to open Bank Accounts because they are a source of low-cost funds. You need not deposit a huge sum as an initial deposit to open them, especially if you opt for online account opening. Whether you open a Regular, Zero Balance, Women’s, or Kids Saving Account, check the following factors beforehand:

Requirement of minimum balance

Banks require you to maintain a minimum average balance when you open a Bank Account, which may range between Rs. 1,000 to Rs. 25,000, depending on their requirements. The minimum average balance is calculated monthly or quarterly. If it falls below a certain threshold, you need to pay a penalty of up to Rs. 1,000 per quarter. The interest rate earned on them is 3% to 6% per annum.


Choose a bank with a branch at a convenient location. A centralised and well-connected location lets you access funds even during an emergency. Thanks to Online Banking, you can easily track your finances and pay for necessary items and utility bills instantly without requiring physical currency.

Associated charges

Avoid opening an account with banks that levy high fees for their services. Some banks charge annual fees for using their Debit Cards, while others do not. Compare the charges for various other services, like issuing bank drafts, stopping cheque payments, issuing duplicate passbooks, or certifying your signature for a third party.

Bank Account usually includes low or no fees for their services, making them preferable to conventional banking methods.

Top services

Banking is more than depositing cheques and withdrawing cash. You eventually need other services, such as lockers for storing valuables, a Demat Account, and investment services. Banks also provide the facility to buy Gold and Mutual Funds through the guidance of Insurance advisors.

The online mediums let you check all the services the bank offers and their charges and apply for new Debit and Credit Cards. You can track their status, pay bills, and note all transactions. Moreover, you can also opt for EMI payments from your Debit and Credit Cards for Loans.

Better interest rates

Choose a bank that gives you the biggest bang for your buck. You can get high-interest rates online. Rather than paying 3% to 4% interest, these accounts offer up to 7% interest per annum if your account balance is above Rs. 4 lakh and up to Rs. 5 lakh.


If you shop around, you can get a higher interest rate on your Bank Account. Since interest earnings up to Rs. 10,000 are tax-free, it can be a good long-term investment. By becoming financially literate, you can increase disposable income.