Saving account and current account are not same. There are many technical differences among them. One should know the difference between these two accounts.
Whenever there is talk of bank accounts, there are definitely two types of accounts mentioned. First- Saving account and second current account. Today we will tell you what is the difference between these two accounts.
Who can open
A savings account or savings account is opened for employees, monthly wage earners and savings.
A savings account can also be opened in the name of a minor.
Businessman, startup, partnership firm, LLP, private limited company, public limited company etc. can open current account.
Savings account is a deposit account. Limited transactions are allowed in this.
Current account is for daily transaction.
The customer gets interest on the savings account.
There is no interest on the current account.
Minimum and maximum balance
It is mandatory to keep minimum balance in both current and saving accounts.
As far as the maximum balance is concerned, there is no maximum limit to keep the balance in the current account.
There is a maximum limit in a savings account.
Interest is received on deposits in the budget account.
The interest income to the account holder is subject to tax.
There will be no interest on interest income up to 10000 rupees in a year. For senior citizens this limit is up to Rs 50000.
Nidhi Malviya is fun loving girl. She writes at NoobFeeds about various topics related to Finance, Technology, Business etc.