Question

Explain five benefits of a savings account to a customer.

Answer 1

1. Allows the customer to save by accumulating small amounts of money/for future use/since withdrawals are controlled/limited.
2. Offers safe custody for the customer's money/against theft/Loss
3. Minimal charges are levied on the account making it more attractive/affordable/compared to current account
4. Customers earn interest on the account balance/as an income/which increases the bank balances.
5. Requires little deposits to open. which makes inaccessible/as compared to other accounts.
6. Customer may get bank loan on the basis of the savings accounts.
7. Encourages the customer to invest from the savings.
8. Deposits can be made into the account anytime to its convenience of the customers/compared to fixed account.
9. Account holding are issued with identification cards which may also act as a debit card.