Opening a deposit account? 5 things the bank should make you aware of

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Published: August 23, 2016 4:11:28 PM

Opening a deposit account: While the bank will be undertaking an exercise to acquire your details to comply with the Know-your-customer (KYC), there are things the new account holder should be informed of at the time of initiating the banking relationship.

Opening a deposit account? 5 things the bank should make you aware ofOpening a deposit account: While the bank will be undertaking an exercise to acquire your details to comply with the Know-your-customer (KYC), there are things the new account holder should be informed of at the time of initiating the banking relationship. (Reuters)

Are you planning to open a new deposit account with a bank? While the bank will be undertaking an exercise to acquire your details to comply with the Know-your-customer (KYC), there are things the new account holder should be informed of at the time of initiating the banking relationship, whether it be a savings account or any other type of deposit account.

Many of us are not aware of the basic information that the bank must give to the customer and hence are often kept in the dark. Here we list out some of the things that the bank should be informing you about at the time of account opening:

-The bank should inform you about the interest rate applicable on the balance in your savings deposit
-A customer should be made aware of the periodicity in which the interest will be credited in your account
-You should be made aware of the minimum balance that you will be required to maintain at all times and the charged that will be applicable if you allow the balance to slip below the mandated level
-You should be told how many transactions in the account, including cash withdrawals can be done free of charge and what will be the charges levied in case you exceed the minimum count
– The bank should make you aware of the nomination facilties available. Including a nominee in your account is a desirabe thing though it is not mandatory for the customer to provide nominee details. Having a nominee will help your near one’s to access the money lying in the account in case of death. Once a nominee is provided in the account, the bank will menion in in the pass book or term deposit recepit

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