Here’s How to Open an Instant Savings Account

Opening an instant savings account is a breeze these days. It allows you to keep your money securely and earn interest while offering easy access whenever needed. Unlike traditional savings accounts, which may require you to visit a branch in person, instant accounts can be opened entirely online in a matter of minutes.

With a little planning and some basic information, you can easily open a savings account that perfectly suits your needs. Here’s a step-by-step guide to help you navigate the process efficiently and make informed decisions.

1. Compare Your Options

Before you open your savings account, you must choose the right bank that meets your needs. Here are some of the features you can consider when making your choice:

• Interest Rate: 

This is the percentage of interest your bank pays on your savings. Naturally, you’ll want to find an account with a competitive interest rate to maximise your returns. For instance, DBS Bank offers up to 7% per annum, making it an attractive option.

• Monthly Fees: 

Many banks charge monthly service fees for savings accounts. See if you can find an account with low monthly fees or one with a fee that can be easily waived by meeting certain requirements like maintaining a minimum balance or setting up a recurring transfer.

• Accessibility of Branches: 

If you prefer in-person banking experiences, consider the number and location of the bank’s branches. On the other hand, if you primarily rely on online banking, this factor might not be as crucial.

• Online and Mobile Banking Services: 

Most banks offer online and mobile banking services that allow you to manage your account remotely. Ensure the bank you choose has a user-friendly online platform and a mobile app that aligns with your needs.

• Customer Service: 

Research the bank’s customer service reputation to ensure you can easily get assistance when needed.

You can also consider additional features like savings tools (like calculators), budget tracking, and rewards programs. Compare these factors across different banks to select the savings account that best aligns with your financial goals and lifestyle.

2. Visit the Bank’s Website or Mobile App

Once you’ve chosen your bank, visit their website or mobile app. Look for a section dedicated to opening new accounts, particularly “Savings Accounts” or “Instant Savings Accounts.” This section will typically guide you through the application process.

3. Gather Required Documents

When opening a bank account, you’ll need to provide personal information and documentation. Ensure you – and any joint account holders – have the following ready:

• Government-issued identification such as a PAN Card and Aadhaar card
• Date of birth 
• Address or proof of address (especially if your ID lists a previous address)
• Contact information like phone number and email address
• Bank account information (this is required to fund your new account, if applicable)

Keeping these documents handy will make the application process go more smoothly.

4. Choose Your Account Type

Decide whether you want an individual account for yourself or a joint account shared with someone else, like a spouse or child. Joint accounts can be useful for shared savings goals, while individual accounts offer more personal control.

5. Complete Video KYC

Many banks require Know Your Customer (KYC) verification to open new accounts. This helps prevent fraud and money laundering. For instant savings accounts, banks like DBS Bank offer Video KYC, where you can video call their bank representative and show your PAN card and Aadhaar card originals for verification. Once your KYC details are verified, your account will be opened quickly.

6. Review Terms and Conditions

During the application process, the bank will ask you to confirm that you have read the disclosure documentation. This includes details on fees, interest calculation methods, and account limitations. Make sure you understand these terms and that they meet your expectations.

7. Submit Your Application

Once you’ve reviewed everything, submit your online application. You may receive an acknowledgement within minutes, but it usually takes 2-5 business days for the bank to verify your information, activate your account, and provide access credentials.

8. Fund Your New Account

Although some banks do not require an initial deposit, it’s beneficial to fund your account as soon as possible to start earning interest. 

Once your account is funded, consider setting up a direct deposit from your salary or regular income source.  You can also schedule automatic transfers from your checking account to your savings account. This “set it and forget it” approach helps your savings grow steadily over time without requiring constant manual effort. 

9. Set Up Online Banking

Most banks offer online and mobile banking services for convenient account management. During the application process, consider enrolling for online banking and downloading the bank’s mobile app. This will allow you to check your balance, transfer funds, and manage your account from anywhere. You’ll need to create a username and password for secure online access.

Following these steps can help you quickly and easily open an instant savings account and start putting your money to work for you. Just remember to compare your options and prioritise features that meet your financial goals