How many Bank accounts can you have in India?
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- Updated On:06-Sep-2022
- Replies:1
Short Answer
Currently, an eligible person can have as many bank accounts as he or she wants. There could be multiple accounts with the same bank or separate accounts with different banks.
Detailed Answer
Bank accounts help us protect our funds. Additionally, they allow us to earn interest on our deposits, allowing us to grow our savings or investments.
In India, there are 1,484 urban cooperative banks; 12 public sector banks; 22 private sector banks, 44 foreign banks; 43 regional rural banks, and 96,000 rural cooperative banks. An eligible person can open an account with any of the banks.
Who can open a bank account in India?
One must meet certain requirements to open a savings account in India.
- The person must be an Indian citizen with legitimate, government-approved identification.
- The person must be at least 18 years old.
- If an account is to be opened for a child, their parents or legal guardians can open the account on their behalf.
How many Bank accounts can you have in India?
As of now, Indian citizens are free to open as many bank accounts as they desire. One can open multiple accounts with the same bank or separate accounts with different banks.
But, most banks deny opening multiple bank accounts for the same person in the same bank. If one can justify the reason for opening a second account, then the bank manager might agree. In that case, the second account will be opened using the same customer ID or CIF (Customer Identification File) number.
Banks, such as HDFC and ICICI, allow you to open multiple accounts, but you will have to pay account maintenance charges for each account.
Pros of Opening Multiple Bank Accounts in India
- One can enjoy various perks and advantages provided by various banks. Perks like a higher cash withdrawal limit and a high-interest rate.
- Lessens reliance on just one bank.
- Also, if you have different bank accounts, you can use the debit card of another bank if the withdrawal limit on a particular card gets exhausted.
Cons of Opening Multiple Bank Accounts in India
- It is difficult to manage and keep track of every transaction when there are multiple accounts.
- Most bank accounts require a certain minimum balance to be maintained to avoid paying a penalty.
- Many banks charge an account maintenance fee, so having multiple accounts may lead to higher maintenance charges.
##Opening Multiple Bank Accounts in India
Although, there are no restrictions on opening multiple bank accounts, the only issue is that it might become problematic when filing taxes or if it is left unused for an extended period of time.
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Discussion (0)
There are mainly 5 types of bank accounts in India. These include Savings account, Current account ,Fixed deposit account, Recurring deposit account and NRI accounts.
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