Students Need a Bank Account for Several Reasons:
Necessity of a Bank Account:
- Students require a Bank account for many reasons, the most basic being the management of money. Having a Bank Account enables students to easily keep track of their entire money and money management. It offers a secure location to store money and make payments therein.
Getting Funds:
- Since students can have Bank Accounts that permit money to be received from parents or in the form of scholarships/ loans, it gives them easy access to funds as and when needed.
Establish Credit:
- Opening a bank account and using it responsibly enable students to build their credit history, which will become very critical in Future Financial Transactions, be it loans or credit cards. A bank account maintains the teaching of critical skills in finance, such as budgeting, saving, and adhering to proper money decisions.
Benefits of Student Bank Account
Many banks in India offer special accounts with a host of benefits targeted at students:
No Minimum Balance Requirements
- Most of the student accounts do not have a minimum balance requirement or require a very less minimum balance to be maintained by the students for account maintenance.
Waived Fees:
- There are no monthly maintenance fees charged to the students, no fee for transactions through ATM, and no account opening fee.
Interest Rates:
- Few student accounts pay competitive interest rates on deposits, thereby earning interest on savings.
Debit Card:
- A student account usually comes with a debit card for online and offline transactions. Therefore, making payments becomes easy.
Additional Benefits:
- These might include other special offers in financial products, access to educational resources on finance, or budgeting tools custom-made for students.
By opening a student bank account one can derive all the mentioned benefits and set the financial journey on the right path. - These student savings accounts offer tailored features like no maintenance charges, zero balance requirements, free ATM transactions, and easy access to digital banking, catering specifically to student’s financial needs.
There are various types of Banks that are available for Students to access some benefits, Let’s see the list below:
1. ICICI BANK:
The ICICI Bank Campus Power Account is tailored for students aged 16-25, featuring no minimum balance requirement and a free debit card. It offers convenient digital banking, no maintenance charges, and additional benefits like a passbook and special student offers.
Eligibility:
- For Whom: Students aged 16 to 25 years
Features:
- Zero Balance Requirement: No minimum balance needed.
- Interest Rate: Earns interest on the deposited amount.
- ATM/Debit Card: Comes with a free ATM/debit card.
Account Opening Process:
- Online / Branch: Can be opened online or at an ICICI Bank branch.
- Provide Documents: Submit ID proof, address proof, and a student ID or admission letter.
- Fill the Form: Fill up the application form with full details.
Benefits:
- Digital Banking: Access to ICICI Bank’s online and mobile banking platforms.
- No Charges: No account maintenance charges.
- Convenience: Free access to ATMs, online transactions, and mobile banking.
Additional Features:
- Passbook: Provides a passbook for transaction tracking
- Cheque Book: Available upon request.
- Offers for Students: Special offers and discounts for students.
2. HDFC Bank
HDFC Bank DigiSave Youth Account is a special account for youth and young individuals. It provides several features and benefits to promote the habit of saving and financial literacy. Following are the key features of the account:
Key Features
- No Maintenance Charges: The account has no annual maintenance charges, making it cost-effective for young savers.
- Debit Card Benefits: Customers get a MoneyBack Debit Card, which comes with a daily shopping limit of ₹3 lakhs and an ATM withdrawal limit of ₹25,000.
- In addition, there is the offer of 1% cashback in various spending categories and additional cashback with some special platforms like PayZapp.
- Insurance Coverage: This includes personal accident death coverage up to ₹15 lakhs, plus extra benefits on fire and burglary protection.
- Digital Banking: Mobile banking, net banking, and phone banking provide the customer with ease of managing their finances.
- Educational and Investment Options: Having special rates on education loans, it also has features such as systematic investment plans that let young account holders invest in mutual funds.
- Flexible Savings Options: Dream Deposit helps save small amounts on a continuous basis to help work towards one’s financial goals
- Exclusive Offers: Via HDFC Bank’s online shopping portal, account holders can log in to a range of discounts and offers, which really bring value addition to the account.
The objective of this account is to instill saving and financial management habits among youth and equip them with necessary banking tools and resources. You can visit the official HDFC Bank page for the DigiSave Youth Account for more detailed information.
3. Union Bank
The Union Bank of India offers a Student Savings Account(SBZER) for students aged 10-25 years.
Key features Include:
- Eligibility: Students aged 10-25, automatically converted to a regular account at 25.
- ATM Access: 5 free transactions at Union Bank ATMs; 3-5 free transactions at other ATMs.
- Debit Card: Free issuance, daily limits of ₹25,000 for withdrawals, and ₹50,000 for POS.
- Insurance: ₹2 lakhs accident cover with the debit card.
- No Minimum Balance Charges: No Quarterly Average Balance requirement.
4.RBL BANK
RBL Bank Go Savings Account:
- Instant Digital Account: Open it online quickly with minimal paperwork.
- No Minimum Balance: There is no requirement to maintain any particular balance in the account.
- High Interest Rates: Be paid a competitive interest on every amount saved.
- Free ATM Withdrawals: Un Pond free ATM transactions can be availed at RBL Bank ATMs.
- Mobile Banking: Manage your account with an easy, mobile application.
5. Punjab National Bank (PNB)
PNB Junior SF Account:
- For Minors: Encourages children to develop savings habits.
- Zero Balance: No minimum balance required.
- Free Debit Card: Comes with a free debit card for transactions.
- Higher Interest Rates: Attractive interest rates on savings
- Parental Control: Parents or guardians can manage and monitor the account.
PNB Basic Savings Bank Deposit Account:
- No Minimum Balance: No requirement to maintain a minimum balance.
- Eligibility: Open to everyone, with a focus on low-income individuals.
- Free Services.
- Free ATM/Debit card.
- Four free withdrawals per month.
- Free passbook for account management.
- Basic Transactions: Deposit, withdraw, and remit funds easily.
- Interest: Earn interest based on PNB’s rates.
This account is ideal for people seeking a straightforward, low-cost banking option.
6. Indus Delite Savings Account
This Indus Delite Savings Account offers simple and convenient banking with zero-balance requirements and fully digital setup. It’s designed for ease of use, flexibility, and cost efficiency.
Features:
- Zero Balance Requirement: No minimum balance needed.
- Instant and Digital: Account can be opened online at any time.
- Paperless Process: No physical documents required.
Steps to Open:
- Verify PAN and Aadhaar: Ensure both documents are valid and linked.
- Fill Application Form: Provide necessary personal details.
- Complete Video-KYC: Conduct a video call with an IndusInd Bank representative
- Fund Your Account: Deposit an initial amount (small debit card fee applies).
Benefits:
- Convenience: Open and operate the account from anywhere, anytime.
- Accessibility: Simple, digital application process with minimal requirements.
- Cost-Effective: Minimal fees and no ongoing balance requirement.
The Indus Delite Savings Account offers convenient and accessible banking with zero-balance features and absolutely paperless set up. It’s designed for ease of use, flexibility, and cost efficiency
7.SBI
The SBI Savings Account for Minors offers its services to minors who lie between 10-18 years of age, through which they learn managing money with the help of a guardian. Easy account management; no minimum balance requirement. Online banking and ATM/debit card facilities are available.
Features:
- Eligibility Available to minors between 10-18 years. Type Regular Savings Account and Smart Savings Account. Joint Account The account can be opened jointly with a parent or guardian.
Opening Process:
- Visit a Branch: Go to the nearest SBI branch with required documents
- Provide Documents: Submit the minor’s birth certificate, a parent’s ID proof, and proof of address.
- Fill the Form: Complete the application form with necessary details.
Benefits:
- Interest Rate: Earn Interest on the deposited amount.
- No Minimum Balance: No requirement for a minimum balance.
- ATM/Debit Card: Minor gets an ATM/debit card (subject to branch policies).
Key Points:
- Account Management: Can be managed by the minor with guardian supervision.
- Online Banking: Access online banking facilities with guardian’s consent
- Educational Benefits: Helps teach financial literacy from a young age.
8.BANK OF BARODA
BOB BRO Savings Account is dedicated for students and young professionals with its zero-balance requirement and banking without any hassle; it provides an easy, inexpensive, and convenient way to manage money through competitive interest rates, online banking, and a debit card.
Who is it for?
Available to students, youths and professionals up to the age of 35 years.
Key Benefits:
- Zero Balance Requirement: This account has no minimum balance requirement.
- Interest Rate: It pays an attractive rate of interest on savings.
- ATM/Debit Card: This account is enabled with an ATM/debit card allowing easy money access
Procedure to Open Account:
- Visit the Branch: The customer has to visit a physical branch of Bank of Baroda to open the account
- Give Documents: Provide Identification proof, address proof and one passport size photograph.
- Fill the Form: Fill the application form with appropriate personal details.
Benefits:
- Digital Banking: Access to accounts online and via mobile devices to manage accounts.
- No Charges: No fees for maintenance or hidden fees.
- Convenience: Easy access to money near and far with ATMs and online banking.
Additional Features:
- Passbook: Provides a passbook for tracking transactions.
- Cheque Book: Available on request, though typically not required for a zero-balance account.
- Educational Discounts: Special offers for students and educational purposes.
9. Karur Vysya Bank
A special account designed to help students manage their finances more effectively and enjoy a host of benefits simultaneously.
Key Features:
- No Minimum Balance: No minimum balance to be maintained – A boon for students not having a regular income flow
- Passbook & Cheque Book: Passbook to maintain easy records and cheque book for smooth transactions.
- Internet & Mobile Banking: Internet and Mobile Banking facility to access their account.
- Free Debit Card: A free RuPay debit card for cash withdrawals and online purchases.
- Interest Rate: It carries the same competitive rate of interest as any other saving account.
- Age Limit: Students up to 29 years can open this account.
- Eligibility Criteria: A student who has completed his class X/th standard(10th) till the age of 29 years can open this account.
Students Aged 12 to 29 Years:
- For a student aged 12 – 29 years, the account shall be in the student’s name and managed by the student.
- A parent/guardian may be included as a joint holder—Either or Survivor.
Required Documents:
- ID Proof: Passport, Driver’s License, or National ID
- Proof of Address: Utility bill, Bank Statement, etc
How to Open: Get an application form from the nearest KVB branch and open the account with the required documents.
Conclusion:
In the final Conclusion, student bank account benefits include no minimum balance requirements, waived fees, and access to funds with ease. Basically, these accounts are designed to help students control the flow of money while offering practical tools like debit cards, online banking, and education. With the right student bank account in place, a student will have a head start toward their financial future while receiving the support and flexibility expected.
Written by – Lavanya