Opening a bank account was a complicated process earlier where a customer had to visit the bank premises with multiple documents, and the processing took days. However, the advent of digitization and the effect of Covid-19 has made financial institutions reinvent their whole banking strategy and make it more convenient.
To adhere to the contactless interaction promoted across the service industry, prominent banks & other financial institutions have come up with the facility for instant account opening online. You do not have to visit the branch and carry physical documentation like you used to do in the past. You need to submit your PAN card and Aadhar card as proof to open an account with the bank.
How to open a bank account digitally?
One can open a savings account in less than 10 minutes with the new digital savings account option. Here’s the step-by-step process:
- Go to the website of the bank where you want an account
- Have all the details ready, along with the PAN card and Aadhaar card
- Ensure you provide correct information to avoid discrepancies later
- Choose the account variant
- Provide personal information
- Complete video KYC process
Features of digital savings account
Mobile app:
Once you have completed the instant account opening online process, you can use the bank’s mobile app to track the status of any request, complete fund transfer, check account balance, etc. It contrasts with the physical cheque transfer where you have to wait for several days for the cheque clearance.
Digital transactions:
Almost all financial institutions promote digital transactions at various shopping and other person-to-person interaction points to reduce cash transfer. Note that post-Covid-19, people are not comfortable using cash for transactions and are ready to adapt to the new normal of ‘digital only’. You can also organize the bill-paying process in one place to not have to worry about missing the due dates. The customers can either use the mobile app or UPI app promoted by the financial institution for the aforementioned usage.
Security:
Banks typically have one of the most sophisticated and fool-proof security systems that can counter any cyberattack on the banking system. Banks deploy two-factor authentication and other security best practices to ensure that customers do not have to be concerned about their account’s safety.
Promotes savings and investment:
It is easier than ever to open a savings account that helps the customers build a sound financial strategy. People can either save money and get attractive interest rates or invest in instruments like fixed deposits, a recurring deposit with low risk compared to other investment modes.
24×7/365 access:
The digital age has made sure that you do not depend on the bank’s physical premises to complete the transactions. You may want to initiate an emergency fund transfer, and with the digital savings account, it is much easier to transfer the money in seconds.
Conclusion
The most significant advantage of digital savings accounts is the convenience and the empowerment of the consumers. However, choosing a reliable bank is critical as it concerns your hard-earned money, and you cannot be complacent about it. Hence, it is better to select a digitally robust bank, which is also customer-friendly and has a good reputation.
