Managing your finances is ultimately your decision. So,
keeping track of your money is critical, whether it’s your enterprise or your
personal finances. You can perform regular banking operations using your
current account. However, maintaining the balance requirement becomes quite
difficult for anyone, whether an individual or a business. So, while you
receive payments and manage the cash flow, you cannot undermine the minimum
balance requirement in your account.
The best way to address the problem is by choosing a
zero-balance account. So, are you planning to opt for the zero balance current account opening online process? Here’s what you must learn
beforehand.
A Brief on Zero Balance Current Account – What’s It?
A zero-balance account lets you carry forward transactions
without hassles. You won’t have to worry about maintaining a minimum balance.
It’s an excellent solution for individuals or companies that need flexibility
with banking activities. The following points highlight the advantages of a
zero balance account.
No Need to Keep a Minimum Balance
Zero balance Current accounts don’t have any rules for
keeping a minimum balance. It lets every individual manage their banking
activities more flexibly. In addition, it also eliminates risks associated with
charges and penalties.
It also lets you avoid penalties or additional fees if you
cannot maintain a minimum balance. So, it’s a cost-effective choice, especially
for companies or people who struggle with unstable income or cash flow.
Accessible to Anyone
Another great plus of a zero balance account is that it is
available for anyone. So, whether you are an individual, startup business, or
small or mid-tier enterprise, you can consider opening such a bank account at
any point in time.
Entry-level individuals who are new to the banking world can
consider this current account from various types of current account. People who don’t know anything about banking terms and
rules can find this a great starting point. It offers the required banking
services without financial hassles.
Hassle-Free Transactions
These accounts help you with regular business transactions
without the requirement for additional expenses. It also lets businesses get
payments, issue their cheques, and perform daily financial activities
hassle-free.
A Step-by-Step Process to Opening The Zero Balance Account
The following are the steps you must undertake to open a
zero balance current account online:
- 1st: You first need to go to the official website of the
bank.
- 2nd: Now, you need to download the bank’s application form
for zero balance account
- 3rd: After this, you need to fill out the form by
mentioning your business or personal details
- 4th: Lastly, you need to submit the account opening form
alongside the necessary documents
The bank verifies the documents after you submit the form
online. Then, the bank will notify you after the account is opened. You might
alternatively visit the bank’s branch and open the account in person.
Your Zero Balance Account – Documents and Eligibility Criteria
The following are the types of candidates who can open a
zero-balance current account:
- Trusts
- Resident individual
- Sole proprietorship companies
- Private and public companies
- Partnership firms
- HUF or Hindu Undivided Family
If you are unsure about the documents, the following are the
things you may be asked for:
For Personal Zero Balance Account –
- 2 to 3 passport-size photos
- ID proofs like PAN card, Aadhaar card, driver’s license,
or passport
- Your full address, electricity bills, rental agreements,
or bank statements
For Business Zero Balance Account –
- Certificate of Incorporation
- AOA or Article of Association
- Memorandum and Articles of Association
- Partnership Deed
- GST number and more
You may be asked for the KYC form provided by your bank while
opting for the zero balance current account opening online.
