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All About the Federal Bank Savings Account

Federal Bank Savings Account - Complete Details

The Federal Bank offers its customers an investment scheme whereby they can safeguard their savings and earn a return. The reliable and safe investment scheme is a Federal bank savings account, and the federal bank savings account interest rate is considerably high, up to 2.50%. The customer need not visit the bank to open a Federal bank savings account; they can do it via a video call. 

Federal Bank aims to make banking convenient for its customers. It thus offers several facilities to its customer, viz. Internet Banking, online bill payments, fund transfers and e-statements. Customers only need to identify the facilities they need and opt for the right savings account from the wide variety of Federal savings accounts.

Features of Federal Bank Savings Account 

One of the most reliable banks in the country got the name Federal Bank in 1947. The following are its features:

  • There is no limit to the federal bank savings account maximum balance.
  • The federal bank savings account minimum balance varies depending on the type of savings account.
  • Customers can withdraw funds from their Federal Bank savings account via cheque, debit card, credit card, ATM, UPI or net banking.
  •  The Federal Bank savings account interest rate is much higher than other banks. It depends on the type of account.
  • The bank credits its customer's savings accounts with interest at the end of each quarter.
  • The Federal Bank savings account interest rates are as follows:
    • If the Federal bank savings account balance is INR 5 crores or above, the bank will pay an interest rate of 1.5% below the Repo rate for a sum of INR 1L. The remaining amount in the savings account will pay 0.2% less than the Repo rate.
    • The Federal bank pays interest at the rate of 1.5% below the Repo rate if the balance is INR 5 crore or lesser.
  • Any individual who is 18 years old or older can open a Federal savings account.
  • The Federal bank allows the guardian or parent of individuals who are not yet 18 years old to open a Federal bank savings account.

Eligibility

It is convenient for customers to open a Federal bank savings account. The bank extends 24 x 7 customer service to help its customers to open or manage their accounts via net banking. 

But who can open a Federal bank savings account? 

  • Resident Individuals (sole or joint account)
  • Hindu Undivided Families
  • Trusts
  • Associations
  • Clubs or Societies
  • Foreign Nationals residing in India (as permitted by Foreign Exchange Management Act)
  • Others who are permitted explicitly by RBI
  • The guardian or parent of a Minor on behalf of any individual below 18 years

Anyone who fulfills the above conditions and submits the necessary KYC documents can open a Federal bank savings account.

Essential Documents for Opening a Federal Bank Savings Account

An individual must submit the Federal bank savings account Opening Form (AOF), the nomination form, and the KYC form with all the relevant details and documents. If the applicant does not have a PAN card, they must submit Form 60 and the above-mentioned documents to open a Federal bank savings account. The applicants can decide on a joint or single statement. However, if the Federal bank savings account is a joint holding, all the applicants must submit the necessary documents.

Please find the list of essential documents to open a Federal bank savings account below:

  • The applicant must submit 2 photographs (passport-sized)
  • The applicant must submit the following document along with the KYC form:
    1. Identity proof - passport, voter ID, driver's license with validity, NREGA job card, authenticated by a competent Government authority, PAN card, or Aadhaar card.
    2. Address Proof - Ration card, Utility bills, passport, voter ID, driver's license with validity, NREGA job card, authenticated by a competent Government authority, PAN card, or Aadhaar card.
  • If the applicant wishes to have a nominee for their savings bank account, they must also submit Form DA-1, along with the relevant nomination.

How to Open a Federal Bank Savings Account

The federal bank offers its customers an online option of opening a federal bank savings account. Alternatively, an individual can also opt to open a savings bank account by visiting the bank premises and filling in the necessary form in the offline mode.  

Here is how an individual can submit a savings bank AOF:

  • Personally, visit the bank and obtain the savings bank AOF or visit the portal of Federal bank and download the form.
  • Enquire about the necessary forms to submit along with the AOF or research the information online.
  • Enlist the essential documents to submit with the AOF and keep them ready.
  • Submit the duly filled-up AOF along with the document to satisfy the KYC requirement and two passport-sized photographs to the nearest Federal bank branch.
  • The bank will process the request to open a savings bank account and mail the welcome kit to the new customer at their residential address, as stated in the AOF.
  • The welcome kit comprises a debit or credit card and the FedNet Pin.

An individual can open Federal bank savings account online as follows:

Visit the official website of the Federal bank and open a savings bank account by clicking on the open an account option. The drop menu will give the following options for the customer to choose the relevant one:

  • Personal Banking Customer
  • NRI Banking Customer
  • Business Banking Customer

Input personal details on the online AOF, such as:

  • Full name of the applicant
  • Email ID
  • Valid mobile number

Ensure that every necessary detail is input. Check the accuracy of the personal details and click on submit.

The bank will email the AOF and the customer a list of the submitted documents. Please print out the AOF and submit it along with the KYC documents and 2 passport-sized photographs to the nearest branch of the Federal Bank. On receipt, the bank provides the new customer with the account opening-ready kit. 

Opening a Federal Bank Savings Account Via Video Based Account Opening (VAO)

An individual can also instantaneously open Federal savings account through a video call. That eliminates the need to visit the bank to submit the necessary documents for the KYC procedure. 

The customer can open a joint or single account, and the customers can operate their joint account in the "Either or Survivor" mode for any account holder to open the account. The account holders can also hold the Federal bank savings account as a "joint by all" holding where the bank will require a mandate of all the holders before permitting a transaction. In such a scenario, a Federal bank savings account can have only 3 joint holders.

Preparation for Video Based Account Opening (VAO)

Keep the following elements ready before dialing in to open via VAO:

  • Virtual ID or Aadhar card Number
  • PAN card

Varieties of Federal Bank Savings Accounts

One of the primary reasons for an individual with a savings bank requirement to open it at the Federal bank is the Federal bank savings account type. The various kinds of Federal savings accounts, along with their main features, are listed below:

FedBook Selfie

The Federal bank savings account minimum balance requirement for the Fedbood Selfie Federal bank savings account is zero. Use the FedBook mobile app and a smartphone to click a selfie and upload the scanned documents to satisfy the KYC requirement. 

Free offers : 

  • Fedbook 
  • Fedmobile

Bespoke Savings Account

The customer can earn interest up to 6.5% for a Federal bank savings account balance of INR 3L. The debit card under the scheme is Rupay Platinum, and the Federal bank savings account minimum balancerequirement is 2L.

Free offers: 

  • 20 cheque leaves at each quarter
  • Daily POS transactions up to INR 1L 
  • Daily ATM withdrawals up to INR 1L

FedFirst

It is an excellent incentive for children up to 18 years to save their pocket money and invest in recurring deposits and SIP. 

Free offers:

  • Free Mobile alerts & Free Email Alerts
  • Free fund transfer from parents' account to children's account.

Fed Excel

The saving scheme is an excellent liquidity option for entrepreneurs and professionals. The debit card is Visa International Gold.

Free offers:

  • 20 cheque leaves at half-yearly
  • Free monthly demand draft up to INR 1L
  • Daily ATM withdrawals up to INR 1L
  • Daily POS transactions up to 1L

SB Plus

The saving account provides a Crown (VISA Classic) debit card, RTGS / NEFT facility available, and much more for the dynamic customer who desires to use their savings bank account to the fullest. The Federal bank savings account minimum balance requirement is INR 5000.

Free offers:

  • Free 20-Cheque leaves half-yearly
  • 2 folios free at each quarter
  • Monthly Demand Draft limit up to INR. 10,000

Fed Power +

The savings bank account provides its depositors with a VISA Platinum Debit Card, a high daily ATM withdrawal limit, and several relaxations on the Federal bank loan products. The Federal bank savings account minimum balancerequirement is INR 25,000.

Free offers:

  • Processing Fee for all Retail Loan Products waived off up to 50%
  • 3 folios free at each quarter
  • Monthly Demand Draft limit up to INR. 50,000

Mahilamitra Plus

Mahilamitra Plus has special features for women, including contactless VISA Classic (CROWN) Debit cards, daily ATM withdrawals of up to INR 50,000, and POS limits of up to INR 1L. The Federal bank savings account minimum balance requirement is INR 5,000.

Free offers:

  • Complementary insurance of INR 80.75 L (conditions apply)
  • Home Loan at 0.6% lower than bank's card rate (conditions apply)

Yuvamitra

Contactless Debit Cards, Mobile Banking, Internet Banking and FedBook, and everything else students need are available with the Yuvamitra account. The federal bank savings account minimum balance requirement is zero, and students in the 18 - 25 age group can opt for it.

Free offers:

  • 20 cheque leaves half yearly
  • 1 folio free quarterly

Fed Smart

Here is a smart savings account with several new-age banking features. The bank issues a VISA signature Imperio Debit Card and the federal bank savings account minimum balance requirement is INR 1L.

Free offers:

  • A waiver of 50% on processing fee and Zero folio charges for retail loan products.
  • No limits to DD

BSBDA

The Basic Savings Bank Deposit Account is a zero-balance savings account, and customers can view their accounts on Fednet.

Free offers:

  • No charges for Government subsidy on Aadhaar card credit 
  • Collection of Cheques is free (conditions apply)

SHRENI

It works well for trusts, associations, clubs, societies and housing cooperative societies, and Non-Governmental organisations (NGOs), trading or rendering professional services for profit-earning and non-profit earning. The Federal bank savings account minimum balance requirement is zero.

Free Offer:

  • No cash withdrawal charges
  • For each quarter, up to 50 free transactions

Club Savings Account

Metro residents and organisations in the metros in India can operate a Club Saving account at Federal Bank. They will use a CROWN (VISA Classic) Debit Card and receive mobile alerts via SMS at 50 paise per SMS. The bank provides IMPS, RTGS, and NEFT facilities. The Federal bank savings account minimum balance requirement is INR 5000.

Free Offers:

  • 1 folio quarterly
  • 20 Cheque leaves half-yearly

Delite Savings Account

The Federal bank offers the Delite savings account to individuals in urban or semi-urban areas. After opening the account, the bank provides the customer with the CROWN (VISA Classic) Debit Card. The Federal bank savings account minimum balance requirement is INR 3000.

Free Offers:

  • 20 Cheque leaves half-yearly
  • 1 folio quarterly 

Pride Savings Account

The bank offers Pride Federal bank savings account only to individuals in rural areas and provides them with a Master Crown Debit Card. The Average Monthly Balance (AMB) is 2000

Free offers:

  • Quarterly 1 folio
  • Half-yearly 20 Cheque leaves

An Example

A businessman wants to maintain an emergency fund with liquidity, so he decides to save using the Federal Bank Savings account. He thus transfers INR 5000 every month from the business's current account to his personal Federal savings account.

After two years of holding the money in a Federal bank savings account, his father suddenly fell ill and needed immediate hospitalisation. He had medical insurance but had to cover a substantial amount of about INR 80,000. 

Because of the Federal savings account he maintained as an emergency fund, he could immediately withdraw the sum without breaking any of his investments.

Takeaway

The easy liquidity of the Federal Bank Savings account and the high-interest rate make it the best option for customers who want to maintain an emergency fund. A Federal Savings account is helpful for those customers who need short-term cash.

The customer can deposit any amount of money in the Federal bank savings account as it does not have a maximum limit. However, the Federal bank savings account minimum balance differs depending on the type of Federal savings account.

Wrapping Up

The erstwhile Travancore Federal bank, with its headquarters in Aluva, Kerala, is now Federal Bank and has 1250 branches and 1510 ATMs in India. It aims to offer seamless banking services to its customers – internet banking, electronic fund transfers, and online payment are some of them. 

FAQs

How to open a Federal Bank Savings Account through the FedMobile app?

Download the FedMobile app from the play store or the App Store and complete activation using the same mobile number as in the Aadhar card. Click on Federal Bank Savings Account and input the Aadhar number. Receive the Aadhar OTP and input the same along with personal details and base branch. Scan and upload KYC documents and input profile details and nominations. The customer will receive a message that the Federal Bank Savings Account is ready and can create an MPIN and log in.

What are the prerequisites to open an eKYC account for Federal Bank Savings Account?

Any individual who is a resident of India and is 18 years old can open an eKYC account through their Indian Mobile number.

I cannot open a Federal Bank Savings Account online because I still need to receive the Aadhar OTP. Why?

Because the current location differs from the one on the Aadhaar card, UIDAI cannot send the OTP. Switch to the selfie Federal Bank Savings Account opening process to open a Federal savings account.

How can I track my Federal Bank Savings Account?

Use Fedbook, the digital passbook, to track the Federal Savings account.

How can the FedMobile app help me?

The FedMobile app provides a mobile banking facility. Customers can use the app to transfer funds online, scan QR codes and pay, make UPI payments, transfer funds for investments, recharge, and make other such payments.

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