There are four types of in India. Foreign and cooperative banks, private banks, and public-sector or national banks are some of the private banks. You can open an account in any of these banks. Let's start with the first type, the savings bank account. These deposit accounts are for consumers to save money, as the name suggests. Any India resident can open a savings bank account if they have two things: an Aadhaar card and PAN. If you want to open a savings bank account, you have to do both of these things. Let's talk about some key features of a savings bank account. There are exceptions when the minimum balance criteria is not applicable. There is no minimum balance requirement if you have opened your savings account under the government's financial inclusion plan or the Pradhan Mantri Jan Dhan Yojana. The second type is the Current account. These accounts are basically used for daily business activities. In simpler terms, there is a need to transfer money from one account to another.
These are mostly business accounts and are used by corporations and businessmen. If you want to know more about the benefit of having a current account, it has a special overdraft facility. You can withdraw more money than what is in your account. The third account type we talk about is the salary account. These accounts are for the purpose of salary transfer, as the name suggests. Banks allow these accounts to be allowed on requests by corporations and entities that want to disburse salaries to employees. The account where you get your monthly salary is called a salary account. Let's talk about the fourth type: Demat accounts. This account helps investors hold securities in the electronic form. That helps you keep track of all your investments, whether it's mutual funds, shares, bonds or exchange-traded funds. It helps investors to trade and invest in equity shares in the stock market and converts the share certificates from the physical form to the electronic form.