Opening of an account.pptx-Procedures-Document Required

A bank account is an arrangement with a bank that allows customers to deposit and withdraw money. Opening an account is the first step toward financial inclusion and access to banking services.

1. Opening of a Bank Account Procedure, Documents, and Types of Accounts Dr Jenifer Thangam J Assistant Professor Sri Ramakrishna College of Arts & science

2. Introduction A bank account is an arrangement with a bank that allows customers to deposit and withdraw money. Opening an account is the first step toward financial inclusion and access to banking services. Banks act as intermediaries between depositors and borrowers. Importance of Opening a Bank Account Safe custody of money Easy access to funds Facilitates savings and investment Enables online transactions and digital payments Helps in availing loans and credit facilities Necessary for receiving salaries, subsidies, and pensions

3. Types of Bank Accounts Savings Account – for individuals to save regularly Current Account – for business transactions Fixed Deposit Account – deposits for a fixed period at higher interest Recurring Deposit Account – regular monthly deposits Procedure for Opening a Bank Account Choose the Type of Account Obtain Account Opening Form (AOF) Fill and Submit the Form with required details Attach Required Documents (Proofs) Verification by Bank Officer Deposit Initial Amount Issue of Passbook / Cheque Book / Debit Card

4. Documents Required (KYC Norms) Proof of Identity: Aadhaar, PAN, Passport, Voter ID Proof of Address: Electricity Bill, Telephone Bill, Rent Agreement Recent Passport-size Photographs PAN Card or Form 60 For minors, introduction by guardian is required Know Your Customer (KYC) Introduced by RBI to prevent money laundering and fraud KYC Components: Customer Identification Customer Verification Ongoing Monitoring Ensures transparency and security in banking operations

5. Online Account Opening Many banks now offer digital onboarding Steps include: Fill online form Upload e-KYC documents Video verification Receive account number and details instantly Benefits: Quick, paperless, and convenient Benefits of Having a Bank Account Safety of funds Earn interest Easy fund transfer Access to loans and credit cards Bill payments and online services Record of transactions