Looking to Open a Current Account? Follow These Simple Steps!

17 APRIL, 2023

Often, the first time a person visits a bank is to open a bank account. And why not? A bank account helps deposit and withdraw money safely. However, among all the different kinds of bank accounts offered by banks, a Current Account is the most suitable account for businesses as it helps in meeting the varied needs of a business. A Current Account is a deposit account that can help a business manage its daily transactions smoothly. A Current Account also helps deposit and withdraw funds any number of times without any additional fee.

If you are planning to start your business, there are high chances that you would need a Current Account to function properly. However, if you are new to the banking world, here is a guide with simple steps to open a Current Account. Take a look.

Steps to follow to open a Current Account

• Check your eligibility

Check if you are eligible for the Current Account. You can ask the bank representative or visit the website to know the eligibility. The banks could have different eligibility criteria for Indian residents and NRIs.

• Get the application form

You will need an application form for the Current Account. You can visit your nearest bank branch and ask for the account opening form. You can also do it online. Visit the bank’s website and download the form.

• Fill in your details

Once you have the form, fill in your personal and professional details. Depending on the bank you want an account with, you will be asked for details like name, phone number, address, email, business details, nominee details, date of birth etc. If you are doubtful about any column in the form, you can ask the bank officials to guide you.

• Furnish the documents

Furnish all the documents required for the Current Account. Completing KYC formality and documentation is a crucial aspect of the account opening. Some of the documents you would need are:

• Address and Identity proof of the business owner
• Proof of address and existence of the business
• Tax registration documents
• Relevant authority’s licenses

It would be best to contact the bank’s official for the complete list of documents needed.

• Submit the form

Once you have filled the application form with all the updated details, submit it with the documents. After completing these formalities, the bank will inform you if they need any more information and signature. If your documents are complete, they will intimate you when the account is opened.

• Benefits of a Current Account

There are various benefits of a Current Account that can be useful for your business.

• You get an overdraft facility with a Current Account
• There is no limit on the deposit and withdrawal of funds
• You get the facility of net banking and mobile app
• You can make direct payments from your account

Banks rely on your KYC process and documents for verifying your information. Therefore, ensure that you furnish accurate and updated documents. In addition, you must read about the fees, whether you opt for the offline mode or apply for a Current Account online.