As a woman, managing finances can be a challenging task, especially when you have to juggle multiple responsibilities. Perhaps you are a working mother trying to balance your career and family obligations or a single woman trying to establish herself independently. In any case, financial independence and security are crucial for all women. Given its importance, banks now offer women-specific savings accounts.
Women’s savings accounts come with exclusive perks and benefits to support women’s financial independence. They allow you to save money and earn interest while receiving personalized support to achieve your financial objectives. However, opening an account is simply the first step. To maximize its value, you must be strategic and intentional with your savings.
Here are some tips and advice to maximize the value of your women’s savings account and ensure your financial security.
Low fees and high-interest rates
Some banks charge lower fees for high ATM withdrawals, account maintenance, and overdrafts, which can add to your savings over time. Other banks may offer higher interest rates for savings accounts, which can help grow your savings faster. Also, always check for minimum balance requirements and select a woman’s savings account with reasonable conditions.
Don’t settle for the first option; explore your prospects to build up your savings more efficiently.
Automate your savings through the ActivMoney facility
Look for savings accounts that offer the ActivMoney feature. It is an auto sweep facility that transfers any excess funds in your account beyond a set threshold to a fixed deposit for 180 days, thereby helping to earn higher interest rates.
For instance, if your account’s threshold is Rs. 25,000 and you have Rs. 35,000, the additional Rs. Ten thousand will earn FD-like returns. Furthermore, if your savings account balance falls below the set threshold, your FD compensates the shortfall automatically, keeping you penalty-free on premature withdrawals.
Have multiple women’s savings accounts
There are many benefits of savings accounts, and each bank has different features, interest rates, services, and exclusive discounts in finance, dining, health, and lifestyle. You can take advantage of these benefits and maximize your savings potential.
Having separate accounts also lets you track your spending habits, categorize your savings, and prioritize your goals. For example, you can open a savings account for regular expenses, another for rainy-day funds, and another for long-term savings such as vacations or a down payment on a house.
Dedicatedly save a portion of what you earn.
No matter how small, saving a portion of your earnings is important. To make sure you are on track:
- Create a budget that suits your lifestyle and stick to it.
- Follow the 50/30/20 budgeting rule, which allocates 50% of your income for essentials, 30% for discretionary spending (wants), and 20% for savings.
- Make actionable savings goals and actively work to achieve them.
- Keep these savings in a different account to avoid mixing them with your day-to-day expenses.
Empower your future with a women’s savings account.
Financial independence is essential for all women, and a savings account can be a great starting point. With the right bank, interest rates, and savings plan, you can create a financial foundation to support your future investments, help you meet unexpected expenses, and achieve your goals.
With the seamless online application process, you can easily apply for a women’s savings account from the comfort of your home. Go to your bank website, fill out the application form, complete the process with the following instructions, and enjoy exclusive women-centric features and perks.