The basic concern of senior citizens in their golden years is to get a steady return on their savings or retirement funds. This is not the time when they are looking for exceptional profits with the only concern being that their funds remain safe. They are looking to live a healthy and happy life with easy access to health care facilities and physician consultation. One such option available in our country is a specialised savings account for senior citizens.
The Senior Citizen Savings accounts offer interest rates that are a little higher than the normal savings accounts. Banks also offer personalised services such as free doorstep banking, preferential rates on fixed and recurring deposits, and priority service at their branches. Some banks also offer special discounts and benefits related to health and medical check ups through partnerships with hospitals, diagnostic centres and home care centres.
What is a Senior Citizen Savings Account?
This savings account is specially designed to meet the requirements of senior citizens- Indian citizens or residents of India above 60 years of age. The process of opening this account is very simple and requires filling out a form to provide personal details like name, age, address, and a photograph. The form has to be accompanied by a copy of the applicant’s Aadhar card and PAN number. Most banks also offer a debit card on the opening of a savings account. There is also an option of opening your savings account online by visiting the bank’s website.
Benefits of a Senior Citizen Savings Account
Senior Citizen Savings Account has been specially designed to assure old people that their money is safe and will earn them good returns.
Here are some benefits of a Senior Citizen Savings Account:
- Higher Interest Rates: The interest rate is generally 0.25% or 0.50% higher on senior citizen savings accounts than the normal savings accounts.
- Personalized Services: Banks are required to offer preference to senior citizens in their dealings so that they do not have to wait in queues for a long time to carry out their normal banking transactions. Banks generally have a special desk to service the needs of their senior citizen customers with many even offering home services for the convenience of old people.
- Free Debit Card: Banks generally offer senior citizens a free debit card when they open a savings account with them. Also offered are free unlimited transactions on their ATM card.
- Preferential Rates on Fixed and Recurring Deposits: Senior citizens also get access to higher interest rates on their fixed deposits with the same bank in which they have a savings account.
- Health-Related Benefits: Some banks also offer free health insurance cover or accidental insurance to their account holders. Many others offer membership of the Indian Health Organisation with free teleconsultation and free one-time essential medical tests or coupons to buy medicines. Another benefit is easy access to the partner hospitals and health centres of your bank.
- Other Perks: Senior citizen savings account also come with a variety of perks like a discount on locker charges or special benefits on their debit cards.
The benefit of higher interest rate on savings account for senior citizens and preferential treatment for various services are aimed at ensuring that they live a happy and contented life.