How to open a Salary Account? This is a common question for new employees or those changing jobs. A Salary Account is a specialised bank account designed to receive regular income from your employer.
These days, banks offer various types of Salary Accounts under specific programmes. For example, Axis Bank's SUVIDHA Salary Programme provides different Salary Accounts, with benefits such as complimentary Credit Cards, Insurance plans, preferential loan rates and varying withdrawal and shopping limits.
Steps to open a Salary Account
1. Preparation
Start by researching different banks and their account offerings. Compare features, such as minimum balance requirements, interest rates and additional benefits like free Insurance or preferential loan rates. Collect all necessary documents, including your ID proof (such as PAN / Aadhaar / passport), address proof, recent passport-sized photographs, and your employee ID or appointment letter from your company.
2. Application and document submission
- Via employer: Many companies have tie-ups with specific banks, and they can facilitate opening Salary Accounts for their employees. Your employer can provide the necessary forms and help you submit the required documents for quicker opening of a Salary Account.
- Online: Some banks allow you to open a Salary Account online instantly by visiting their website, filling out an application form and uploading the necessary documents. Banks like Axis Bank allow you to open an account using your PAN, Aadhaar and a video KYC, making it convenient.
3. Account activation process
After submitting your application and the required documents, the bank will verify the information provided. Once verified, the bank will process your application and activate your Salary Account. You will receive your account number, internet banking credentials, and a welcome kit containing your Debit Card and chequebook. You can set up online and mobile banking for easy management of your account.
InstaAccount
Some banks offer InstaAccount or similar services for those needing an account opening urgently. These accounts are enabled with internet banking and mobile banking, allowing you to start transactions within 48 hours of account activation. To open an InstaAccount, you will need an operational mobile number, as well as Aadhaar and PAN.
Reimbursement account
Some employers offer the option of a separate reimbursement account linked to your main Salary Account. This account is specifically for expense reimbursements, helping you keep your regular salary and reimbursements separate for easier financial management and tax purposes.
Also Read: Salary Account vs Savings Account
Conclusion
Knowing how to open a Salary Account can streamline your professional journey and banking experience. Choose a bank with good terms, like low fees and perks. Go to their website or app, fill out a form with your info and job details, and upload IDs. They might need your job info or pay slip too. After they approve it, you'll get your account details, along with a Debit Card.
Choose Axis Bank for all your financial needs and enjoy hassle-free banking.
Disclaimer: This article is for information purpose only. The views expressed in this article are personal and do not necessarily constitute the views of Axis Bank Ltd. and its employees. Axis Bank Ltd. and/or the author shall not be responsible for any direct / indirect loss or liability incurred by the reader for taking any financial decisions based on the contents and information. Please consult your financial advisor before making any financial decision
