Salary Account vs Savings Account


  • While many people think that a salary account and a savings account are just two ways of referring to the same account, there are some distinct differences between the two. Let’s take a look at some of the differences between a salary account and a savings account.
  • There are two main differences between Salary and Savings accounts -
One – Purpose of these accounts
  • A salary account is opened by a company for each of its employees to deposit their salaries directly into their accounts. A Savings Account is opened by anyone who wishes to deposit his or her money with a bank.
  • Anyone can open a Savings Account in a bank. But a salary account is usually opened by employers for their employees so they can deposit their remuneration in their respective accounts. The employer opens salary accounts in a bank with which the company has a relationship.
Two - Minimum Balance Requirement
  • Salary accounts come with a zero minimum balance requirement. However, savings accounts, depending on the bank you open your account with, usually insist that you maintain a certain balance in your account, failing which you might have to pay a penalty.
  • On the other hand, interest rates are the same for both Savings and Salary accounts. They both come with Debit Cards, Rewards Points and online banking services.
Conversion of one account to the other
  • Subject to some conditions, it is possible to convert a Savings Account into a Salary Account and vice versa. If there is no salary credit to your account for more than a certain number of months, some banks convert it into a regular Savings Account with a need to maintain a minimum balance. On the other hand, if you already have an account with the bank your employer uses to credit your salary, it is possible to convert a Savings Account into a Salary Account.
  • The Citibank Suvidha Salary Account is a good, stable and secure account to have as a salary account. It brings you several advantages, not the least of which is the advantage of anytime/anywhere banking with Citi’s digital platforms.
You can also -
  • Sign up for e-statements and go paperless to reduce your environmental footprint.
  • Update your mailing address, phone numbers and e-mail address without any trouble of filling up paperwork.
  • Make payments for utility bills and credit cards with ease – experience the convenience of anytime, anywhere banking.
  • Get your queries answered through our tool, "Ask Me" – if you have any concerns or questions.
  • 24x7 access to your account details – you don’t have to wait for banking hours to walk into a branch. You will have access to all your account information at all times.
  • Quick access to your account/card summary without any login with Snapshot.
  • Stay up to date with latest deals and offers via notifications – sign up to make sure you don’t miss any relevant offers.
  • Open an investment account and manage your investments on-the-go.
  • Apply for cards, loans and insurance anytime, anywhere.
  • Explore offers available on your debit and credit cards through the Citi Mobile app.
  • Do digital wallet recharges on the Mobile App.
Apart from all this, the Citibank Suvidha Salary Account comes with
  • Preferential pricing on Citibank products
  • A powerful debit card
  • Attractive offers on your Debit Card
  • Overdraft up to 5 times your monthly salary (up to INR 5 lacs)
  • Reward Points that you can earn on transactions and purchases that you can redeem for cash (conditions apply)
  • The ability to pay bills online which also earn Reward Points
  • Utility bill payment facility to over 200 service providers across India
  • Complimentary Investment Services Account and access to up-to-date investment intelligence
  • Comprehensive insurance solutions for your family and you
  • Complimentary personal accident cover of Rs.10 lakhs
  • No cost Demand Draft delivery at 1,100 locations in India
  • Complimentary NEFT, RTGS and IMPS funds transfer