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Too many accounts can eat into your savings



How many savings accounts do you have? For those who have worked in multiple organisations over a period of time, you may have multiple salary savings accounts opened by your employers.

You may have accounts opened with the help of your parents when you first entered the work force or before getting an income. Some may have opened a savings account just because a banker asked them to open one. But do you still use all of them and how many is too many?

Restrict yourself to three savings accounts

Before opening a bank account, find the purpose of the savings account. You need to label each bank account with a purpose. The three purposes a savings account can fulfil include income, expenses and investment. Once you label each of the savings accounts, use it for the assigned needs.

For instance, the income account will see all the money flow in the form of salary and dividends. The savings account for expenses is where you need to park the amount that you will spend on grocery, rent and to pay bills.

The third account is where you move the money for savings and investments on a monthly basis. If you are disciplined, you can stick to two bank accounts—your income and investment can be one account and the money for all your expenses can be parked in a separate account.

Too many accounts can eat into your savings

Savings accounts are not for free. There is usually a cost attached to the service. For instance, you will have to maintain an average monthly balance, failing which you will have to pay a penalty. “Multiple savings accounts come with associated costs in the form of annual debit card charges and the opportunity cost of maintaining monthly average balance in each account for lower returns,” said Sahil Arora, head of payment products at, a marketplace for loans and credit cards. Another issue is the amount of money you keep locked-in in your accounts.

“The more accounts you hold, the more money you keep locked in the accounts as minimum balance requirements,” said Navin Chandani, chief business development officer of, online market place for banking and investment products. “This requirement ranges from ?5,000 to ?10,000. So in case you have five savings accounts, anything from ?25,000 to ?50,000 would remain in these accounts, giving you returns at the rate of 3-4% on an annual basis,” he added. Instead of leaving the money idle, you can invest in other financial instruments.

Consider a joint account

Whether you are married or unmarried, there is the usual question of whether you should have joint account with your parents and spouse? The answer depends on your relationship with your family members as well as the financial behaviour of each individual account holder. “If all the holders have a good financial understanding, trust and joint goals, it makes sense to be co-holders. Also, it is better to opt for either or any one survivor over joint option,” said Deepali Sen, founder of Srujan Financial Advisers LLP. If you are working towards the same investment goal, such as your child’s education or retirement, you can opt for a joint account. If the financial behaviour is completely opposite and creates distress, it would be better to keep the accounts separate.

Money forgotten is money lost

There could be situation where you don’t remember a saving account opened 10-15 years ago. In case you have money left in the account, a forgotten bank account is equal to money lost. Also, since the bank will deduct money for their services such as debit card charges and other bank charges, you will actually see the money depleting. Also your nominee will face inconvenience due to dormant accounts. “As an inheritor, it is inconvenient to go through and settle finances of the 6-7 bank accounts that you are inheriting. The banks take time to arrive at the rightful heir and you will go through a lot of inconvenience,” said Shyam Sunder, founder of Bengalurubased PeakAlpha Investment Services Private Ltd.

Hence, even if the extra bank accounts that you have at bay do not currently charge you that extra dime, it is only safer to close them down and clean up your finances.



Breaking News: Silicon Valley Bank’s Collapse Sends Shockwaves Through Financial World – Is India’s Banking System Next to Crumble?



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Are Indian Banks Ready to Face the Heat of Rising Interest Rates?

As Silicon Valley Bank (SVB) faces the heat of collapsing amidst rising domestic interest rates, Indian banks are left wondering if they are next in line. With the Indian economy still recovering from the COVID-19 pandemic, the prospect of rising interest rates could lead to a devastating blow to the country’s banking sector. Will Indian banks be able to weather the storm or will they collapse like SVB?

Indian banks have already faced a tumultuous few years with multiple frauds and defaults taking place, leaving many questioning their resilience. With the Reserve Bank of India (RBI) indicating that it may hike interest rates in the near future, the pressure on Indian banks is set to increase. The question remains – are Indian banks prepared to face the heat of rising interest rates or will they buckle under the pressure? Only time will tell.

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Delhi: Businesses can now remain open 24×7, over 300 applications cleared by L-G



Photo by Rehan Fazal on Unsplash

From restaurants to transport services and BPOs to online delivery services, all those who apply for exemptions will be allowed to operate 24×7 in Delhi starting next week, with Lieutenant Governor V K Saxena approving the proposal to exempt 314 such places to operate all day long, some of them pending since 2016, officials said.

“The L-G has directed that notification to this effect be issued within seven days. The decision of providing exemption under Sections 14, 15 & 16 of the Delhi Shops & Establishment Act, 1954, is expected to boost employment generation and promote a positive and favorable business environment that is a prerequisite for economic growth. The decision will also provide a fillip to the much desired ‘nightlife’ in the city,” said an official.

Source: IndianExpress

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Swiggy Instamart figures, Mumbaikars ordered 570 times more condoms in the last one year



Customers are also ordering medical-related things through online shopping platforms. In metros like Mumbai, Hyderabad, Delhi, and Bangalore, people are buying goods online in large numbers. People living in metro cities including Bengaluru, Delhi, and Mumbai ordered an average of 6 million eggs in the last year.

These days people are doing online shopping fiercely in the country. Through Grocery Service Platforms, the goods of need are easily reaching people’s homes. From vegetables to medicines, just a few clicks on the smartphone are reaching people’s doorsteps. According to a survey, Swiggy Instamart has provided service to more than 9 million users between June 2021 and June 2022. In metros like Mumbai, Hyderabad, Delhi, and Bangalore, people are buying goods online in large numbers.

Healthcare products orders

Customers are also ordering medical-related things through online shopping platforms. According to a survey, Mumbaikars have ordered 570 times more condoms in the last 12 months. At the same time, in 2021, Instamart received orders for about two million sanitary napkins, menstrual cups, and tampons. Apart from this, a lot of orders have also been received for grocery items.

56 lakh packets of noodles ordered

According to the survey, between April and June last year, there was a 42 percent increase in the demand for ice cream in these metro cities. It was also learned that most of the orders were placed after 10 pm. In metro cities, people have ordered 5.6 million packets of instant noodles. In Hyderabad, users ordered around 27,000 bottles of fresh juice during the summer months.

60 lakh eggs ordered

The demand for eggs has increased manifold in the last two years. People living in metro cities including Bengaluru, Delhi, and Mumbai ordered an average of 6 million eggs in the last year. According to the report, customers from Bangalore and Hyderabad ordered the maximum number of eggs for breakfast. At the same time, people of Mumbai, Jaipur, and Coimbatore have ordered the maximum number of eggs online at the time of dinner.

Demand for dairy products

There has been a huge jump in orders for both tea and coffee. According to the report, there has been an increase of 2,000 percent in its demand. At the same time, 3 crore orders of milk have come for milk. People from Bangalore and Mumbai have placed more orders in the morning. Regular milk, full cream milk and toned milk are the most ordered dairy products.

Ordering fruits and vegetables

Orders for 62,000 tonnes of fruits and vegetables have been received in the last year. With 12,000 orders, Bengaluru tops the list of organic product buyers. At the same time, Hyderabad and Bangalore together have ordered more than 290 tonnes of green chilies in 12 months. Over 2 lakh orders have been received for bathroom cleaners, scrub pads, drain cleaners, and more in the last year.

Source: Aajtak

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