Current Account

What is difference between saving account and current account

The primary difference between a savings account and a current account lies in their purpose and features:
  • Purpose: Savings accounts are meant for individuals to save money and earn interest, while current accounts are designed for business owners and firms to handle frequent, high-volume transactions.
  • Interest: Savings accounts offer modest interest on deposits, whereas current accounts generally do not provide any interest.
  • Transactions: Savings accounts have limits on the number of monthly withdrawals. In contrast, current accounts offer unlimited transactions and provide an overdraft facility.
  • Minimum Balance: Current accounts typically require a higher minimum balance compared to savings accounts.

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