Differnece between saving deposit accout and Current deposit account.

Hey Tushar,
 
A Saving Account caters to the needs of those individuals who wish to save a part of their income and earn interest on the amount saved. Such deposits are payable on demand i.e. such deposits can be withdrawn by the depositor as and when required. However, the banks impose a limit on the withdrawal amount from the saving account. On the other hand, current account deposits (also known as Demand Deposits) refer to those deposits that provide the depositor the liberty to withdraw money at any point of time. The depositor can withdraw the required amount from the account through cheques. Such deposits do not offer any rate of interest. 
 

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in savings a/c there are some restrictions to deposit and withdrawla of money while in a current a/c there is no limit in deposit or withdrawal of money. In savings a/c some interest is given for the deposit while in current a/c no intererst is given. And please answer my question.

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Current Account is generally for business purposes and banks pay no interest on the balances held therein but such type of accounts can be helpful to have Overdraft Limits against security or can have a clean (i.e. without any security) overdraft limit. There is no binding of number of transactions in such type of accounts.Savings Bank account is one in which small savings can be made and earn small amount of interest (which is 3.5% p.a. and paid once in six months) on the balances held in the accounts between 10th day and last day of the month in India. There are some restrictions on transactions in such accounts.In case you have substantial surplus amount and can spare for longer period, it would be better if you keep them in fixed deposit accounts for longer period to earn some better looking interest.

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