A savings account is used for business or personal purposes, especially if withdrawals are infrequent or to support a current account. A savings account is designed for building up savings and is interest-bearing. Like the current account, it has no time limit and can receive additional deposits as often as possible. Customers can always withdraw from the account, though frequent withdrawals may deny customer’s interest payment.
Usually, no cheque book is issued on the traditional savings account, although there are other savings account hybrids that may allow issuance of cheques that are not valid for clearing and also lodging of cheques under some specific conditions.
Call Account: This is a deposit account which may be withdrawn at short notice, unlike a term deposit that has a fixed tenor. A call deposit account is used in setting aside an amount that may not be immediately required for operational purposes, though that need is likely to arise any time. In that case, the amount earns some interest in the call account, while it can still be withdrawn at short notice, if the need for it arises. Except where the call tenor is specified. (Strict Call).
Businesses often want to run a current or chequing account. A current account is designed to be a business account, hence the emphasis on account turnover. It is an account type which encourages our customer to pay in or withdraw money as frequently as possible. No notice is required.
The customer may choose to open the account in his or her name called a PERSONAL CURRENT ACCOUNT or in the name of a company if registered called a CORPORATE ACCOUNT. As a chequing account, a cheque book is issued to the customer once the account is opened, meaning our customer can issue a cheque in their favour or another party to withdraw from the account. On request, electronic cards are issued for ease of operations of the accounts. This account is online, real-time.