Updated By: LatestGKGS Desk
Saving Bank Account vs Payment Bank Account Comparison, Differences
Saving and Payment bank Account Difference
Meaning of saving account which provides interest held at a bank or other financial institution on the other hand payment bank is a new concept of a bank as a small bank but cannot issue loan and credit cards.
The function of saving bank pays interest on money depositor deposit and amount remain in the account, then loan that money out to other people at little higher interest.
The function of payment bank is in receiving deposits and offer settlements.
In saving account anyone can open a saving account.
In payment, bank employer can participate and open account.
In saving account interest is up to 4% to 6% paid.
No interest is paid in payment account.
Purpose of saving account is to encourage saving
Payment bank main purpose is to do many transactions.
Saving account is widely used and on other hands, payment bank is widely used on a business basis.
Both the account are nowadays widely used as for the customer making a financial transaction is beneficial in all basis and it increases their saving capacity when they have the habit of saving.
On the other hand, payment bank is beneficial for the employer or mainly for the corporate sector on daily basis.
