Jamshedpur: If a common man has some savings, the first question that comes to his mind is where to keep the money. In the bank, post office or anywhere else. Many people, due to lack of financial information, just look for a safe place, where their money remains safe without any hassle and also gets better interest on it. Financial advisor Javed Akhtar Khan gave information on this to Local18. Told that bank proves to be a more simple, modern and convenient option for common people.
This is the option with post office
According to financial advisors, keeping money in the post office is safe, but the process is still largely manual and time-consuming. To withdraw any deposit amount in the post office, one has to go through many steps like filling the form, registration and verification, which makes it difficult to withdraw the money in case of sudden need. This is why post office savings accounts are still more popular in rural areas, but this option is considered a bit complicated for cities and working people.
This scheme of the bank is fantastic
On the contrary, not only the money is safe in the bank, but modern banking facilities are also available. Nowadays the option of Auto FD (Automatic Fixed Deposit) is given in bank accounts. This facility is especially for those people who do not have much understanding of financial planning. In this, your money remains in the savings account, but as soon as the balance goes above the prescribed limit, it is automatically converted into small fixed deposits. Its advantage is that you get more interest on it compared to a savings account, whereas if needed, you can easily withdraw money anytime through ATM, online banking or cheque.
This is the specialty of auto FD
The biggest feature of Auto FD is that the money does not feel trapped. The bank automatically breaks the FD as much as you withdraw, that too without any huge charges. This facility is not available in the post office. Also, facilities like UPI, Net Banking, Phone Banking, ATM are available in the bank 24×7, so that the need of money can be fulfilled at any time. Financial advisors believe that for people who do not have much investment experience and only want safe savings, the combination of bank savings account + auto FD is the best option.
It is safe, interest is better and money is easily available when needed. Therefore, if you also want to get some extra interest while keeping your saving money safe, then auto FD of bank can prove to be a simple, safe and modern option for you as compared to post office.
