Where to open salary accounts in India? Which is the best salary account? This is a very common question bugging many individuals. So, today we will try to get an answer to this question.
Most of the corporations where you are working will have tie-ups with specific banks for salary accounts. However, many private organizations allow you to select a bank for your salary account. So, if given a chance to open a salary account on your own which features you consider and why? Well, here are some important features that will help you in the selection of a salary account in India.
Also Read – 10 Best Bank for opening saving bank accounts in India
How to select Best Salary Accounts in India?
- Interest rate – You should also look for interest rate offered by the bank on the salary account. Some bank such as Kotak, RBL etc offers exceptionally high-interest rates on salary account.
- ATM – ATM withdrawal charges and Free access to other banks ATM all over India. You can also look at network size of branch and ATM of a respective bank while opening salary account.
- Customer Support – Please evaluate bank on customer support services provided.
- Security – In today’s world hacking attempt and fraud is quite common. You should also evaluate bank from the perspective of security and advance IT systems.
- Additional Facilities – You can also evaluate bank on the additional facilities such as credit card, special rate personal, home, auto loan etc.
- Rewards – Few bank offers additional reward points and accidental insurance benefits evaluate salary account on this front.
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10 Best Salary Accounts in India
Based on features discussed above 10 Best Salary Accounts in India are given below.
HDFC Regular Salary Account
HDFC provide four types of salary accounts. HDFC regular salary account, HDFC premium salary account, Salary family account and classic salary account.
Features of HDFC Regular Salary Account
- Free access to other bank ATMs in India
- Free add-on International Debit Card only for the first year
- Free Personal Accidental Death Cover of Rs.1 lakh
- Free Demand Draft for all HDFC branch locations.
- Preferential pricing on loan products.
ICICI Salary Account
ICICI bank offers various types of salary account such as Regular salary account, Salary privilege account, Defense salary account, Salary Titanium account, Salary Gold Account etc.
Features of ICICI Regular Salary Account
- No minimum monthly average balance requirement
- No annual fees
- Reward points on transactions
- Free demand draft facility
- Special interest rates on home, auto, personal loan.
Kotak Salary Account
Kotak bank offers various types of salary account such as Platina Salary account, Ace salary account, and EDGE.
Features of Kotak Platina Salary Account
- 6% Interest rate per annum.
- Auto Sweep facility
- Up to 3 NMC waived family saving account
- 25% discount on locker rent
- Unlimited VISA ATM Transaction at all ATM in India
- Lost car liability insurance
Citibank Suvidha Salary Account
Features of Citibank Suvidha Salary Account
- Auto overdraft facility up to 5 times the net monthly salary
- No cost for NEFT, RTGS and IMPS
- Financial planning service
- 20% saving on payment to over 2000 restaurants in India
- Redeem reward points for cash credit. 5 reward points for every Rs 100 spent on daily retail
- Insurance product
SBI Special Salary Account
Features of SBI special salary account
- Zero balance account
- Large ATM network
- Facility of Auto Sweep
- Free personal accident cover
- Overdraft up to 2 months of salary
Yes Bank Smart Salary Advantage Account
Features of Yes Bank Smart Salary Advantage Account
- High Interest rate 6% per annum.
- NIL minimum balance requirement
- Free Demat Account with 50% waiver on AMC for lifetime
- Free personal accident cover
Axis Bank Prime Salary Account
Features of Axis bank prime salary account
- Nil Monthly balance requirement
- Debit card rewards and cashback benefits
- Free unlimited online NEFT transactions
- Personal accident insurance up to 5 lac.
Bank of India Salary Plus Account
Features of Bank of India Salary Plus Account
- Zero Balance Account
- Free Accident death cover up to 5 Lac
- Free gold credit card
- Overdraft facility 4 Times of net salary
Union Super Salary Account
Features of Union Super Salary Account
- No minimum balance requirement
- Free Debit card
- Free Accidental Insurance Cover
- Overdraft facility 90% of the net salary credited in previous month
Baroda Salary Advantage Saving account
Features of Baroda Salary Advantage Saving Account
- No minimum balance requirement
- Overdraft facility up to 1 Lac
- Free cheque book facility
FAQs
1. What is a salary account?
A salary account is a bank account where employers deposit employees’ monthly salaries. It usually offers benefits like zero balance, free debit cards, and exclusive perks.
2. Can I convert my salary account to a savings account?
Yes, if your employer stops crediting your salary, the bank may convert your salary account into a regular savings account.
3. What happens if I change my job?
You can either keep using the same salary account or open a new one with your new employer. Some banks allow you to retain salary benefits even if you leave the company.
4. Which salary account offers the highest interest rates?
IDFC FIRST Bank offers one of the highest interest rates (up to 7%) on salary account balances.
5. Can I open multiple salary accounts?
Yes, you can have multiple salary accounts if different employers deposit your salary into different banks. However, managing multiple accounts can be tricky.
6. Is there a penalty if salary is not credited regularly?
Yes. If a salary account doesn’t receive credits for 3 consecutive months, it may get converted into a regular savings account, which could attract minimum balance penalties.
7. Can freelancers open a salary account?
Usually, no. Salary accounts are meant for salaried employees. However, some banks like Kotak 811 and Axis Bank offer alternatives for freelancers with similar benefits.
8. What are the tax implications of salary accounts?
The account itself has no special tax rules, but interest earned above ₹10,000 in a year is taxable under the Income Tax Act.
9. Do salary accounts come with debit cards?
Absolutely. Almost all salary accounts offer free debit cards, often with cashback offers, lounge access, or reward points.
10. How do I close a salary account?
Visit the branch with your ID proof and request closure. Clear any dues, and your account will be shut within a few working days.
11. What if I switch jobs frequently?
No worries. Just keep track of your accounts, close inactive ones, and ensure you always have one primary salary account active with your new employer.
Over to you –
Let’s be real—salary accounts don’t always get the attention they deserve. But choosing the right one can mean the difference between a rewarding banking experience and just another monthly SMS alert. Whether you’re eyeing higher interest, better perks, or just smoother digital access, there’s a salary account in India that’s a perfect fit for you.
Take the time to compare, match it to your lifestyle, and make that switch if needed. Your money deserves it.
