Current Account

Current account is opened by businessmen who have a higher number of regular transactions with the bank. It includes deposits, withdrawals, and contra transactions. It is also known as Demand Deposit Account. In Our Society current account can be opened by depositing Rs.500 . The customers are allowed to withdraw the amount with cheques and they generally do not get any interest.

Features of current Account

• Current bank accounts are operated to run a business.
• It is a non-interest bearing bank account.
• It is of a continuing nature as there is no fixed period to hold a current account.
• It does not promote saving habits with its account holders.
• The main objective of current bank account is to enable the businessmen to conduct their business transactions smoothly.
• There is no restriction on the number and amount of deposits.

Advantages of Current Account

• The businessmen can withdraw any amount at any time from their current accounts.
• There are also no restrictions on withdrawals.
• Current account enables businessmen to conduct his business transactions smoothly.
• The businessmen can make direct payment to their creditors with the help of cheques.