A savings account is a type of bank account that allows us to deposit our savings money. When needed, we can withdraw our money from it. Most banks also pay us compound interest as an incentive on the available balance in our savings accounts. Let us know more about “Withdraw Money Savings Account”.
The main purpose of the savings account is to provide a safe place to keep our money for a long time. We keep the money we save after our regular expenses in this account.
Here are the different ways in which we can withdraw money from our savings accounts:
- ATM booth using a debit card
- Withdraw money using a withdrawal slip
- Withdrawing money using a cheque
- ATM booth using a debit card: Withdrawing money using a debit card at an ATM booth is one of the easiest and most widely used ways to withdraw money from a savings account.
The steps followed for withdrawing money from an ATM are as follows:
Step 1: First of all, we need to visit an ATM booth. Then, in the ATM vending machine, we must insert our ATM cumulative debit card. I need to make sure that the card is inserted through the side with the chip and logo.
In some banks’ ATMs, the card needs to be taken out immediately after swiping, and in some banks’ machines, the card needs to be inserted only after the whole transaction process is over.
Step 2: After that, the very next step is that the account holder will be asked to choose a preferred language. So, eventually, we will select the language of our choice. And since this selected language can’t be changed once selected, the whole procedure will follow the selected language.
Step 3: Here comes the most crucial step, where the account holder will be asked to enter the secret four-digit PIN.
We need to enter the pin on the keypad below. Some vending machines are touchscreen, so sometimes we need to type the PIN on the monitor itself. We need to be cautious while entering the PIN because entering the wrong PIN might block our ATM card.
Step 4: After successfully entering the right PIN, we need to choose the option to “Withdraw Money.”
Step 5: As the account holder, we now select the account type, either current or savings. For a saving account, we need to click on the ‘enter’ button adjacent to the saving account option.
Step 6: After selecting the account type, we need to enter the amount we are willing to withdraw. This is accomplished by pressing the keypad below and following by pressing OK or enter, whichever is applicable.
Before entering the amount, we should always make sure that there is a sufficient balance available in our account; otherwise, the transaction will be canceled.
Step 7: Now the vending machine will dispense the said amount. After collecting the money, we need to keep the withdrawal receipt as proof of the successful transaction. This receipt also contains information about the remaining account balance available after the withdrawal.
Step 8: The last and most crucial step is that we need to end the whole session by pressing either the “cancel” or “cross” button, whichever is applicable for our safety.
- Withdraw money using a withdrawal slip: A withdrawal slip is a simply written order to our bank instructing it to withdraw funds from our account. The writing on the withdrawal slips varies from bank to bank.
The basic steps followed to fill out a withdrawal slip are as follows:
A withdrawal slip contains two parts: one for the account holder (us) and one for the bank to keep the record.
Both sections contain nearly identical information such as account number, account holder name, date, amount in words and numerical, branch name and branch code, and account holder signature.
After successfully filling up the slip, we need to take the slip to the accountant or the authorized person at our bank. Once we receive the money, we will be provided with a receipt as a token of proof that we received the money safely.
- Withdrawing money using a cheque: Cheques are another way to directly withdraw money from our savings account without using a card.
By following the steps below, we can withdraw money from our saving account using a self-cheque:
A self-cheque doesn’t require a name written on it. We just need to write “Pay to self” in the place of the payee’s name and need to put a signature and date on the back side of the cheque.
We also need to put the amount in words and numbers.
After that, we can simply visit the respective branch of the bank to which the cheque belongs. Then we need to present it for clearance.
After that, based on the information provided, the bank teller will verify the details on the check and clear it. Once the check is cleared, we will get the cash in hand.
Conclusion
From the above, we can conclude that a savings account is an interest-bearing deposit account that is opened in a bank. This account can be operated by a single account holder or by multiple account holders.
Moreover, these accounts provide us with a modest interest rate, but the safety they deliver to our deposited money makes them a great option for storing our money for both short and long-term needs. This helps us achieve our financial goals.
Our savings account also keeps track of our income tax returns. Without a savings bank account, we can’t avail of debit and credit cards.
Frequently Asked Questions
- Several account holders allowed for a single savings bank account?
Answer- Not beyond two members is permissible for a single savings bank account.
- Is a relationship mandatory for a joint account holder?
Answer- The permitted relationship must be a blood relative or a spouse.