The importance of saving money can never be overstated; the habit of saving money can be termed the foundation of all financial success. It is so important to save your money in a ‘solid’ savings account that can be easily available in an emergency and can grow over time. I’ll be taking you through what a ‘solid’ savings account means. We have all heard the regular raves about how to save using a savings account but these gems I’m about to reveal to you will have you wishing you had opened one a year ago.
Just before we dive in, what is a saving account?
A savings account is a bank account that allows you to deposit money, keep it safe and make withdrawals all while earning interest. Savings accounts typically pay a low-interest rate but their safety and reliability make them a great option for saving cash you want easily available for short-term needs. That being said, here are a few gems I personally wish I knew before opening a savings account that will help you shine your eye before opening one:
Monthly credit interest on your account balance
One of the very first things to look out for prior to opening a savings account is the percentage interest you earn monthly just for saving your money. Interest rates attached to most savings accounts are so low, with many banks offering a tiny interest rate of 0.01 per cent.
In Nigeria, UBA offers one of the most flexible interest rates on your savings account, with over 5 different types of savings accounts to choose from depending on your needs. It doesn’t hurt to know that your money is absolutely safe while simultaneously accruing interest just for saving money.
Easy account opening
In considering what bank to open your savings account with, you’d need to consider how easy it is to open an account with said bank.
The requirements for opening an account could include a bank verification number (BVN), a passport photograph, a recent utility bill, an international passport, a driver’s license, a national ID card, court affidavit showing your date of conception, your father’s employment letter, your grandmother’s secondary school certificate, maternal great-grand aunt’s first ID card with Queen Elizabeth’s signature on it…I know I lost track at the last four requirements but it certainly seems like some banks require so much documentation before you can start operating an account.
The best banks allow you to open an account from your mobile phone without endless documentation. With UBA you can open a type of savings account with just a passport photograph, most other savings accounts will require just one valid ID, a Passport photograph and a utility bill. It is 2020, if we can’t run a savings account from the simplest device, we don’t want it.
You can win prizes for saving
When I discovered this one it ‘totori-ed’ me several times over especially how uncommon it is, so this is the gist: By saving money in a ‘Bumper’ or ‘Target’ savings account with UBA, you can actually win money. No, not the interest rate we talked about earlier, actual prize money and the criteria for qualification is really bare minimum. There are several exciting rewards such as a Grand prize of 2-million-naira cash reward, 100-thousand-naira shopping allowance per month for a year, consolation cash prizes of 500-thousand-naira, rent for a year, shopping vouchers, salary for a year, and much more.
The first time I heard it I was shook too but it is true my friend. To qualify you should have a minimum opening balance of N6,500, fill an account opening form, present a valid ID (International passport/Driver’s license/National ID/Voter’s card), a passport photo and a utility bill (within 3 months from account opening date).
Access to Digital Banking Services
I mentioned earlier that ‘It is 2020, if we can’t run a savings account from the simplest device, we don’t want it’, as fresh kids we no dey stand for queue (I dodge that slippers you are throwing by the grace of our lord). The years when we had to go to a bank to be able to operate an account are so far gone and this has never held more true than in 2020 when COVID-19 proved it.
If your bank hasn’t anticipated the moments when you need to use your account and made it readily available at that moment, it might be time to drop them…I’m just saying. There are micro-moments when you need access to funds and the internet might fail you, can you fully operate your account from your bank’s USSD code?
Let’s say you are on WhatsApp and one of your guys needs quick credit, can you send funds through WhatsApp? Yes you heard me right and this is one of the things that excites me the most about owning a UBA savings account, I never have to worry about access to my money because they have provided so many platforms for ease of access; mobile banking, USSD, online, artificial intelligence (AI) bot (Leo) and much more.
If you haven’t yet, visit https://www.ubagroup.com/nigeria/ to find out other fantastic incentives for opening a savings account in 2020 so I won’t have to rewrite this article in 2021.