DIFFEERENCE BETWEEN SAVING ACCOUNT, FIXED DEPOSIT ACCOUNT AND CURRENT ACCOUNT

Saving account	Fixed deposit account	Current account
1. It can be opened with a minimum deposit of $1. 2. No recommendation is required to open account. 3. Account holder is given a passbook for all deposits into and withdrawals from the account. 4. Money can be deposited and withdrawn anytime although withdrawal at a branch or ATM is limited to a certain amount. 5. It earns lower interest than the fixed deposit account. 6. Account holder need not pay bank charges for operating the account. 7. It is suitable for the individual who wishes to save small sums of money.	1. It can only be opened with a minimum of $500 (or $1000 in some banks). 2. No recommendation is required to open account. 3. Account holder is given a fixed deposit certificate which can be presented for payment upon the expiry date. 4. Amount of deposit remains fixed and can only be withdrawn when the specified period expires unless the depositor is willing to forgo the interest. 5. It earns a higher rate of interest since the bank is certain as toi the duration of the funds at its disposal. It can make use of the money for investments and for loans. 6. Account holder need not pay bank charges for operating the account. 7. It is useful to the businessman who has excess funds which can be set aside to earn interest. His deposit account enables him to build up sufficient reserves to finance his business when the need arises.	1. It can only be opened with a certain minimum sum ($500 in some banks). 2. Recommendation is required to open account. 3. Account holder is given a cheque book for making withdrawals by cheques. 4. Cash and cheques can be deposited anytimes and withdrawals without notice can be made by means of cheques. 5. It does not earn interest (unless the amount deposited is very large) as the deposit is subject to withdrawal on demand. 6. Account holder has to pay bank charges for operating the account when the deposit falls below a certain minimum amount. 7. It is useful to the businessman who needs a convenient and safe method of facilitating his receipts and payments. He can make use of the other current account services like overdraft, standing order, direct debiting and credit transfer.