PRANAV KHANDELWAL 07 May 2021
Sankaranarayanan (Advocate) 07 May 2021
yes Current account is advisable for business
Hemant Agarwal (ha21@rediffmail.com Mumbai : 9820174108) 07 May 2021
1. There is no legal restrictions for eCommerce proprietor business to have "limited purpose" savings bank account for its business.
2. IF the Bank deducts mass transactions, THEN the Bank will restrict your Savings Bank Account and ask you to open separate Current Account for your proprietor business.
Keep Smiling .... Hemant Agarwal
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G.L.N. Prasad (Retired employee.) 07 May 2021
The banks can not permit commercial transactions in a savings bank account, as different types of accounts were prescribed depending on usage. The number of operations, amount to be credited, the number of cheques are limited in a savings bank that carries interest, in case of current account the operations are unlimited and credit balances carry no interest. It is the discretion of the Banker and members can not have a say as it is clear that savings bank is investment banking for limited purposes and not meant for commercial dealings.
Pradipta Nath (Advocate) 07 May 2021
Better to use current account as if your transaction exceeds the limits of saving account, the Bank system automatically may seize your account. Thereafter again you will have to write letter or meet the Bank Manager to release your saving account.
SIVARAMAPRASAD KAPPAGANTU (Retired Manager) 07 May 2021
You mean to say that you wish to continue your Savings Bank Account for routing through your business transactions also?
You need to open a Current Account for the purpose of routing through any of your transactions relating to your business, irrespective of the nature of business-e-commerce or otherwise. As to GSTIN, You may contact a local GST Consultant.
PRANAV KHANDELWAL 07 May 2021
T. Kalaiselvan, Advocate (Advocate) 08 May 2021
Since the business transactions are vo0lumnious and very frequent, it is always advisable to operate the account by a current account instead of the savings account.
While a Savings Account is one wherein you deposit your savings with the bank and earn interest on the same, a current account is one where you deposit money to carry out business transactions.
A savings account can only be opened by individuals for their use. It is generally opened for a short term to save money for vacations, make big and small purchases, etc. Current account is opened by businesses or firms who want to conduct various bank transactions according to the need of their business.
Savings accounts are suitable to build emergency funds, whereas current accounts facilitate regular business transactions. Unlike a saving account, current accounts do not have any limit on monthly transactions. You need to maintain a relatively higher minimum balance in a current account than a savings account.
ashok kumar singh (Advocate) 09 May 2021
for any nature of business concern, so far, CURRENT ACCOUNT is necessary to be open in your BANK ACCOUNT.