A savings account is an interest-bearing bank account where one can deposit and withdraw from at any time provided there are money there.
A savings account is the most popular and used bank account. Although the interest paid on the account is quite modest, one can go on with the knowledge that money is secured in the bank than having them at home. Besides, having the protection from Nigeria Deposit Insurance Corporation (NDIC) also gives savers peace of mind that is if at all anything happens to their deposit, NDIC are ready to stand in the gap.
NDIC’s main function is to monitor banks in Nigeria, protect deposits of the banks’ customers and also promote an effective and efficient payment system. Deposit Insurance is in every country and you can rest assured that there is nothing to worry about when losses are caused by banks or when they are unable to pay their debts when due. Nonetheless, NDIC are guided by their written contract.
Therefore, your bank account can hold more money than you imagine but the question is what is the maximum amount a savings account can hold in nigeria?
Before that, let us clear some misconceptions about savings accounts. It is important to know this since all savings accounts are now called a savings account.
DIFFERENCES BETWEEN AN INSTANT SAVINGS ACCOUNT & NORMAL SAVINGS ACCOUNT
An instant savings account is an account opened with no documentation. It can be opened on phone using USSD Code, online, or via the bank mobile app.
Instant savings account opened without providing the necessary documents will have some limitations.
The limitations include a maximum single deposit amount of just N50,000, a maximum cumulative balance of N300,000, a cumulative transfer limit is N100,000 daily, a mobile banking transaction limit of N3,000, and a daily limit of N30,000 while International funds transfer is prohibited.
However, a customer needs more space for money, they can have their account upgraded using the necessary documents. The necessary documents are a government-issued ID card, utility bill, and a completed request form. A form will be given to you at the bank or you can also complete it online if your bank makes provision.
After the upgrade, you will be able to carry out banking transactions with no restrictions. Normal savings account opened with all documents will be able to receive or send unlimited money. You will also be able to carry out transactions within and outside the country using internet banking.
FEATURES OF A SAVINGS ACCOUNT
- Individuals, small business owners, and corporate bodies are eligible to open a savings bank account in any bank.
- Some savings accounts have a certain maximum amount they can hold. Therefore, there may be a need for upgrades.
- A savings account is an interest-bearing deposit bank account. The percentage is determined by the Apex financial institution, CBN.
- It is safe, secure, and reliable which makes it a great option for keeping cash that one does not need at the moment.
- A savings account is good for a short-term goal like starting a business, car purchase, or children’s school fees.
- The interest rate is between 1.15% to 4.5% per annum on daily account balances.
- Some holders of savings accounts are allowed to use cheques. However, this depends on the bank and savings account type.
WHAT IS THE MAXIMUM AMOUNT A SAVINGS ACCOUNT CAN HOLD IN NIGERIA?
If you have a Solo Account from Access Bank, the maximum amount a Solo account can take is N1 million. if exceeded, you will need to upgrade your account type to a regular savings account.
However, a premier savings account has no maximum amount, you can upgrade to such an account type to enjoy better benefits.
If you open a standard savings account, there is no limit. A standard savings account means an account open with all necessary documents. An instant account with no documentation does not qualify as one and may have a maximum account capacity of N300,000 like other banks’ instant accounts.
However, students account like Aspire savings account has a limit of N2.5m.
Most accounts work differently from a normal savings account, therefore it is important to know the maximum amount your wema bank savings account can hold.
Purple account has a maximum savings limit of N500,000. If you choose not to be held by this limitation, you can always upgrade at the bank or provide your valid ID card and utility bill.
TIER 1 savings account has a maximum threshold of N300,000.00. For TIER 2 savings account; it can hold up to N500,000.00. The maximum amount of money a tier 3 stanbic ibtc savings account can take is unlimited.
If you wish to upgrade at any time, the bank will be ready to help provided you have the required documents needed to process it.
UniFi savings account, a savings account type can hold up to N300,000. However, if you desire an account capable of doing much more, a Business Savings Account is available and could give more.
If they are not enough, you can always ask for an upgrade. The upgrade can be done online or at any unity bank’s branch.
FirstInstant account, one of the savings account types available on First Bank has a maximum operating balance of N 300,000. For most savings accounts on First Bank, the maximum amount for an individual savings account is N5,000,000.
You may upgrade the account at any time if you wish to have more in your account.
An individual with a savings account opened with all necessary documents has access to an unlimited balance. However, this depends on the savings account type but one can always upgrade anytime since documentations have already been done.
If an account is opened without providing a valid id card and a utility bill, the said account will fall under tier 1 account that has a maximum account capacity of N300,000.
A regular saving account has no limit to the amount it can receive. KIA KIA account, which is also known as Tier 1 account can only accommodate N300,000.
An upgrade will be required if you need the restrictions removed. You can visit any of their branches with a valid means of ID and a recent utility bill issued within the last 3months. Alternatively, you can forward the mentioned documents to them via their official email.
Polaris bank allows you to operate a savings account with an unlimited amount in your balance provided you completed standard account opening requirements.
If the account was opened without the necessary documents, your account’s maximum amount will be N300,000.
If you open a regular savings account, There are no limits to the number of deposits you can make to a savings account.
However, an account that was opened without the necessary documents will fall under tier 1 account. A tier 1 account cannot do much and they can only hold a cumulative balance or single deposit of N300,000.
If you are using a GT Bank account, your maximum amount depends on the savings account type. A student account (GTCrea8 e-Savers account) or an instant savings account will be able to hold up to N300,000.
However, customers can have the account type upgraded to enjoy more benefits. To upgrade, you will need to provide a valid ID card and utility bill.
The Maximum amount a keystone bank savings account can hold in Nigeria will depend on the account type.
If the keystone savings account is opened using the necessary documents, the Maximum cumulative account balance will be unlimited. Meanwhile this will depend on the account type but one can always upgrade anytime without the need to provide documentations again.
However, an instant or student account has only a maximum cumulative account balance of N300,000.
An upgrade can be carried out anytime at any Keystone Bank Outlet.
Jaiz bank also has interesting options for customers, you can decide to go for level one, level two, or a regular savings account. Level one account is known to hold just N300,000.
A level two account requires a passport photograph, BVN, valid ID card, or utility bill. Upon successful account opening, the maximum amount a level two account can hold is N500,000. However, you can carry out an account upgrade if you want the restriction or limitation removed.
For FCMB maximum amount that can be held in a savings account, this will depend on the type of savings account.
The FCMB Easy Account is like any other level one account. If you want to have an account with an unlimited amount, you will need to upgrade your account to remove all limitations.
Be informed that a tier 1 Account can take a maximum cumulative balance of NGN300,000. Fidelity Bank also has other savings account types but if you want an account with no maximum limit, you will need to ask your bank.
Perhaps you have already opened an instant savings account without knowing that it comes with some limitations, the bank can also help you upgrade it after providing the required documents.
Most savings accounts are allowed a maximum cumulative balance of NGN500,000. If you are using an NYSC account, the maximum amount it can hold is N400,000.
Kindly be informed that the maximum amount the Xpress account can accommodate is N300,000. If you have opened an ecobank account using ussd code or without documentation, then you have an Xpress Account.
Customers are encouraged to upgrade their accounts if they want the limitations to be removed. Savings accounts can be upgraded online or at any of ecobank branches.
The maximum amount of money a UBA savings account can take will depend on the account type.
A regular savings account can take any amount. If you opened an instant savings account, you will be unable to use all features including being stuck with just a maximum amount of three hundred thousand naira.