Importance of Saving Money from an Early Stage

Posted on Monday, December 25th, 2023 | By IndusInd Bank

In a world where financial stability is a crucial element of a successful life, saving money at an early stage is a prudent and beneficial choice, along with harnessing the power of a savings account. Whether you are a student or just starting your first job, cultivating the habit of saving money can pave the way for a secure and prosperous future.

This article delves into the importance of saving money from an early stage, outlining the benefits, and providing guidance on how to begin your saving journey as a young professional.

What are the benefits of saving money from the early stages?

Today, understanding the importance of saving money when you start earning can be challenging, as you may be tempted to spend money on your immediate wants, lack of financial education, short-term goals, and many more. It is important to recognise that saving money is the first step to building your financial worth and achieving your long-term financial goals at an early stage with your first job. Here are a few notable benefits of saving money at an early stage of your career:

1. Financial security: Saving early establishes a financial safety net, helping you deal with unexpected expenses. It prevents you from falling into the trap of debt when emergencies arise.
2. Wealth accumulation: Compound interest can work wonders when you start saving young. Your money grows exponentially over time with the compound interest in your bank account. The earlier you start, the more time your investments have to appreciate, potentially making you financially independent sooner.
3. Financial independence: Saving money early can lead to financial independence in the future, giving you the freedom to pursue your dreams and passions.
4. Cultivating discipline: Saving teaches discipline and delayed gratification, essential life skills that contribute to personal growth.

How to start saving money from a young age?

1. Set clear goals: Define your financial goals, whether it is buying a car, owning a home, or going on a dream vacation. Having specific goals motivates you to save regularly.
2. Create a budget: Keep track of your inflows and outflows to identify areas where you can cut back. Allocate a certain portion of your income for savings each month.
3. Automate savings: You can set up automatic transfers from your current account to your savings account. Automating your savings account ensures that you save consistently without the temptation to spend more.
4. Avoid impulse purchases: Think twice and try to avoid making any impulse buys. Consider whether it is a need or a want. Wait 24 hours before making a non-essential purchase to delay gratification.
5. Educate yourself: Learn about different investment options to make your savings work harder for you. Consider consulting a financial advisor for guidance on investment strategies.

Beginning to save early in your life helps you build a significant corpus over the period. But you need the right bank account to start your savings journey. Understanding your needs as a young professional, IndusInd Bank offers a range of savings accounts with features and benefits that discretely align with your needs.

With an IndusInd Bank Savings Account, you get unique services and benefits to maximise your savings. We offer high savings account interest rates, digital account access, and a set of banking services to meet your daily requirements. Moreover, with a complete digital application process and video KYC, you can open your savings account online instantly without visiting the bank.

Open an IndusInd Bank Savings Account online in 4 easy steps

Opening an IndusInd Bank Savings Account online is a hassle-free process. You can choose to apply either online or by visiting their nearest bank branch. Follow the 4 easy steps below to open an IndusInd Bank Savings Account instantly.

Step 1: Pick any account number of your choice

Click on ‘open my account’ and enter the mobile number you want to link with your bank account.

Step 2: Fill in the required details

An online form will pop up on your screen once you verify your mobile number using the OTP generation process. Fill in all the necessary details and proceed.

Step 3: Fund your account

You can add a desired amount to your savings account online while the account opening itself using a payment gateway and starts earning interest.

Step 4: Video KYC

You can complete your KYC process from anywhere. With video KYC, the bank executive confirms your identity by ensuring that all necessary checks and verifications are conducted.

Things to keep in mind when opening a savings account

A savings account ensures that you have a safe place to store and grow your money. Here are some important things to consider when opening a savings account online:

1. Fees and charges: Be aware of any fees associated with the account, including maintenance fees and transaction charges. Maintaining complete transparency, IndusInd Bank offers affordable and minimal charges on savings accounts.
2. Interest rate: Check the interest rate offered on your savings account. A higher rate means more growth for your money. IndusInd Bank offers one of the highest interest rates on savings accounts to enhance your savings. Explore savings account interest rates.
3. Online security: Ensure the bank’s website has robust security measures in place to protect your financial information.
4. Accessibility: Confirm that the bank’s online platform is user-friendly and accessible via mobile devices.
5. Customer support: Opt for a bank with responsive customer support in case you encounter any issues.
6. Offers and merchant discounts: Savings accounts today also come with several offers and discounts on online shopping. Check various offers and privileges while opening a bank account.

For instance, the Indus Delite Savings Account provides exciting discounts on debit card expenses. The best part is that you can open this account instantly through the Indus Mobile App or net banking.

Conclusion

To achieve your financial goals, it is important to contribute to your savings and set clear goals from your first job. The benefits of financial security, wealth accumulation, and increased independence are invaluable. By setting clear goals, creating a budget, and automating savings, you can easily bring financial discipline and save money.

Furthermore, opening a digital savings account instantly with IndusInd Bank is now simpler than ever, thanks to online banking. The journey to financial stability and independence begins with the first step of saving money early. Start today, and open an IndusInd Bank Savings Account, and you will be well on your way to securing a prosperous future.

Disclaimer: The information provided in this article is generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. Hence, you are advised to consult your financial advisor before making any financial decision. IndusInd Bank Limited (IBL) does not influence the views of the author in any way. IBL and the author shall not be responsible for any direct/indirect loss or liability incurred by the reader for taking any financial decisions based on the contents and information.