Question

Ramesh has to regularly save his money to purchase a car. what type of account is suitable for this?​

Answer 1

Savings A/c is suitable for this case.

Reasons:

1. Will accrue interest over time, depending upon the rate of interest that the particular bank gives.

2. Funds are readily available whenever the A/c holder wishes to withdraw them.

3. Money is kept safe as the bank takes total responsibility for it.

4. A/c can be opened with very little funds too, so there is no minimum limit to which you should deposit cash in this A/c.

Since, Ramesh needs to buy a car and has to regularly save money, he can deposit the money in the Savings A/c , as he will receive interest on the money deposited, which will increase his overall funds and he can also withdraw them at any time on his wish.

Answer 2

Answer:

saving account is the correct answer