Meet Ronak, a 26-year-old working professional living in Mumbai. He is a good example of a millennial because he is young, ambitious, and financially savvy.. Like any other millennial, he smartly plans his finances, tracks his expenses, and actively seeks opportunities to save more.
He uses an online savings accountto manage his daily expenses and investments. However, he frequently finds a significant surplus in his account. These idle funds earn nominal interest rates and are at risk of losing their value due to inflation.
Ronak needs a solution that can help him earn better interest without losing liquidity. This is where an ActivMoney savings account comes in as the perfect fit for millennials like Ronak. It helps them earn higher interest on their surplus funds while maintaining easy access to their money. Let’s find out how.
- Automated savings
Millennials often juggle multiple financial goals, including saving for emergencies, travel, or big-ticket purchases. The auto-sweep facility of ActivMoneyensures that any surplus funds above a predefined threshold in your Savings Account are transferred to an FD, offering higher interest rates. This automatic fund transfer helps to maximise returns without constant monitoring or manual intervention.
Additionally, ActivMoney offers millennials the flexibility to set their preferred threshold for the auto sweep. This customisation helps them save as per their financial requirements and priorities.
- Optimal utilisation of idle funds
ActivMoney savings account offers millennials the opportunity to make the most of their idle funds by earning FD-like interest without active involvement. It ensures smart financial planning, customisation, and easy access to funds without the risk of default. This way, millennials can take a hands-off approach to savings while maximising their interest earnings.
- Flexibility and liquidity
One of the primary concerns for millennials is maintaining liquidity while simultaneously earning decent returns on their savings. The option of breaking the FD prematurely is beneficial for millennials because it gives them flexibility and peace of mind knowing that they can access their funds if they need to. ActivMoney strikes the perfect balance between the two. While the funds are converted to FD for a specific tenure, it doesn’t mean that millennials lose access to their money.
In case of insufficient balance in the Savings Account, the FD can be broken prematurely, and the required amount will be transferred back to the account. There is absolutely no penalty for premature withdrawals. This facility of auto sweep in savings accounts makes it perfect for millennials who live hectic lifestyles and may not have the time to manually transfer funds.
- Promotes smart savings habits
By automatically transferring surplus funds to an FD, ActivMoney facility prevents impulsive purchases that often arise when excess money remains in the account. This encourages thoughtful financial decisions, discourages frivolous spending, and promotes a conscious approach to managing money. Setting aside money for the future becomes easier as the temptation to indulge in impulsive purchases is minimised. Thus, millennials can prioritise their goals, develop prudent spending habits, and build a more secure financial future.
Smart financial planning with Activmoney Savings Account
With automated savings through the auto sweep feature, higher returns, and customisation options, ActivMoney helps millennials save smartly. The added benefit of easy accessibility and no penalty for breaking the FD provides the necessary flexibility millennials require in their dynamic lifestyles.
To make the most out of this opportunity, compare different types of savings accounts that offer the ActivMoney facility and evaluate the benefits offered. Now enjoy the best of both worlds: FD-like interests and full-time liquidity.
