5 Major Types of Bank Accounts in Nigeria
The fact that some Nigerians are unaware of the many sorts of bank accounts is interesting.
The only bank accounts they are aware of are the savings account and possibly the current account, and even those who are aware of them are unaware of the advantages and downsides of these accounts. In today’s article I will be talking about the 5 Major Types of Bank Accounts in Nigeria. Let’s get going.
Also read my previous article on How to transfer PayPal funds into local bank account
1. Savings Account
The most used bank account in Nigeria is mostly used for deposits and withdrawals. Savings accounts are simple to maintain but only yield very little interest.
2. Current Account
You receive a checkbook to support the endless transactions allowed by this account.
Business owners primarily use this account. Additionally, it permits overdraft, which means that even if your balance is zero, you can still make a purchase. This account typically has a maintenance cost.
3. Fixed-deposit Account
This is typically done to earn a lot of interest on a certain sum of money. This account’s funds are locked in for a specific amount of time and cannot be removed until that time has passed. An investing account, that is.
4. Business or Corporate Account
This account is mostly used for commercial needs. Typically, businesses or organizations own it.
5. Domicialiary Account (Dom account)
This account is employed for international transactions. You can save money in this account in dollars, pounds, and other currencies.
Other bank accounts that may be unique to a particular bank include those for elderly or retired persons, students, non-residents (those who reside outside of the country), salary accounts, and others.
To open any bank account, you must provide the following
▪︎A valid means of identification
▪︎Sometimes, a minimum opening balance
To open a domiciliary account, in addition to the above, you must provide at least two referees who have an active current or domicillary account.