A Current Account is an important financial management instrument for businesses. Current accounts help businesses manage daily cash flow. All major banks in India offer current accounts to their business account holders who have to receive and disburse huge amounts of cash for their business. Along with multiple deposits and withdrawals every day, current accounts also offer other credit facilities like overdraft, credit lines, demand drafts, and more.  

If you are a business looking for the best current account in India for businesses, the below list gives the key features offered by top banks. These current accounts offer various value-added services too, for your business.  

Are you an entrepreneur planning your first startup? Here are the top 10 Business Ideas for Success in 2024!  

The Top 15 Bank offering the Best Current Accounts in India 2024 

1. State Bank of India (SBI) 

  • Account Types: Regular Current Account, Power POS, Gold, Diamond. 

  • Key Benefits: Access to the extensive network of branches and ATMs across India, making it convenient for businesses to operate nationwide. Auto-sweep feature ensures idle balances are moved to fixed deposits, balancing between better returns and liquidity needs. 

  • Free Services: Select account variants get free NEFT and RTGS services. NIL fees on cash withdrawals from home branches for select accounts too. 

  • Ideal For: Small businesses and startups that require basic banking services with an extensive branch network. 

Click here to learn more about SBI Business Loans 

2. HDFC Bank 

  • Account Types: Max Advantage, Ultima, Agri, and more. 

  • Key Benefits: Avail pre-approved loans and high cash deposit limits, which can facilitate high-transaction-volumes with ease. Access digital banking through robust mobile and internet banking tools, that give a good boost to growth-oriented businesses. 

  • Unique Feature: Get enhanced, tiered-based benefits based on the monthly average balance, giving businesses the required financial aid as they grow. 

  • Ideal For: Large corporations, startups, and e-commerce firms needing advanced banking tools and transaction support. 

Features, Benefits & Application Process for HDFC Business Loans! Click here! 

3. ICICI Bank 

  • Account Types: Smart Business, Roaming Current Account, One Globe Trade. 

  • Key Benefits: ICICI Bank stands out for its advanced digital platform, offering a range of highly customizable account options. These include flexible cash deposit limits and reduced loan processing fees, enhancing the value of its current account services. 

  • Unique Feature: ICICI’s iBizz app offers business users a robust suite of features, including online fund transfers, easy transaction management, and even cardless cash withdrawals. 

  • Ideal For: Tech-savvy businesses that require robust online services and streamlined transaction support. 

4. Axis Bank 

  • Account Types: Full Power Digital, Channel One, Club 50. 

  • Key Benefits: Axis Bank’s Full Power Digital Current Account delivers convenient perks like cashback on purchases, fee-free cash withdrawals at any branch, and reward points for various transactions. The account’s fast online setup through video KYC adds to its accessibility. 

  • Free Services: Free cheque book issuance and no monthly service fees on select accounts. 

  • Ideal For: E-commerce and digital-first businesses, SMEs, and high-transaction-volume entities needing seamless, cash-free operations. 

Click here to apply for ICICI Bank Business Loans at the best interest rates! 

5. Kotak Mahindra Bank 

  • Account Types: Neo, Pro, Global Trade, ActivMoney. 

  • Key Benefits: Kotak Mahindra allows account holders to convert idle balances into term deposits, offering returns while keeping funds accessible. The bank also provides free NEFT/RTGS services for most current accounts and unsecured overdrafts up to ₹15 lakh. 

  • Unique Feature: With Kotak’s ActivMoney feature, funds are automatically moved to a term deposit, helping businesses earn interest without the need for a separate account. 

  • Ideal For: International businesses, small enterprises seeking flexible deposit options, and exporters/importers. 

6. IndusInd Bank 

  • Account Types: Indus Max, Indus Gold, Indus Silver. 

  • Key Benefits: IndusInd provides free NEFT, RTGS, and IMPS fund transfers, along with a low average monthly balance requirement for many accounts. Their doorstep banking and account customization options add convenience, especially for medium-sized businesses. 

  • Unique Feature: Account holders can also personalize their experience by selecting a preferred account number. 

  • Ideal For: SMEs and medium-scale industries needing easy fund transfers and customizable account features. 

7. YES Bank 

  • Account Types: Edge, Prime, Exclusive Business. 

  • Key Benefits: YES Bank offers a variety of current accounts designed to meet different business needs. Businesses can convert idle balances to term deposits to earn returns and enjoy business debit cards with no annual fees for the first year. 

  • Free Services: Free IMPS fund transfers and tiered services let businesses upgrade accounts without extra fees. 

  • Ideal For: New-age businesses, import-export firms, and entities looking for no-cost fund transfers and flexible upgrades. 

8. Bank of Baroda 

  • Account Types: Baroda Premium, Baroda Scale-Up. 

  • Key Benefits: Bank of Baroda offers account holders a full waiver on processing fees for car loans taken in the name of business owners or directors, along with other valuable perks. Their digital banking solutions include cash management and payment gateway services. 

  • Unique Feature: High-balance accounts enjoy added benefits like insurance coverage, dedicated relationship managers, and cash pick-up facilities. 

  • Ideal For: Businesses that prioritize low banking fees, support, and additional perks like waived loan fees. 

Also Read: Indian Government backed Business Loan Schemes! 

9. RBL Bank 

  • Account Types: Value Silver, Business Plus. 

  • Key Benefits: RBL Bank supports short-term capital needs by offering business loans and small business loans secured against property. Their doorstep banking services provide added convenience, particularly in areas with limited branch access. 

  • Free Services: Benefits include cash deposits up to a specified limit, waived overdraft interest for certain accounts, and monthly access to a relationship manager. 

  • Ideal For: Small and mid-sized businesses needing working capital support and flexible access to banking facilities. 

10. Federal Bank 

  • Account Types: Fed Trade, Fed Smart. 

  • Key Benefits: Federal Bank provides zero-balance current accounts specifically designed for startups and small businesses with modest capital needs. Their digital services are straightforward and convenient, with mobile and online banking features ideal for remote transactions. 

  • Unique Feature: The “Fed Smart” account offers businesses access to trade services and export-import facilitation, making it especially useful for small trade operations. 

  • Ideal For: Startups, small businesses, and self-employed professionals who need cost-effective banking options. 

11. IDFC First Bank 

  • Account Types: Business Current Account. 

  • Key Benefits: IDFC First Bank’s current accounts feature low minimum balance requirements and a variety of free services, such as NEFT/RTGS transfers and doorstep banking, making them ideal for businesses with moderate transaction volumes. 

  • Free Services: Businesses also benefit from free cash deposits at branches and waived service charges on IMPS, RTGS, and NEFT transfers. 

  • Ideal For: Small businesses, startups, and entrepreneurs who prioritize low-cost banking and convenience. 

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12. Union Bank of India 

  • Account Types: Basic Current Account, Corporate Current Account. 

  • Key Benefits: Union Bank of India offers affordable current accounts with a vast branch network across the country. These accounts provide easy access to overdrafts and transaction management tools, making them ideal for businesses with moderate to high cash flow needs. 

  • Unique Feature: Union Bank also offers cash deposit machines at branches, streamlining daily cash transactions for businesses. 

  • Ideal For: Traditional businesses, retailers, and service providers seeking extensive physical presence and branch-level support. 

13. Karur Vysya Bank 

  • Account Types: KVB Smart Trade, KVB Exim. 

  • Key Benefits: Karur Vysya Bank supports trade and logistics businesses with tailored accounts, offering features like personal loans, accident insurance, and specialized assistance for import-export operations. Their Smart Trade and Exim accounts are crafted for businesses with unique trading and clearing needs. 

  • Unique Feature: Account holders also benefit from accident insurance and dedicated support for high-transaction businesses. 

  • Ideal For: Logistics, trade businesses, and cooperative societies that need banking solutions tailored to high-volume transactions. 

14. Canara Bank 

  • Account Types: Current Plus, Standard Current Account. 

  • Key Benefits: Canara Bank offers high cash deposit limits, dedicated customer support, and account features tailored to various business types. They also provide overdraft facilities, making it easier for growing businesses to manage cash flow. 

  • Free Services: High-balance accounts enjoy free cheque books and reduced fees on account-related services. 

  • Ideal For: Medium and large businesses looking for reliable, branch-level support and flexibility in cash management. 

15. RBL Bank 

  • Account Types: RBL Value Silver, Business Plus. 

  • Key Benefits: RBL Bank supports growing small businesses with flexible short-term loans, high cash deposit limits, and property-based business loan options. Their doorstep banking services are especially valuable for businesses in areas with limited branch access. 

  • Unique Feature: Select current accounts also offer waived overdraft interest charges for a limited period, helping new businesses manage cash flow more effectively. 

  • Ideal For: SMEs, professional service firms, and sole proprietors needing tailored banking solutions. 

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Eligibility Criteria for Current Account Opening in India 

To open a current account in India, applicants must typically meet specific eligibility criteria. Here are the common requirements banks may set: 

  • Resident Individuals: Indian residents aged 18 and over are eligible to open current accounts for business purposes. 

  • Sole Proprietorships: Business owners operating as sole proprietors can open current accounts under the business’s name. 

  • Partnership Firms: Partnerships can open accounts in the firm’s name, with signing authority designated or shared among partners. 

  • Limited Liability Partnerships (LLPs): Registered LLPs can open current accounts with authorization from designated partners. 

  • Private and Public Limited Companies: Companies registered under the Companies Act can open current accounts in the company’s name. 

  • Trusts, Societies, and Associations: Registered non-profit entities, clubs, and associations are also eligible for current accounts. 

  • Foreign Companies: Foreign nationals and companies operating in India may open current accounts, subject to RBI compliance. 

Wondering what the Business Loan Interest Rates are in India? Read this to learn more! 

Documents Required to Open Current Accounts in India 

The documents required to open a current account vary based on business structure but generally include: 

  1. Proof of Identity and Address 

  • For Individuals: Aadhaar card, PAN card, Passport, Voter ID, or Driver’s License. 

  • For Sole Proprietorships: Proof of business (such as a GST certificate, shop registration, or business license). 

  1. Business Registration Documents 

  • Partnership Firms: Partnership deed, partnership PAN, and address proof. 

  • LLPs: Certificate of Incorporation, LLP agreement, PAN, and address proof. 

  • Private/Public Limited Companies: Certificate of Incorporation, Memorandum and Articles of Association, PAN, address proof, and a Board Resolution authorizing account opening. 

  1. KYC Compliance Documents 

  • PAN card or Form 60 for those without PAN. 

  • Recent utility bills for address verification. 

  • GST registration certificate, if applicable. 

  1. Additional Documents for Non-Profits and Associations 

  • Trust deed or registration certificate for trusts, societies, and associations. 

  • List of authorized signatories and a board or trust resolution authorizing account operations. 

  1. Photographs 

  • Passport-sized photos of authorized signatories for account verification and identification. 

Key Features and Factors to Consider When Selecting a Bank for a Current Account 

When selecting a current account, businesses should evaluate the following features: 

  • Transaction Limits: Seek banks with high or unlimited transaction limits to avoid additional fees. 

  • Unlimited deposits and withdrawals suit businesses with frequent cash flows. 

  • Some banks cap free transactions; be aware of potential fees if limits are exceeded. 

  • Overdraft Facility: Many banks offer overdrafts, allowing extra funds for short-term liquidity. 

  • Check for competitive overdraft interest rates and if limits are customizable to your business’s cash flow. 

  • Minimum Balance Requirement: Minimum balance requirements vary by account type and business size. 

  • Zero-balance accounts offer flexibility without extra fees for low-balance periods. 

  • Digital Banking Services: Essential for managing transactions, digital tools streamline fund transfers, tracking, and bill payments. 

  • Look for NEFT, RTGS, and IMPS facilities. 

  • Advanced mobile and online tools enhance convenience for remote transactions. 

  • Cash Deposit and Withdrawal Limits: Many accounts set monthly cash handling limits; choose one that matches your cash flow. 

  • For high cash volumes, consider banks with generous or unlimited cash handling limits. 

  • Branch and ATM Network: An extensive network is beneficial for in-person banking. 

  • Multi-branch access or doorstep banking is ideal for companies operating across multiple locations. 

  • Cheque and Demand Draft Facilities: Useful for businesses handling vendor payments or collections. 

  • Accounts with free or low-cost cheque books and drafts can help reduce costs. 

  • Additional Business Perks: Some banks offer added benefits, such as cashback, waived fees, and rewards. 

  • Compare these perks to find value that can offset fees on cash handling, cheques, or loans. 

  • Account Customization Options: Some banks provide sector-specific accounts or options that scale with your business. 

  • Customizable accounts suit businesses with specialized industry needs. 

  • Customer Service: Strong customer support is essential for business banking. 

  • Choose banks with 24/7 customer service and dedicated relationship managers for smooth operations and quick issue resolution. 

FAQs on Best Banks for Current Accounts in India  

1.Which is the best bank for a current account in India for startups? 
There are many banks that offer the best current accounts in India. Especially for startups, they offer zero-balance or low-minimum balance accounts, giving flexible banking solutions. Browse through the above sections to see the various benefits and features offered by different banks and choose the one that best suits your needs.   

2. Which banks offers zero-balance current accounts in India? 
Yes, a few banks like Federal Bank and Kotak Mahindra Bank offer zero-balance current accounts. With no minimum balance requirement, they benefit new or small businesses. 

3. What is the average minimum balance requirement for current accounts in India? 
Minimum balance requirements depend on the bank and current account variant you choose. They typically range between ₹5,000 to ₹5 lakh. There are a few banks that even offer zero-balance current accounts in India. 

4. What are the different types of charges associated with current accounts in India? 
Current Account charges could include cash handling charges, overdraft fees, cheque issuance charges, and penalties for not maintaining minimum balance. 

5. Can current account holders avail loans or overdraft facilities? 
Yes, of course! All current accounts in India come with financial assistance and credit facilities for their businesses. These account holders also enjoy business loans at special rates, giving them the much-needed financial boost for their business.