Zero Balance Account for a company means a Zero Balance Current Account. In general if one has to open a corporate account in bank, they have to maintain an Average Quarterly Balance in their account which is also called as AQB. AQB amount varies from bank to bank and if you fail to maintain this AQB then banks can penalize you by charging a predefined fine. Due to market recession many account holders are getting charged every month due to non-maintenance of Average Quarterly Balance. Some firm Owners finds it very difficult to maintain this balance amount in the initial period of their business due to instability in business.
Some banks are now offering zero balance account for an individual account holders by clubbing their account with other few banking products like Demat account. Where an individual user can do his/her share trading transaction and can also get the benefit of zero balance saving account feature. But with Current account it is not possible to club such banking products. It compels the firm owner to maintain an average quarterly balance in their bank account. Hence most of new entrepreneurs are searching for zero balance corporate account facility.
Kotak Mahindra Bank has come up with a promotional scheme “TENTXN”. The scheme can offer a zero balance account facility for corporate account holders. The bank has launched this scheme to promote their banking facility among corporate sector and to attract new company accounts. As per the scheme promo if you want to get avail this zero balance current account facility for your corporate account you will have to maintain minimum 30 transaction per quarter. All the general banking transaction can be considered except banks internal transaction, interest transaction and sweep in and out transaction. Even using an ATM for withdrawing very small amount can be calculated for this feature. So, as long as a current account holder is maintaining 30 transactions per quarter they can enjoy this zero balance account facility. There are many other mouth watering features accompanied with the plan which can make banking experience profitable and pleasurable.