Almost everyone has a savings account, but not everyone is aware of a game-changing feature that can significantly boost your earnings – the Auto Sweep Facility. This innovative service allows you to enjoy the benefits of both a savings account and a fixed deposit, maximizing your returns. Let’s delve into the details of how this facility can make your money work harder for you.
Introducing the Auto Sweep Facility
Banks offer the Auto Sweep Facility for both savings and current accounts, providing users with a unique opportunity to enhance their earnings. This feature acts as a financial wizard, automatically converting excess funds in your savings account into a fixed deposit, ensuring you earn interest similar to that on a fixed deposit.
Understanding Auto Sweep Facility
When you opt for the Auto Sweep Facility, an automated feature is linked to your savings account, defining a threshold limit. Any amount beyond this limit is seamlessly transformed into a fixed deposit, offering higher interest rates than a standard savings account. If your account balance falls below the set limit, the fixed deposit amount is automatically shifted back to the savings account.
Benefits of Auto Sweep Facility
- Higher Returns: Enjoy fixed deposit-level interest rates (5 to 7%) on your savings account balance, significantly surpassing typical savings account interest rates.
- Flexibility: Unlike traditional fixed deposits, the Auto Sweep Facility allows you to withdraw funds at any time without incurring penalties, providing financial flexibility.
How to Activate the Service?
Activating the Auto Sweep Facility is a simple process, and here’s a guide for State Bank of India (SBI) customers using Internet Banking and the YONO app:
Via Internet Banking:
- Sign in to Internet Banking, navigate to the Fixed Deposit option, and select “More.”
- Open the Auto Sweep Facility page, choose the account, set the amount and deposit timeframe.
- Click OK and submit, entering the OTP or transaction pin/password when prompted. The bank will enable the service within a few working days.
Via YONO App:
- Open the YONO app, select “e-fixed deposit” from the menu.
- Choose ‘multi option deposit,’ select the account, and submit your request.
- Enter the OTP or transaction pin/password when prompted. The feature will be enabled once the bank completes the process.
Stay Financially Savvy!
The Auto Sweep Facility is a smart strategy to optimize your savings, allowing you to make your money work harder for you. Take charge of your finances today and explore the potential of this innovative feature.
