Kotak Mahindra Bank Current Account: A Complete Guide

Last Updated on December 6, 2021

Since the last few blogs, you got to know about the current accounts that different banks offer. And, we are back with another blog. This time, you will know about the current account in Kotak Mahindra Bank.

Before coming to the main topic, let’s know the glorious history of Kotak Mahindra Bank.

Table of Contents

  1. About Kotak Mahindra Bank
  2. Types of Kotak Mahindra Bank Current Account
  3. Closing Remarks
  4. Frequently Asked Questions

About Kotak Mahindra Bank

Incorporated in 2003 in Mumbai, Kotak Mahindra Bank is the third-largest private sector bank with a market capitalization of Rs 3.41 Lakh Crore. Pretty massive, right? It has 1600 branches and more than 2500 ATMs. You will be amazed to know that the company was the first to get a banking license from RBI. So, it became the first Non-Banking Financial Company (NBFC) to convert to a bank.

Types of Kotak Mahindra Bank Current Account

After knowing this fact, you can conclude how vast the company is. No doubt, it will serve every market segment to expand its customer base. That is why it has various current accounts for different types of businesses. Let’s look at them one-by-one.

Startup Accounts

Today, we are living in the startup era. Thanks to the unicorn craze, the startup culture has increased exponentially. So, banks can attract a lot of customers by targeting this market. And Kotak Mahindra Bank is no different. It has current accounts for different stages of a startup. They are:

Startup Premium Current Account

The Premium current account is suitable for the unique requirements of the startup in the transition stage. As the name suggests, it has the following premium features.

  • Business Class Gold Debit Card with a daily purchase limit of 1.75 Lakhs and ATM withdrawal of Rs 50k
  • Auto sweep facility available. It converts the idle current account balance to fixed deposits for better returns.
  • Unsecured Overdraft Facility up to Rs 15 Lakhs for short-term needs
  • Kotak Circle: Grouping of current/savings accounts to provide flexibility in maintaining AMB
  • Cash Management and Forex Trade services
  • Payment gateway and Point of Sale facilities

It also provides value-added services like taxation services, enterprise solutions, and whatnot! But that’s not the end. Besides all of these, it offers the following facilities as well:

  • No non-maintenance charge for the first year
  • Free demand drafts up to Rs 10 Lakhs
  • 300 free cheque leaves per month
  • Doorstep banking
  • Net Banking, Mobile Banking facilities available
  • Free cheque returns (5 per month)
  • Free NEFT and RTGS transactions
  • Dedicated relationship manager as a point of contact
  • Cash Deposit Limit of up to Rs 3 Lakhs p.m.
  • Cash withdrawal of Rs 1 Lakh per day.

It is exciting, isn’t it? All of the above facilities can improve the operations of the startup dramatically. And you can get all of these by maintaining an AQB (Average Quarterly Balance) of Rs 1 Lakh.

To know about the applicable charges, click here.

Startup Regular Account

The premium account provided a plethora of services. But the minimum balance required was high, especially for the early startups. So, Kotak Mahindra Bank introduced this current account to fulfil the problem.

It has all the premium features of the above account. And that too with a minimum average balance of Rs 50k. It also has the above features with the following limits:

  • 200 free cheques per month
  • Cash Deposit Limit of Rs 1 Lakh p.m.
  • Cash withdrawal of up to Rs 50k per day.
  • Free cheque returns (3 per month)
  • The free demand draft facility is not available

Neo Current Account

It is suitable for small businesses, as it has a low minimum balance of Rs 10k. But it doesn’t compromise on its features. It also has premium features like Gold Debit Card, auto-sweep, and overdraft facility.

It also has the following features:

  • Free cheque collection through speed clearing
  • Cash Deposit up to 2 Lakhs per month
  • Cash withdrawal of Rs 10k per day
  • Free NEFT and RTGS transactions
  • Net Banking, Mobile Banking, and E-mail alert facilities
  • Kotak Circle facility to make AMB flexible
  • Better forex rates and trade services
  • Cash management services
  • Payment gateway facility and Point of Sale (POS) solutions

The AQB requirement is Rs 10k.

Pro Current Account

As the name suggests, it is suitable for professionals. It has all the features of Neo Current Account with increased limits and some extra features as well.

  • Cash Deposit Limit up to Rs 6 Lakhs per month
  • Cash withdrawal up to Rs 50k a day.
  • Doorstep banking facilities
  • Dedicated relationship manager
  • Free cheque returns up to 5 per month

It has an AQB of Rs 50k.

Edge Current Account

It is also suitable for small and medium businesses. But it has exclusive features to fulfill personalized needs.

  • 50 free cheque leaves per month
  • Cash Deposit Limit of 4 lakh per month
  • Cash withdrawal of Rs 25k a day.
  • Free demand drafts: 25 per month

As it provides extra features, it has a higher AQB requirement of Rs 50k.

Elite Current Account

It is a premier account suitable for medium and large businesses. It has the identical features of others. But it also has the following features:

  • Free demand drafts up to Rs 10 Lakhs per month
  • Cash Deposit Limit of 10 Lakh p.m.
  • Cash withdrawal limit of 1 Lakh per day.
  • Doorstep banking facilities up to 3 requests per month
  • Free cheque returns up to 7 cheques per month
  • 300 free cheque leaves per month

The minimum AQB is Rs 1 Lakh.

Ace Current Account

It is a premium account for large businesses to enjoy business banking relationships. It has the following features, besides the common ones:

  • Business Power Platinum Debit Card: It has a daily purchase limit of 2.5 Lakhs and an ATM withdrawal limit of 2 Lakhs
  • Free demand drafts up to Rs 30 Lakhs per month
  • Cash Deposit Limit is higher of 10 times the AMB and 25 Lakhs.
  • Cash withdrawal limit of 2.5 Lakh per day  
  • Doorstep banking up to 5 requests per month
  • Free cheque returns up to 10 instruments per month
  • Dedicated relationship manager

As it provides additional services and limits, there is a higher AQB of Rs 2.5 Lakhs.

Astra 05 Current Account

Kotak Mahindra Bank designed it specifically to fulfil the needs of large enterprises. It has all the features of Ace Current Account and the following as well:

  • Unlimited free demand drafts
  • Minimum Cash Deposit Limit of higher of 6 times the AMB or Rs 60 lakhs per month
  • Cash withdrawal limit of 5 Lakhs per day
  • Doorstep banking up to 7 requests per month

The AQB requirement is Rs 5 Lakhs. 

Astra 15 Current Account

It is a tailor-made account to meet the needs of huge enterprises. It has the following features, in addition to Astra 05 Current Account.

  • Cash Deposit Limit of higher of 12 times the AMB and 120 Lakhs
  • Cash withdrawal limit of 7.5 Lakhs a day
  • Doorstep banking with a limit of one request per day.
  • Free cheque returns up to 10 cheques per month.

As the deposit and withdrawal limits are way more, the same is the case with AQB. Here, you have to maintain an AQB of Rs 15 Lakhs.

Global Trade Current Account

No doubt business is crucial. But international business takes priority against domestic business. As it brings in forex and strengthens the domestic economy. So, Kotak Mahindra Bank has dedicated a current account exclusively for Exim traders.

There are three variants: Pro, Elite, and Ace. It has respective features of the variant you choose and the following features:

  • It provides an enormous network of correspondents across the globe
  • Complimentary Multi Currency World Travel Card
  • Value-added and Exim services
  • Letter of Credit and Bank Guarantees
  • Standing instructions for repetitive payments

It also has these digital solutions:

  • FX Live to book forex rates at your convenience
  • E-Banking platform to get information about outstanding bills
  • Timely accounting and reconciliation through E-Advices
  • E-Swift for faster communication with overseas business partner

Closing Remarks

Kotak Mahindra Bank offers a plethora of current accounts. They meet the needs of different businesses. Also, there are customized accounts for startups, professionals, and EXIM traders. And the premium variants have one or the other remarkable features.

Besides the current accounts, it also has a variety of savings accounts. It provides Demat accounts, insurance, and investment facilities as well. So, don’t forget to try their other services as well, if you find their current accounts beneficial for your business.

Frequently Asked Questions

Q1: How to open a current account in Kotak Mahindra Bank?

You have to fill the account opening form, either offline or online. And attach the necessary documents required. After verification, your current account is ready to use.

Q2: What is the minimum balance in Kotak Current Account?

Different current accounts have their minimum balance requirements. Neo Current Account has the lowest minimum balance of Rs 10k.

Q3: Is there any Kotak zero balance current account?

Yes, there is a zero-balance current account. It has instant card settlement and a pre-approved overdraft facility. There are also loyalty programs with exciting rewards.  

Q4: What are the pros and cons of keeping a current account in Kotak Mahindra Bank?

The features of all the current accounts have been discussed above. The best thing is that Kotak Mahindra Bank has a current account for every customer. So, you won’t leave empty-handed.

Q5: Is a current account mandatory for a business?

No, it is not mandatory to have a current account for your business. Still, the competitive features give them an edge over savings accounts. So, every businessperson prefers current accounts for their business. 

Q6: Can I have a current account and a savings account at the same time?

Yes, there is no restriction in this situation. After all, current accounts are opened in the name of a business. And savings accounts are for individuals.

By Prasuk Jain

I am an inquisitive and tenacious person with a mix of enthusiasm and a positive attitude, currently pursuing CA.