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What is a Premier Savings Account?

Written by Taiwo Temitope-Adesope | Nov 4, 2023 10:52:03 PM

A savings account is one of the most important tools for building financial security. Having money set aside for emergencies, goals, and the future is essential for personal finances. While regular savings accounts offer basic deposit services, Premier Savings Accounts provide enhanced features and benefits tailored to your needs.

Premier Savings Accounts are specialized accounts offered by leading banks like Access Bank to provide customers with higher interest rates, flexible access, and special rewards. Compared to standard savings accounts, Premier Savings Accounts allow for higher balances, multiple currencies, and integration with other premium banking services.

In this comprehensive guide, we will explore what exactly Premier Savings Accounts are, their key features, major benefits, account types, eligibility criteria, opening process, common misconceptions, expert tips, and frequently asked questions. Whether you already have a regular savings account or are new to banking, see how Premier Savings Accounts can accelerate your savings.

What is a Premier Savings Account?

A Premier Savings Account is a type of savings account offered by banks to provide premium services for high-net-worth individuals and businesses. It is distinct from regular savings accounts in offering higher interest rates, higher balance limits, and additional features.

Premier Savings Accounts first emerged in the 1990s as banks began catering to wealthy clients who wanted special treatment. By providing exclusive products and services, banks could attract lucrative customers and deposits. Over the years, Premier Savings Accounts have evolved to provide flexible multi-currency access, security features, and rewards programs.

Banks have tiered Premier Savings Accounts so that customers can select an account that aligns with their deposit needs and activity levels. The key benefit across all tiers is an attractive interest rate to boost returns on savings. Premier Savings Accounts also serve as an entry point for accessing wider premier banking facilities.

Key Features of Premier Savings Accounts

Some of the key features that distinguish Premier Savings Accounts from regular savings accounts include:

  1. Multi-Currency Capabilities: Save money in different currencies like USD, EUR, GBP based on your needs. Useful for international transactions.
  2. Linked to Premier Products: Get integrated access to premier current accounts, credit cards, investment accounts and more under one banking relationship.
  3. Higher Interest Rates: Enjoy interest rates up to 2% higher than regular savings accounts. Maximizes growth of savings.
  4. Large Deposit Capacity: Deposit limits from N5 million up to N50 million based on account tier. Ideal for large balances.
  5. Exclusive Rewards: Redeem points for shopping, travel, entertainment and more through loyalty programs. Receive access to premier banking lounges and concierge services.

As you can see in the table above, Premier Savings Accounts offer higher ceilings for deposits, greater returns through interest rates, and more convenient access compared to regular savings accounts. The enhanced online/mobile experience and lack of account fees provides an overall superior banking experience.

Benefits of Premier Savings Accounts

Why should you open a Premier Savings Account over a regular savings account? Here are some of the most notable benefits:

  1. Higher Savings Rates: With interest rates up to 7% p.a., you can grow your money faster.
  2. Rewards & Offers: Exclusive deals on dining, travel, healthcare and more. Also receive invites to premier events.
  3. Premium Banking: Gain access to premier lounges, relationship managers, and luxury concierge services.
  4. Enhanced Security: Additional verification, fraud monitoring and insurance protects account funds.
  5. Personalized Service: Dedicated support and customized solutions tailored to your needs.

Types of Premier Savings Accounts

Banks offer multiple tiers of Premier Savings Accounts to suit individual needs:

Instant Saving (Tier 1)

  1. Minimum opening balance: N5 million
  2. Interest rate: 5% p.a.
  3. Key benefits: Higher interest earnings, debit card access, priority banking services

Savings Account (Tier 2)

  1. Minimum opening balance: N10 million
  2. Interest rate: 6% p.a.
  3. Key benefits: Higher interest earnings, preferential FX rates, unlimited transactions

Premier Savings (Tier 3)

  1. Minimum opening balance: N50 million
  2. Interest rate: 7% p.a.
  3. Key benefits: Maximum interest earnings, global multi-currency access, premium banking privileges

Be sure to evaluate your deposit needs, activity levels, and desired rewards to determine the ideal Premier Savings Account tier for you.

How to Open a Premier Savings Account

To open a Premier Savings Account, here are the key steps:

Eligibility Criteria

  1. Minimum age 18 years
  2. Valid ID documents (driver's license, passport, national ID)
  3. Proof of address

Required Documents

  1. Duly filled account opening form
  2. Recent passport photograph
  3. ID documents (utility bill, bank statements accepted as address proof)

Opening Process

You can open an account conveniently through the bank's website, mobile app, or by visiting a branch. The account opening process involves:

  1. Submitting the documents and application form
  2. Conducting KYC verification
  3. Making the minimum opening deposit
  4. Activating internet/mobile banking

That's it! The process is quick, and you can start saving and earning higher returns.

Common Misconceptions

There are some common misconceptions associated with Premier Savings Accounts. Let's clear up the facts:

Myth: Premier Savings Accounts are only for the ultra-wealthy.

Fact: Accounts start from N5 million balance, making them accessible to upper middle-class savers.

Myth: There are limited withdrawals on the account.

Fact: Most tiers actually offer unlimited transactions with no caps on withdrawals.

Myth: The account requires other premier accounts to open.

Fact: You can open Premier Savings independently without needing other premier products.

Myth: Interest earned is not compounding.

Fact: Premier Savings Accounts offer quarterly compounding interest, allowing your savings to grow faster.

Tips for Maximizing Your Account

Follow these tips to optimize your Premier Savings Account:

  1. Take advantage of higher interest rates by maintaining large account balances.
  2. Setup automatic monthly transfers to build your savings over time.
  3. Use online/mobile banking to easily manage your account.
  4. Spend strategically with a Premier Debit/Credit card to earn rewards points.
  5. Invest excess deposits in Premier Investment Accounts for higher returns.
  6. Withdraw money only for planned expenses and financial goals.
  7. Setup account alerts to monitor balances, transactions, and savings milestones.

Conclusion

Premier Savings Accounts offer a superior way to build your savings and unlock premium banking privileges. With higher interest rates, large deposit capacity, and tailor-made services, a Premier Savings Account provides significant advantages over regular savings accounts. Carefully consider your financial needs and savings goals to determine if transitioning to a Premier Savings Account is the right move for you. This comprehensive guide covered everything you need to know, from account features and benefits to opening requirements and optimization tips. Visit your bank today to discuss upgrading your savings account!

FAQs

What is the minimum balance for a Premier Savings Account?

The minimum opening balance starts from N5 million and goes up to N50 million depending on the tier of account.

How do you earn interest on Premier Savings Accounts?

Interest is calculated daily based on your end-of-day account balance and credited quarterly at tier-specific interest rates ranging from 5% to 7%.

Can I have more than one currency in my account?

Yes, Premier Savings Accounts offer multi-currency wallets to hold funds in different currencies like USD, EUR, GBP conveniently in one account.

Is there a limit on withdrawals and transfers?

Higher tier Premier Savings Accounts offer unlimited withdrawals with no transaction limits. Lower tiers may have caps on transfers.

What customer support does the bank provide?

You get dedicated premier relationship managers, priority call centers, exclusive lounges and concierge services for banking assistance.

Glossary

Minimum Opening Balance – The initial deposit amount required to open the savings account.

Know Your Customer (KYC) – Process of identity verification mandated by regulators before opening an account.

Eligibility Criteria – Qualifying standards set by the bank such as age, residency status, required documents etc.

Interest Rate – The annual percentage rate earned on the account balance as set by the bank.

Compounding – Method of calculating interest on earned interest. Leads to faster growth of deposit balance.

Multi-Currency Account – Account that allows deposits in multiple currencies to be held separately. Useful for international customers.

References and Further Reading

  1. How to Choose the Right Savings Account – https://nairacompare.ng/blog/savings/personal-savings/choose-right-savings-account/
  2. What is a High-Yield Savings Account? Definition, What to Consider – https://nairacompare.ng/blog/savings/personal-savings/high-yield-savings-account/
  3. Access Bank Premier Savings Accounts – https://www.accessbankplc.com/pages/Savings-Account.aspx
  4. UBA Premier Savings Account – https://www.ubagroup.com/countries/NG/personal-banking/accounts/savings-accounts/premier-saving-account
  5. GTBank Premium Savings – https://www.gtbank.com/personal-banking/accounts/savings-accounts/premium-savings