How to Choose the Best Private Banking Services

What are Private Banks?

Private banks are owned by partners or individuals and the shareholders that have a majority stake in private banks, apart from the government. So simply put, in private banks, the government does not own the majority of the stake (more than 50% of shares are termed as a majority). Although 

How to choose the best private bank?

Private banks in India offer a wide range of services to clients. Also, it is to note that the number of private banks in India is good. It may become confusing and tedious to weigh the pros and cons and choose the best private bank. And it is also a possibility that you may miss out on certain factors to look into. 

So here we are listing 5 things you must look for while searching for the perfect private bank for yourself.

• Services offered by the bank

Nowadays banks offer a wide variety of products and services. But its relevance to your requirements must be important. What this means is, it does not matter if the private bank provides huge range of products and services. It is beneficial but if they do not provide a service that you particularly require, it would not prove to be an accurate choice.

• Availability of ATMs

Carrying paper money is reducing day by day. It is a high chance that you will require money urgently. So, it is very important to choose a bank that has a wide network of ATMs throughout the country.

• Fee Structure

It is very important to look into the fee structure of the bank. One must read the fine print regardless of it being a tedious task. One must be aware of how much and when a fee will be required to pay. If you see no detailed explanation about the fee structure, you know it is not the right one for you.

• Online services provided by the bank

It can be quite a daunting task to visit the bank for every little task. You must look into the technical aid provided by the bank. Whether they have app services, if yes, what kind of services they provide. The transfer of funds, payment of bills, retail transactions, etc. must also be provided as online services. This will ensure ease of access.

• Reviews

Lastly, before making up your mind on a bank, you must ask for reviews by the current clients of the bank. The things they liked or disliked about the bank. You must also enquire about the ex-clients of the bank about their experience and the reason for dropping their services.

What is private banking?

Private Banking, as the name suggests, provides personalized financial and banking services. These services are offered to the bank’s HNWIs (High Net-Worth Individuals). Services like wealth management, portfolio management, estate planning, tax services, investments, insurance, etc.

How private banking works?

Each HNWI is considered as an exclusive client. A private banker, also known as a relationship manager, is assigned to each exclusive client to pertain to all the matters. These private bankers help in various matters related to finance like financial planning, investment strategy, retirement planning and passing of wealth to future generations are to list a few.

Advantages of private banking

Private banking offers several benefits, perks, and privileges to the clients. This has become extremely important in the current scenario of the completely automatic and digitally reformed banking systems. However, private banking is profitable to both the clients and the banks alike.

   1. Potential preferable pricing

The exclusivity of the clients allows them to gain better pricing for various services. This may include discounts on annual rate percentage or specialized loans.

   2. Dedicated personnel

A distinctly allotted private banker makes the work seamless and easy. This prevents wastage of time in explaining details every time new personnel serves. This also makes the client experience better and makes the client feel properly tended to along with a personal touch.

   3. Resource opportunities

Private banks often provide extensive resources to the clienteles which are not easily available to a normal individual. Resources like angel investors, etc. are provided.

What’s in it for the private banks?

Private banking proves beneficial to the bank as the assets of the client get added to the overall asset under management by the bank. Also, even the loan rates are discounted, it is a substantial amount.

Conclusion

In today’s time, banking is not restricted to just selling their products. They have started focusing on the client’s needs and building client trust. Their main aim now is to build a satisfactory relationship with the customer in order to provide the best experience possible. They help you reach your financial goals through proper planning and consultations.