We had a wonderful session on why people have opened a bank account in the past and their usage. Here’s what they had to say: Users opened the accounts for a variety of reasons including:
Salary account
Rewards and perks
Higher interest rate
But we guess the greater question that came out of this was, how does one use multiple accounts? One of our users was kind enough to lay it out for us:
Salary account - receive salary and budget the following accounts
Family expenses- including joint account with wife for family-related expenses
For home loan- where EMIs get deduced
Investment account- for all investments
A huge takeaway from this session was that people care about rewards, and ease of use while opening a new account (as spotted by a VC in the room, yes our community has a diverse set of users ). Another user also found it insightful to understand how people use their primary and secondary accounts. But what’s missing in the current system?
Reward points on UPI Transactions, some users said.
Why would people open a bank account in Jupiter you ask? Let’s find out via a poll here, select top 3 reasons for opening a bank account on Jupiter out of the options:
ui / ux
no spam
complete digital experience no branch visits
better customer support
higher interest rate
analytics on spends
budgeting tool
cashback on UPI transaction
cashback on every card spends
other rewards like lounge access, exclusive discounts
One other use for secondary account is security. When I use ATMs I always use debit card of a secondary account. There have been multiple incidents of card cloning in the country and getting money refunded is a big hassle. If we have a secondary account then even if the card gets cloned / stolen the amount of money that I can lose is smaller.
For online transactions I always use a credit card as there are much more safety in it. Heard a friend’s bank account being debited with 1.5 Lac instead of 1.5k in a debit card transaction. I started using credit cards over debit cards for transactions after that. In case a merchant makes such a mistake (which happens) the virtual card won’t help. It will only give a temporary card number but the underlying account is still the same. So the debit will go through.
For offline purposes (cash withdrawal mainly when in a small town) virtual cards won’t work.
These virtual cards can only work if we can have a maximum spend limit on the virtual card. A configurable limit different than the main card or account. Even in such a scenario I am not sure whether the protection offered by virtual debit card is better than a credit card.
Don’t entirely understand the mistake at an offline store. The 1.5k Vs 1.5 Lac example.
When one keys in the PIN, the amount is clearly visible, why would your friend miss that? I try to be sure of that always!
A max spend limit, etc are things @abhi Saswat and Vatsal have suggested already and on trello!
). Another user also found it insightful to understand how people use their primary and secondary accounts. But what’s missing in the current system?