Are you keeping Too much in Saving Account ?

One day I was shocked when Frieda told me that she has INR 3.5 lacs in her savings bank account. My first reaction was Why are you losing money, she was bemused and said can you make sense ?

I replied "why you need so much money sitting in bank account and earning 3.5% p.a, while prices in India are increasing at 8-10 % every year" ( Yes I am talking abo…