Everyone needs a place to keep their savings it can be in a piggy bank or in a saving account. Today we will see how we can open an account for your kids and give them financial education.
About 80% population have a savings account where you park your hard-earned money. If you are one of the parents who want to teach their children the importance of financial literacy, the first step is opening an account in their name.You can open an account for your children as a parent or legal guardian. The age of kids doesn’t matter here as you can open an account from the zeroth day of their birth as long as you have documentation such as a birth certificate with kids’ name. As soon as they attain the age of 18, the status of a minor account should be converted to a normal account with full-fledged features. Several top banks offer exclusive Savings Account for Minors, such as SBI, HDFC Bank, ICICI Bank, Kotak Bank, and others. This account is specifically made for minors and also offers a wide range of benefits like a Debit Card, Cheque Book. The minor account with tied with the parent or guardian account and you can monitor any kinds of transactions.
These banks provide more or less the same features with zero opening balance or with the lowest average monthly balance. One thing to note is, always open an account for the minors where you have an account so that you get the majority of benefits.
For Example: If you have an account in HDFC, open the minor savings account in HDFC so that your KYC is already taken care of, and it’s only a matter of linking the minor account to your account. Save time and hassle of opening multiple accounts in various banks.
Let’s see what documents you need to open an account for your kids. But before that…
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Let’s dive back to the documentation…
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