Kids Bank Account

Kids Bank Account: Best Children’s Bank Accounts


One of the key responsibilities of a parent is to look after the financial needs of their children. Every parent would want to teach their kids the importance of managing finances. And what better way of doing it than teaching it to them on a practical basis?

Here is when the Kid’s bank account comes into play. This savings account for kids, called the child bank account, is one of the best decisions you will make for your child. By opening a kid’s bank account, you are not only saving up for their future but also teaching them one of the significant life lessons of saving and managing their money.

These children’s bank accounts come with a bundle of benefits and compensations, making them even more desirable. In this article, we will decode the importance of opening up a child bank account and the various benefits you can avail of from it. We will also cover the different banks and their options for children’s bank accounts.

What is a Child Bank Account?

The children’s bank accounts are like a piggy bank for the kids. This piggy bank will not only keep their money safe but also provide a bonus. Unlike a piggy bank, they won’t have to break open the account to make some money out.

The children’s bank accounts can be opened for children under 18. The key highlights are features like learning to use the money for themselves, the importance of saving up, and using modern electronic features. The kid’s bank account also provides them with investment opportunities, so they are ready for the world when they have to make real significant investments.

As any wise person would say and believe, it is never too late to start investing and saving. These kids’ bank accounts only make this statement more accurate. Not just one, you can help your child in many aspects by introducing them to their savings children’s bank account.

The kid’s bank account yields high interest rates, along with great offers on Visa cards. Family banking options are also relaxed. This is just an overview of the amazing things the kid’s bank account can do.

Let’s learn about the features and benefits of a child bank account.

Features of Kid’s Bank Account

  • A children’s bank account can be opened by kids below the age of 18 years. For kids below 10, you can open the children’s bank account, but the child won’t be able to operate it. However, if it is jointly managed by the parents or guardians and the child, then the child can manage it jointly.
  • The children’s bank accounts become invalid as the child becomes an adult. However, the banks provide an option of converting the kid’s bank account into a regular savings account.
  • Additional accessories such as checkbooks, ATM cards, and passbooks are also issued. However, these come with a lot of restrictions and guidelines. These are generally linked to the parent’s communications device to send a notification whenever used.
  • Some banks also link this child bank account to an adult (standard) bank account. They debit a certain amount every month to maintain the minimum balance quota. The parents can also directly transfer the money to the kid’s bank account.
  • The banks might also limit the withdrawal from ATM cards. This helps keep checking on overspending or rash decisions to which teenagers are prone. This is one of the most important features of children’s bank accounts.
  • The login and password for internet banking of children’s bank accounts are also issued. This depends on the parents’ discretion regarding whether they want to give it to the child or not. If they do, they would be required to sign a mandate.
  • Children’s bank accounts are generally required to maintain a minimum balance at all times. They imply penalties if the MAB or Minimum Account Balance is not met.
  • Banks link the parents’ or guardians’ phone numbers and mail IDs to the children’s bank accounts. This allows them to be notified of any transaction concerning their child’s bank account. 

Benefits of Kid’s Bank Account

  • The children’s bank accounts are an excellent way to imply financial literacy in children from a young age. Through the children’s bank accounts, a child can learn the workings of a bank and bank account, the growth, and deductions with their understanding. All this knowledge will make them financially confident and intelligent as they grow up.
  • Having a children’s bank account to their name will make them responsible for maintaining it themselves. A habit of saving money and depositing it on their own might birth a sense of interest in their curious minds. This is one of the most significant steps toward their growth.
  • Some banks might even give insurance to the child whose name the child bank account is being opened.
  • One of the essential benefits of a children’s bank account is that the money being deposited there could be used tax-free in their education.
  • Another benefit of a child bank account is that the banks give an additional facility to transfer the excess balance into a fixed account. This transfer helps in maximizing the benefits.

Also read: Kotak Junior Savings Account

How to Open Children’s Bank Accounts?

Children’s bank account is a simple procedure to open a child bank account. It is advised to research different options before settling for one. 

It is generally easy to open a children’s bank account with a bank with which you currently have an account. Since you would be familiar with the policies and services of your bank, you will be assured of these things at least. Apart from this, it is also convenient as you can link your account to the child’s bank account.

Opening children’s bank accounts is easy. Once you have decided on the bank, the procedure is quite simple. You can go to the bank’s website to fill out the form for application. Alternatively, you can procure this form from any bank branch near you. As the form details are verified, you can continue with the following procedures with the help of an assistant from the bank.

Some standard documents required for opening a kid’s bank account are:

  • Proof of their address, which is generally the Aadhar card of the parent.
  • KYC documents the child as proof of their age and relation with the guardian/ parent.
  • Passport-size photographs of the child; some might even require a photograph of the parent.
  • Duly filled application form.

This process is pretty smooth if you have all the documents in place. So you don’t need to worry much before opening up a children’s bank account for your child.

Best Children’s Bank Accounts

1. IndusInd Bank’s Children’s Savings Accounts- Indus Young Saver Savings Account   

The plan from IndusInd Bank is well-designed and is amongst one of the best options for opening a children’s bank account. The plan by Indus Bank understands a parent’s needs and is suited for making your child understand the basic banking terms.

The eligibility criteria for opening a child bank account with Induslnd Bank or the Indus Young Saver Savings Account are:

  • The child whose name the kid’s bank account is being opened should be above 12 years old.
  •  If the child is below 12, the child account opened is an “Under Guardian” account. In such cases, the parent/ guardian operates the account till the child turns 12.
  • You need to maintain a minimum balance of INR 5000 at all times in your children’s bank account with Indus.
  • The minor can also be entitled to a monthly waiver of INR 2500 if their account is linked with a parent privilege account.

Benefits of Indu’s children’s bank accounts

  • The bank offers a special Gold Debit Card. This card is issued in the child’s name if he is above 12.
  • You can also customize your child’s debit card with a fun image.
  • With the children’s bank account, you can also issue a checkbook in your child’s name from the bank. This will enable them to learn the use of cheque book and thus important financial management.

Also Read: HDFC Life Click 2 Protect 3D Plus

2. HDFC Kids Bank Account

The HDFC children’s bank account is called the HDFC Kid’s Advantage Account. Anyone with a savings account with HDFC and who wants to open a child bank account for a child below 18 years can open a children’s bank account. It is mandatory to have a savings account in HDFC if you want to open an HDFC kids bank account.

A unique benefit of the HDFC kids bank account is that any kid above 10 years of age is eligible to open a self-operated children’s bank account. An ATM card/ Debit card along with additional offers and insurance can also be availed of with this kid’s bank account.

Features and Benefits of HDFC Kids Bank Account

  • Free education of INR 1,00,000 if the child’s parent/guardian dies in a vehicular accident by road, rail, or air.
  • You can transfer money from your account to the kid’s bank account every month. The minimum value of INR 1000 and a tenure of 1 year is mandatory.
  • If the child’s bank account balance exceeds INR 35000, then the excessive amount is transferred to a fixed deposit for one year and one month in the child’s name. However, there are two conditions for this to happen. The first condition is that the excessive amount should be more than INR 25,000, and the other is that you signed the bank’s “Money maximizer” policy while opening the child bank account.
  • A unique feature of My Passion Fund is that the child can deposit any amount of money above INR 1000 whenever it is available to them.
  • Transfers using Standing Instructions can be set up.

3. Axis Bank’s Future Stars Savings Account

Axis Bank’s children’s bank account is one of the most sought-after ways to start your kid’s financial learning journey.

Features and benefits of Axis Bank’s children’s bank accounts

  • You can get your child’s photo printed on the card if they are above 10 years old.
  • You can avail of a Visa Platinum Debit card at a nominal fee.
  • The children’s bank account comes with an additional personal insurance cover of INR 2 Lakh for the child.

4. ICICI Kids Bank Account- Young Stars and Smart Star Account

The children’s bank accounts from ICICI provide the following features and benefits:

  • The bank issues a free Debit card to the child.
  • The child bank account allows a withdrawal of Rs 2500- Rs 5000 daily for cash withdrawal or shopping at POS.
  • The money multiplier and standard instructions facility also come with this child’s bank account. This means you can auto-debit the amount you have to send to the kid’s bank account.

5. Kotak Mahindra Bank’s Children’s Bank Account- Kotak Mahindra My Junior Account

The Kotak Mahindra’s child bank account is a specifically designed plan that encourages your child to save. The bank offers a bundled offering. This includes Guardian Savings Account and the Junior Savings Account Nova Variant (NMC waived off).

The children’s bank accounts by Kotak Mahindra Bank also help in investment through a recurring deposit. You can also choose the Systematic Investment Plan that starts from INR 2000 per month with a minimum tenure of 36 months.

The Recurring account is a great way to put out some amount every month, which will be beneficial in the long term. This is a great way to inculcate the habit of saving in your child.

The standalone Junior account is also a part of Kotak’s children’s bank accounts. This child bank account comes in six variants, Platina, Ace, Classic, Pro, Nove, and Edge. It is also available without a separate guardian account and investment options.

Features and Benefits of Kotak children’s bank account

  • The Debit cards are issued only if the child is above 10 years of age at the parent’s discretion.
  • The Kotak children’s bank account offers a personalized Debit Card. Fun rewards programs, including book vouchers, discount coupons, and movie tickets, are also a feature.
  • The debit card comes with a withdrawal limit of INR 5000. Attractive interest rates up to 6% can be availed of.


You have a pool of options to choose from with different options available in the market. The updated benefits and competitive features from different banks have made it easy to take the steps for your child’s safe future. So go ahead and open a Child bank account today.


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