Children Over 10 Years Of Age Will Be Able To Do Their Bank Account Themselves

Children over 10 years of age will be able to do their bank account themselves: Now parents will handle it, see what new rules are here

Now children over 10 years of age will be able to open and operate free savings or fixed deposits. RBI has approved this. But banks can impose conditions on this as per their risk management policy.

The RBI has directed banks to formulate their policy on the basis of these new guidelines by 1 July 2025 or change the existing policies. Till now, children of any age used to open savings or fixed deposits in the name of their parents or legal parents, but only parents used to run them.

Banks will now be in a position to fix the withdrawal limit

Children over 10 years of age will be able to operate their account independently. But banks will place some limitations according to their policies, such as deposits or withdrawal limits. The amount of withdrawal at one time. Banks can provide facilities like internet banking, ATM/debit card and checkbook to children. But it will depend on their risk.

A new signature will have to be taken on the age of the child 18 years

When the child turns 18, the bank will have to get a new signature from it. If the account was being operated by the parents, the remaining amount will be checked. In addition, the account holder will also be told about the new rules.

What are the rules right now?

Parents manage bank account or fixed deposit account, and the child’s name is included as a co-integrator. When the child turns 18 or older, a bank account or fixed deposit account can be completely transferred to the child’s name. Some banks still provide the facility to open special bank account programs such as SBI first step account or HDFC Kids Advantage Account. In both, children over 10 years of age can open a bank account and operate it independently.

Withdrawing money from ATM from May 1 became expensive

Earlier, RBI also changed the facility of withdrawing money from ATMs. From May 1, now you have to pay an additional fee for withdrawing money from ATM. From May 1, after using free allowances once, customers will have to pay an additional Rs 2 on each financial transaction through ATM. Due to this increase in rate, to withdraw cash from ATM, a fee of Rs 19 will have to be paid on each transaction, which was earlier Rs 17.

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