Today, teaching children about the importance of saving money from an early age is necessary. In this way, they can learn to manage money better and be financially independent in the future. To encourage savings habits in them, many banks in India offer savings accounts for children specifically designed for them. These accounts come with attractive features and benefits familiarizing children with various aspects of banking and saving. In this article, we will explore some of the best savings bank accounts for children in India and their key features, helping parents in choosing the best for their children.
15 Best Savings Bank Accounts for Children in India
There are many ways parents can ensure that children start saving money for the future from a tender age. However, the most convenient and efficient way is to open a savings bank account for them, which is like a regular bank account. It is primarily used to save and accumulate money and prevent the customer to spend regularly. It also has a higher interest rate than a current account.
Opening a savings account will help your children build a corpus fund for future needs, such as school fees, college fees or money required to study abroad. It also helps children inculcate the habit of keeping some money aside every month or every year from what they earn in the future. This will take care of emergency needs, big expenses, and ensure financial security for themselves or their future families.
Below are some of the best savings bank accounts for children in 2023 that you can open for your children. Since this is not a short-term endeavour, you need to make the correct choice about the best savings account for kids.
1. HDFC Bank Kids Advantage Account
In this account, an ATM or debit card (which can function internationally) is issued to children of up to 18 years of age. The debit card will bear the child’s name and the guardian’s name. The child can withdraw up to Rs 2500 from the ATM, along with the daily shopping limit of Rs 10000. It also gives you the facility of net banking, phone banking, and keeps you updated about every little thing that happened with your child’s account. So many features are the reason people consider it as one of the best savings bank accounts for children.
Some Features and Benefits of this savings account are:
- Free Education Insurance cover of Rs 1 lakh after accidental death of the parent/ guardian.
- Transfer of any amount from parent’s account to child’s account.
- MoneyMaximizer facility will transfer the amount in excess of Rs 25000 to a fixed deposit account when Advantage account has more than Rs 35000.
- Sukanya Samriddhi scheme for Girl child.
- My Passion Fund enabling the child to deposit and save money starting from Rs 1000.
- Free cash withdrawal from other ATMs.
- Free cheque book, passbook facilities, and e-mail statements.
- With InstaAlert feature, you can get instant notification for transaction through SMS and email.
Fees and charges applicable for Kids Advantage savings account are:
| Minimum Balance | Rs 5000 |
| Cheque Book | First Cheque book Free, Additional 25-leaf cheque book worth Rs 100 |
| ATM Card | Free |
| ATM Card – Replacement charges | Rs 200 |
| Debit Card – Issuance /Renewal | Rs 150/150 |
| Debit Card – Replacement charges | Rs 200 + additional |
| PIN regeneration charge | Rs 50 |
2. Young stars Account by ICICI Bank
It is one of the best savings account for kids in India which is loaded with several features such as Mobile & Internet Banking, Debit Card, etc. The Young Stars Savings account is designed for minors who are below the age of 18. Thus, parents can operate the account on behalf of their children. It is available at all branches of ICICI bank all over India.
This account, however, comes with a minimum monthly balance average of ₹2,500, that has to be maintained throughout the month by the account holder. In case of failure, the bank will charge you 5% of the shortfall that is required monthly minimum average balance.
Some Features and Benefits of Young Stars Savings account are:
- Complimentary Titanium Debit card for withdrawing money or shopping using POS machine.
- Daily spend limit ranges between Rs 1000 and Rs 5000.
- Standing Instructions Feature for Transfer of any amount from parent’s account to child’s account.
- Money Multiplier Facility provides more interest than a regular savings account and flexibility to use your money anytime.
- Parents receive monthly email statements of transactions. These transaction reports can be collected from the bank branch itself.
- Free personalised cheque book and internet banking
Fees and charges applicable for this account are:
| Minimum Balance | Rs 2500 |
| Cheque Book | Free 25 payable-at-par cheque leaves per year, Additional 10-leaf cheque book worth Rs 20 |
| ATM Card | – |
| ATM Card – Replacement charges | – |
| Debit Card Fees for Account Holder | Nil |
| Debit Card Cash spend / withdrawl limit | Rs 2500 / 5000 daily |
| Value Added SMS alert facility | Rs 15 per quarter |
3. ICICI Smart Star Savings Account
This is one of the best savings bank accounts for children. Though it is similar to Young Stars Savings account, it comes with one condition: children between the ages of 10 and 18 can open it. Thus, children can operate this account all by themselves and save accordingly. There are two variants of this savings account – one with guardian consent and the other without prior consent.
Some Features and Benefits of this savings account are:
- Free Titanium Debit Card.
- Personalized cheque book using which children can issue cheques themselves.
- Internet Banking, Mobile app and ATM facilities.
- Free passbook and e-mail statements facility.
- Pre-paid mobile recharge facility.
- Money multiplier facility for higher interest by setting a balance limit. The excess amount in the Savings Account will be transferred to a Fixed Deposit account on request.
Fees and charges applicable for Smart Star Savings account are:
| Minimum Balance | Rs 2500 |
| Cheque Book | Free 25 payable-at-par cheque leaves per year, Additional 10-leaf cheque book worth Rs 20 |
| ATM Card | – |
| ATM Card Withdrawal Limit | Rs 5000 daily |
| Debit Card Fees for Account Holder | Nil |
| Debit Card Cash spend limit | Rs 2500 daily |
| Value Added SMS alert facility | Rs 15 per quarter |
4. My Junior Account by Kotak Mahindra Bank
Kotak Mahindra Bank, realizing the need for saving by children, has come up with an efficient solution for it. It offers one of the best saving accounts for children in India. This junior account comes with a personalized junior ID card, and it offers a wide range of privileges across many entertainment options like shopping, dining, and movies. You can choose either bundled Guardian’s account or the standalone junior account. Ace, Pro, Classic, Edge, Nova are the five variants of the latter.
Some Features and Benefits of Kotak My Junior Account are:
- Annual interest of 6% on a savings account that has a balance of over Rs 1 lakh, up to a balance of Rs 1 crore.
- 4% interest rate on Junior Savings and Guardian’s Savings accounts.
- Personalized Debit card
- NMC waivers and zero-balance benefits.
- There are exclusive privileges available for children in terms of shopping, dining, entertainment and education. Important ones are Junior Foodie, Junior Learner, Junior Shopper, Junior Day Out.
- Recurring Deposit according to standing instructions. Learn more from the RD calculator.
Fees and charges applicable for this savings account are:
| Minimum Balance | Rs 5000 |
| Cheque Book | 25 free cheques/year |
| ATM Card | – |
| ATM Card Withdrawal Limit | Rs 5000 daily |
| Debit Card – Issuance /Renewal | Rs 199 |
| Debit Card – Replacement charges | – |
| PIN regeneration charge | Free for online PIN generation |
Also Read: Savings Account vs Current Account: Difference and Benefits
5. Future Stars Savings Account by Axis Bank
This account, like all other savings accounts featured in the market, are designed to teach children the value of money and saving it to manage their money properly. Parents can open this account for their children with an opening balance of Rs 1,500 in rural regions and Rs 3000 in semi-urban areas. They are in full control of this account and track all activities through monthly statements issued by the Axis Bank.
Some Features and Benefits of this savings account are:
- Visa Platinum Debit Card at Nominal fee.
- Free service of email and SMS alerts every transaction.
- Personal Accident Insurance Cover worth Rs 2,00,000 if the card is swiped once in six months.
- Purchase Protection Liability and Lost Card Liability can be used at any branch at a moment’s notice to protect their child debit card from fraudulent or illegal use. These policies are worth around Rs 50,000.
- 3-3.5% interest rate quarterly on daily balances.
Fees and charges applicable for Future Stars Savings account are:
| Minimum Balance | Metro/Urban/Semi Urban – Rs 2,500, Rural – Rs 1,000 |
| Cheque Book | One multicity Cheque Book Free per year with 20 leaves.
Rs 4 per leaf above free limit. |
| ATM Card | – |
| ATM Card – Replacement charges | – |
| Debit Card – Issuance /Renewal | Rs 200 |
| Debit Card – Annual Fees | Metro/ Urban/Semi-Urban – Rs 150, Rural- Rs 100 |
| Account Closure | Rs 500 |
6. Power Kids account by IDBI Bank
This is an attractive savings account proposition because it requires a minimum account average balance of only ₹500. No penalty charge will be levied if you are not able to maintain the MAB every month. This feature makes it unique from all other contemporary savings accounts for children.
However, this is not the best part. With this savings account, your child can avail Education Loan at lower interest rates in the future if they decide to go for higher education in India or abroad. Such a unique feature makes it the best savings account for kids for many people.
Some other Features and Benefits of this savings account are:
- Exclusive designed Kids ATM Card.
- Personal Accidental Insurance cover of Rs 2 lakhs after accidental death of parent.
- Personalized Cheque Book.
- Free passbook and monthly email statements on request.
- Demand Drafts and Pay orders on request.
- Free five ATM transactions at other Bank ATMs at Non-Metro Locations.
Fees and charges applicable for Power Kids savings account are:
| Minimum Balance | Rs 500 |
| Cheque Book | 20 cheques free every year, Rs 5 per leaf above free limit. |
| ATM Card Withdrawal Limit | Rs 2000 |
| Classic Debit Card | Rs 220 |
| Personal Debit Card – Issuance | Rs 150 |
| PowerKidz Debit Card – Issuance | Rs 220 |
| PIN regeneration charge | Rs 50 |
7. Pehla Kadam by SBI Bank
SBI offers Pehla Kadam for children below 18 years of age for join operation of them and their guardian. This savings account is loaded with several features like mobile banking and internet banking that help to familiarize children with the modern ways of transferring or accumulating money. It is one part of the bouquet of savings accounts offered by SBI for children.
Some Features and Benefits of this savings account are:
- Personalized ATM cum debit card, with your child’s photograph embossed on it for easy recognition in case it gets lost or misplaced.
- Specially designed Personalized Cheque book with 10 cheque leaves issued for minor under guardian.
- ATM card is issued in the name of minor under guardian.
- Mobile banking facilities like Bill payment, Top ups with viewing and limited transaction rights.
- Auto sweep facility with a minimum threshold of Rs 20,000. Sweep in multiple of Rs 1,000 with a minimum of Rs. 10,000.
Fees and charges applicable for SBI Pehla Kadam savings account are:
| Minimum Balance | Not Applicable |
| Maximum Balance | Rs 10 lakhs |
| Mobile Banking Transaction Limit | Rs 2000 |
| ATM Card Withdrawal Limit | Rs 5000 |
| Debit Card – Issuance /Maintenance | Nil/Rs 125 plus GST |
| Debit Card – Replacement charges | Rs 300 plus GST |
| PIN regeneration charge | Rs 50 plus charges |
8. Pehli Udaan by SBI Bank
This is second part of the combined savings accounts for children in SBI bank. These can be operated by children between 15 and 18 years of age, alone without guardian’s consent. This is the main difference between the two, other features remaining same. These features include the two SBI accounts in the list of best savings bank accounts for children.
Some Features and Benefits of this savings account are:
- Personalized ATM cum debit card, with your child’s photograph embossed on it for easy recognition in case it gets lost or misplaced.
- Specially designed Personalized Cheque book with 10 cheque leaves issued to minor if they can sign uniformly.
- ATM card is issued in the name of minor only.
- Mobile banking facilities like Bill payment, Top ups and IMPS with viewing and limited transaction rights.
- Auto sweep facility with a minimum threshold of Rs 20,000. Sweep in multiple of Rs 1,000 with a minimum of Rs. 10,000.
Fees and charges applicable for SBI Pehli Udaan savings account are:
| Minimum Balance | Not Applicable |
| Maximum Balance | Rs 10 lakhs |
| Mobile Banking Transaction Limit | Rs 2000 |
| ATM Card Withdrawal Limit | Rs 5000 |
| Debit Card – Issuance /Maintenance | Nil/Rs 125 plus GST |
| Debit Card – Replacement charges | Rs 300 plus GST |
| PIN regeneration charge | Rs 50 plus charges |
Also Read: SBI Savings Plus Account Review: Interest Rates, Minimum Balance
9. CitiBank Junior Account
This savings account is considered among the best savings bank accounts for children. This account is only available to children above the age of 15. As a parent or guardian, you can set a limit for the daily withdrawal of money from this account via your child debit card. This account also comes with a host of online banking features, such as online transfers, internet banking, and phone banking. 24/7 customer service in any city is one of the most attractive amenities available in this account. This bank also lets you invest very easily if you want to do the same for your child’s future education, college fees, or other expenses that come with growing up. It is facilitated by SIP or Systematic Investment Plan.
Some Features and Benefits of this savings account are:
- Monthly pocket money can be earned by issuing a standing instruction facility from your account to your child’s account through easy monthly transfers.
- Free Online Transfers to any bank account within India.
- A built-in Dual Insurance for both you and your child.
- BSLI classic child plan facilitated using three investment funds that you can choose from.
- Savings at prescribed restaurants and merchants on your Citibank Debit Card in India.
- Mix of investment products using SIP for your child’s future.
Fees and charges applicable for Citibank Junior account are:
| Minimum Balance | Nil |
| Cheque Book | Rs 1 per additional leaf |
| ATM Card | – |
| ATM Card Withdrawal Limit | Set by Guardian |
| Debit Card – Issuance /Renewal | Nil |
| Debit Card – Replacement charges | Nil |
| PIN regeneration charge | Nil |
10. Karur Vyasa Bank Jumbo Kids Savings Account
Karur Vysya Bank has introduced a savings account for children named Jumbo Kids. This savings account provides benefits for children up to 12 years old, which helps them understand not only the value of money but also how to handle it responsibly. One of the most important features of this account is that it does not require a minimum balance. Moreover, it does not charge any amount for withdrawing money from the ATM.
Karur Vysya Bank’s savings policy helps children save enough money for the future to ensure that they don’t misuse their money and handle it responsibly. What’s more, Karur Vyasa Bank gives a huge Jumbo doll as a signup gift to their little customers to attract them! No wonder this account is considered as the best savings account for kids by many.
Some Features and Benefits of this savings account are:
- Visa-backed ATM or debit card.
- Free Debit card facilities.
- Account opened in the name of the child with the natural guardian as the authorized signatory.
- Free attractive Jumbo Doll.
Fees and charges applicable for Jumbo Kids savings account are:
| Minimum Balance | Nil |
| Cheque Book | Nil |
| ATM Card | – |
| ATM Card Withdrawal Limit | Nil |
| Debit Card – Issuance /Renewal | Free for both
Rs 300 plus GST for renewal if there are no operations in the previous year. |
| Add-on Debit card | Rs 300 |
| PIN regeneration charge | Free |
11. UNION MUSKAAN-Saving Bank Account for Minors
UNION MUSKAAN is again included in our list of best savings bank accounts for children. This account by Union Bank gives your child the option to run their own bank account and develop the habit of savings. The prime motive is to familiarize them with modern-day banking facilities so that they don’t face any problem when they grow up. For opening this savings account, children under 18 years of age are eligible under their guardian. It will be operated by the parent to avoid any mishap that can occur if a child handles finances independently. This makes many individuals consider it as the best savings account for kids.
Some Features and Benefits of this savings account are:
- Platinum card is issued to Parent.
- 3 and 5 free ATM transactions (financial+ non-financial) per month in own bank and other bank respectively.
- Free Personal Accident Insurance (Death) cover of Rs 2 Lakhs on accidental death of parent/guardian operating the account given by bank. Additional Rs 2 lakhs is given by RuPay.
- Free Term insurance facility provided with first RD opened in the name of the minor having SB Muskaan account.
- Mobile & Internet Banking with viewing rights.
Fees and charges applicable for Union Muskaan account are:
| Minimum Balance (Quarterly) | Rs 1000 |
| Cheque Book | 20 leaves free in a year |
| ATM Card Withdrawal Limit | Rs 5000 daily |
| ATM Card POS Limit | Rs 25000 daily |
| Debit Card – Issuance /Renewal | Free |
| Debit Card – Annual Maintenance Charge | As per applicable charges |
| PIN regeneration charge | – |
12. Indus Young Saver Savings Account
This is one of the popular choices for the best savings account for kids. It can be opened and operated independently if your child is above 12 years of age. Otherwise, the savings account will have to be opened jointly with guardian.
Some Features and Benefits of this savings account are:
- Visa Gold debit card is issued that is customized with your child’s picture.
- Rs 1,000 worth Annual Reward Points with Rs 35000 monthly expenditures.
- Account Dependent Issuance/Annual Fee.
- Free cheque book.
Fees and charges applicable for Young Savers account are:
| Minimum Balance | Rs 5000 |
| Cheque Book | – |
| ATM Card Withdrawal Limit | Rs 50,000 |
| ATM Card POS Limit | Rs 1,00,000 |
| Debit Card – Issuance /Renewal | Rs 249 plus taxes |
| Debit Card – Replacement | Rs 249 plus taxes |
| PIN regeneration charge | Rs 20 |
13. Bank of Baroda Champ Account
Among the various banking products, Champ Account for kids is a popular one offered by Bank of Baroda. Any child below 18 years of age can open this savings account. One unique feature of this is chargeless School Fee payment that helps your children in their education. Also, no minimum balance is required to open this account.
Some Features and Benefits of Bank of Baroda Champ account are:
- No charge for School Fee payment with Demand Draft (DD) or NEFT or IMPS for a maximum amount of Rs 1 lakh per month.
- RuPay debit card that is theme-based to attract children.
- Internet and mobile banking facilities for children above 10 years of age.
- Auto/Reverse sweep with flexibility.
- Nomination Facility.
Fees and charges applicable for this savings account are:
| Minimum Balance | Nil |
| Maximum Balance | Rs 1 lakh |
| ATM Card Withdrawal and POS Limit | Rs 3,000 |
| Overall transaction limit | Rs 5,000 |
| Debit Card – Issuance /Renewal | Free/Applicable |
| SMS charges | Rs 15 per quarter |
| PIN regeneration charge | – |
14. FedFirst by Federal Bank
Another bank offering children’s savings account is Federal Bank. FedFirst is unique in the sense that even NRIs can open accounts for their children. Exclusive deals and offers are also offered on your favorite brands. These features make many people consider it as the best savings account for kids.
Some Features and Benefits of this savings account are:
- Pocket money is accessible 24×7 via Contactless Debit Card.
- Reward points and seasonal cashbacks on Debit Card.
- Recurring Deposit Facility for investing small amounts.
- Free Mobile alerts & Free email alerts.
- Systematic Investment Plan for high returns on investments.
Fees and charges applicable for FedFirst savings account are:
| Minimum Balance | Rs 1000 |
| Cheque Book | – |
| ATM Card Withdrawal Limit | Rs 2,500 |
| ATM Card POS Limit | Rs 10,000 |
| Debit Card – Issuance /Renewal | Free for both |
| Debit Card – Annual Maintenance charges |
Rs 150 |
| PIN regeneration charge | Rs 50 |
15. HSBC Premier Junior Account
For getting your child an HSBC premier junior savings account, you have to be an existing HSBC premier customer. You can go for junior savings account for a supplementary admit card. You are also given an option where you can acquire an HSBC premier Platinum debit card for your child’s purposes only. This savings account is rightly considered as one of the best savings bank accounts for children.
Some Features and Benefits of Premier Junior account are:
- HSBC Premier Junior Savers Debit Card for children between 12 and 17 years of age.
- Monthly statement can be taken which gives your overall view of the transactions made by your child in the last month.
- Text messages are received after every transaction to keep track of what your child is doing with their money.
- You can keep your child updated through modern banking channels by familiarizing them with internet banking, phone banking, mobile banking in a global safety net.
- Overseas education benefits and lower education loans are provided when they decide to go to college.
- Your children is protected by PIDM up to RM250,000 per depositor.
P.S.: This account is available only in HSBC Malaysia.
Encouraging children to save from an early age can help them develop good financial habits for life. Opening a savings account for children is an excellent way to start. In this article, we have explored some of the best savings bank accounts for children in India, highlighting their unique features and benefits. By choosing one, parents can set their children on the path towards financial independence and security in the future.
Source: Child bank account benefits, Things to Consider for Children’s Savings Account
