Bank of Baroda vs Canara Bank
Bank of Baroda (BoB) has the Baroda Champ Savings Account. The bank is also supposed to have a Gen-Next Junior account which seems to be offered only in the Gen-Next Pune branch of the bank. Canara Bank has a Canara Junior Saving Account for children and the Canara NSIGSE Savings Bank Deposit Account for the girl child. The bank also has a children’s deposit scheme called the Canara Champ Deposit Scheme.
Let us look at each of these accounts.
Children’s Savings Accounts from Bank of Baroda
Note: There is limited information on BoB accounts for minors and it seems it did not offer a dedicated children’s account before the Champ and Gen-Next accounts. Possibly, minors could open a standard savings account through a parent or guardian.
Baroda Champ Savings Account
This account is meant for children in the 10-18 years age category. The account was launched in the run-up to the FIFA Under-17 World Cup 2017 that was hosted in India.
- Minors can open the Baroda Champ Savings Account with a minimum deposit of Rs. 1,000
- The maximum balance in the account is capped at Rs. 1 lakh
- BoB allows up to 50 free withdrawals per year. Accountholders can withdraw another 50 times from the account but the bank charges Rs. 15 per transaction
- Children (or parents) can withdraw money from the account using withdrawal slips and cheques. The bank allows withdrawals as low as Rs. 25 in rural and semi-urban areas and Rs. 50 in urban locations
- The debit card for the account is issued in the name of the parent or guardian for kids in the 10-15 years age group. For children over 15 years, it will be in their own name
- The transaction limit is restricted to Rs. 3,000 per day through ATM banking, mobile banking, POS and e-commerce though the overall limit is kept at Rs. 5,000 per day. This means you can go to the branch and withdraw Rs. 2,000 even if you have used up Rs. 3,000 limit
- The bank offers a free passbook for accountholders and cheque book facility with up to 45 free leaves
- Free ATM transactions at other bank ATMs is capped at 3 for 6 Tier I metros (Delhi, Mumbai, Chennai, Kolkata, Bangalore and Hyderabad) and at 5 for other cities
From the bank’s website, it seems the account is only offered the Gen-Next branch in Pune, Maharashtra.
- Minors up to 18 years can open this Gen-Next Junior account
- The average quarterly balance required is Rs. 500 and the bank charges Rs. 50 per quarter if the balance falls below this limit
- Children below 10 years can open the account jointly with parents or guardians; those above 10 years can have an account in their own name provided they are literate
- There is a ceiling on of Rs. 1,00,000 as balance outstanding on any day if the minor holds the account in her own name. In case the account is held jointly by a minor of 14 years or above and the parent or guardian, then there is no such limit
- Debit cards will have the parent’s or guardian’s name if the child is below 15 years; if above, then the kid’s name will be on the card
- The rules for a standard savings account will apply for this account also
Bank of Baroda Savings Account
The standard savings account of the bank.
- The bank has a put an upper limit of Rs. 1,00,000 as the maximum limit outstanding on any day if a minor, aged 10-14 years, operates the account on her own
- The minimum balance requirement is Rs. 500 for rural and semi-urban areas and Rs. 1,000 for urban areas and metros
Note: We are not getting into details here about the savings account. If you wish to know more of the features, you can visit the specific page of the bank website here.
Children’s Savings Accounts from Canara Bank
Canara Junior Saving Account
The account is targeted at children above 10 years of age who can operate the account under their own name. Details are not available on the account’s page in the Canara Bank site whether children below 10 years can open the account or not as of September 2019.
- Kids above 10 years can open the account under their own name and operate the account independently
- They get a debit card in their name with a monthly withdrawal limit of Rs. 5,000
- The bank mandates a monthly withdrawal limit of Rs. 10,000. Read with the debit card limit, this means that the child can withdraw another Rs. 5,000 by online transfer or cheques (not clear if bank provides these two facilities for this account) or by visiting the branch and putting in a withdrawal slip
- The account has two other restrictions. The first being that the balance at any point of time cannot be more than Rs. 50,000 and the second being the total credit cannot exceed Rs. 1,00,000 (1 lakh) in a year
- A declaration is required from the parent or guardian at the time of opening the Canara Junior Saving Account and for SMS alert facility
Canara NSIGSE Savings Bank Deposit Account
The account has been designed under the directives of the Ministry of Human Resources, Government of India, to reduce school dropout rates among girl children.
- The account is available for the girl child who has passed class 8 and (a) belongs to an SC/ST group, or (b) has passed from a Kasturba Gandhi Balika Vidyalaya and has enrolled herself for class 9 in state government, government-aided or local body school. Girls studying in private or Central Government schools are not eligible for the account
- The parent or guardian has to provide a declaration that the child has sufficient knowledge to operate the account
- No chequebooks are issued with the account until the kid reaches the age of 18 years. Until then, withdrawals are mainly through withdrawal slips
- There is no minimum balance requirement in the Canara NSIGSE Savings Bank Deposit Account, which can even have zero balance
Savings Bank Account
The generic savings bank account that can be opened for minors jointly with the parent or under their guardianship.
- The accounts need an average monthly balance of Rs. 500 for rural areas and Rs. 1,000 for urban and metro areas
- The savings account pays interest in quarterly instalments in a year February, May, August and November
Canara Champ Deposit Scheme
A deposit scheme that is especially targeted at children up to the age of 12 years.
- The deposit scheme will be opened in the child’s name. There is no facility for opening the account jointly with the parent or guardian
- The deposit can be opened for kids below the age of 12 years. After they attain maturity, it is converted into the standard savings account
- The bank offers an eye-catching savings box to help the child inculcate saving habits
- The kid also receives a personal photo folder with 16 pouches to record her life stages through photographs
- In case there is no withdrawal from the account, the account holder is eligible to receive a Loan Eligibility Card for an educational loan from the bank
- The interest rate in the Canara Champ Deposit Scheme is same as applicable for savings bank accounts. As of July 2018, this is 4% per annum
- The minimum deposit amounts are same as that for savings bank accounts, i.e. Rs. 500 for rural and Rs. 1,000 for urban and metros
- The bank offers the option to convert balances over Rs. 15,000 into the fixed deposits under its Kamadhenu Deposit Scheme (Re-Investment Plan)
- Bank of Baroda Website: www.bankofbaroda.com and www.bobibanking.com (net banking)
- Headquarters: Baroda (Vadodara), Gujarat
- Call Centre Toll Free Number: 1800 223 344, 1800 102 4455
- Canara Bank Websites: www.canarabank.com/english/ and www.canarabank.in/ (net banking)
- Headquarters: Bangalore, Karnataka
- Call Centre Toll Free Number: 1800 425 0018