Canara Bank vs Jana Small Finance Bank Limited

Canara Bank vs Jana Small Finance 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. Jana Small Finance Bank does not offer a dedicated minor savings account even though the standard savings account can be opened by a minor jointly with a parent or guardian.

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.

Features

  • 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.

Features

  • 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.

Features

  • 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.

Features

  • 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)

Children’s Savings Accounts from Jana Small Finance Bank Limited

Jana Small Finance Bank does not offer a dedicated minor savings account and though it does not mention clearly on its website if the regular savings account is open for minors, reading of the Terms and Conditions of the service charges file shows that the account can be opened by or on behalf of minors.

Regular Savings Account

This is the standard savings account of the bank.

Features

  • The bank needs an average monthly balance of Rs. 2,500
  • The Regular Savings Account comes with a RuPay Debit Card
  • The bank has not put a cap on the number of withdrawals the accountholder can make though the bank’s ATMs, except for minors where it has been pegged at Rs. 10,000 per month
  • The bank has put a limit on the amount that can be withdrawn from the ATM or be spent at POS transaction for minor accounts. The cash withdrawal limit is Rs. 5,000 and the POS limit is Rs. 10,000 per day
  • The bank accountholder gets 3 complimentary cash transactions at other bank ATMs in metro locations and 5 at non-metro locations
  • Accountholders get one complimentary chequebook for each quarter
  • The company offers the customer the option of getting an SMS alert facility on payment of Rs. 15 per quarter

Reference Facts

  • Canara Bank Websites: www.canarabank.com/english/ and www.canarabank.in/ (net banking)
  • Headquarters: Bangalore, Karnataka
  • Call Centre Toll Free Number: 1800 425 0018
  • Jana Small Finance Bank Website: www.janabank.com
  • Headquarters: Bengaluru, Karnataka
  • Call Centre Number: 1800 2080, 1800 4200