Central Bank of India vs Bank of Baroda

Central Bank of India vs Bank of Baroda (BoB)

Central Bank of India has the Cent Balbhavishya deposit account for kids. This is a deposit account and the bank offers its standard savings account to children for regular transactions. In addition, Central Bank offers recurring and fixed deposits for children. 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.

Let us look at each of these accounts.

Children’s Savings Accounts from Central Bank of India

The bank has a children-only deposit account called Cent Balbhavishya and a standard savings account that can be opened jointly with an adult or in their own name by kids above 12 years of age. It also offers its standard recurring and fixed deposits for children through joint accounts.

Cent Balbhavishya

The deposit account was conceived with the intention of cultivating saving habits among children.

Features

  • Any child up to the age of 12 years can open the account jointly with a parent or a guardian
  • The minimum deposit needed to open the account is Rs. 50 for rural and semi-urban areas and Rs. 100 for urban areas and metros
  • The bank requires at least one deposit in the account every month with total amount in account for each half-year being at least Rs. 500 (rural and semi-urban) or Rs. 1,000 (urban and metros)
  • No withdrawals are permitted until the child reaches the age of 18 years, unless it is to make a fixed deposit
  • Accordingly, cheque books are issued only when the child reaches 18 years
  • Any excess amount in the account above Rs, 10,000 may be put into a fixed deposit for a period of 6 months to 10 years
  • As of July 2018, the Central Bank of India will pay an additional interest of 0.5% on any fixed deposit for the child that is created from the funds in the Cent Balbhavishya account. The standard rates will apply from the time the child attains the age of majority

Home Saving Safe Accounts

This is the standard savings account of the bank.

Features

  • It can be opened by a minor jointly with an adult if she is below 12 years of age or by the minor herself if she is over 12 years and can read and write and operate the account
  • The minimum amount needed to open the Home Saving Safe Account is Rs. 250 for rural branches, Rs. 500 for semi-urban branches and Rs. 1,000 for urban and metro branches
  • The bank website mentions that a birth certificate from the Gram Panchayat, Notified Area Committee or Municipal Corporation will suffice as ID proof, though it is likely that with the spread of Aadhaar, an Aadhaar card or an Aadhaar enrolment number may be required

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.

Features

  • 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

Gen-Next Junior

From the bank’s website, it seems the account is only offered the Gen-Next branch in Pune, Maharashtra.

Features

  • 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.

Features

  • 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.

Reference Facts

  • Central Bank of India Website: www.centralbankofindia.co.in andwww.centralbank.net.in (net banking)
  • Headquarters: Mumbai, Maharashtra
  • Call Centre Toll Free Number (24 hours): 1800 22 1911
  • 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