Central Bank of India vs Jana Small Finance Bank Limited

Central Bank of India vs Jana Small Finance Bank

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 kids. 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 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 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

  • 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
  • Jana Small Finance Bank Website: www.janabank.com
  • Headquarters: Bengaluru, Karnataka
  • Call Centre Number: 1800 2080, 1800 4200