Indian Overseas Bank vs YES Bank
Indian Overseas Bank (IOB) offers the SB – Little Star account for young children while YES Bank provides one dedicated children savings account called My First YES Account.
Children’s Savings Accounts from Indian Overseas Bank
SB – Little Star Account
The account has been designed for all children – from 1 day old babies to up to 18 year old young adults.
- The account can be opened by any child aged 1 day to less than 18 years
- The minimum balance needed in the account is Rs. 100, while the maximum amount that can be kept is Rs. 50,000
- IOB offers free collection facility for cheques or draft instruments gifted to the child and valued up to Rs. 25,000 per annum
- It also offers a Sweep-In, Sweep-Out facility where any amount in the account in excess of Rs. 10,000 is taken out of the account and turned into fixed deposits of Rs. 2,000 each. If the balance falls below Rs. 10,000 then the most recent fixed deposits are put back in the SB – Little Star Account so the balance is back to being at least Rs. 10,000
- Parents also have the option to invest in other options such as recurring deposits, insurance, mutual funds and so on
Children’s Savings Accounts from YES Bank Limited
YES Bank offers a dedicated savings account for children called My First YES Account.
My First YES Account
The account is available for all children, from 1 day old to up to 18 years of age.
- The account has a minimum balance requirement of Rs. 2,500. However, accounts that are linked to a fixed Deposit of Rs. 25,000 do not have to maintain any minimum balance. Otherwise, the bank charges a fee of Rs. 250 per month if the minimum balance is not maintained
- Cash withdrawals at the branch are free while cash deposits per month are limited to Rs. 5 lakh or up to five transactions, whichever is less
- Children above 10 years of age get a complimentary ATM-debit card with customisable withdrawal limits of Rs. 1,000, Rs. 2,000 or Rs. 5,000 that can be defined by the guardian
- The bank offers a free personalised chequebook
- Demand drafts are issued free of charge up to defined limits
- The bank offers accountholders to view the balance online and through mobile banking
- The guardian has to have an account with YES Bank for the child to be able to open a My First YES Account
- Indian Overseas Bank Website: www.iob.in and www.iobnet.co.in (net banking)
- Headquarters: Chennai, Tamil Nadu
- Call Centre Number: 1800 425 4445
- YES Bank Website: www.yesbank.in
- Headquarters: Mumbai, Maharashtra
- Call Centre Number: 1800 1200