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Savings accounts for kids are a good way to help your children cultivate good financial habits.
As the festive season of Chinese New Year approaches, and your children’s excitement escalates, it is an opportune time for you to help your child cultivate a healthy relationship with money.
With a significant sum stuffed in red packets each year, opening a savings account for the child is an effective way to start your child on the road to good saving habits and investments. While it encourages the concept of savings to the child, it also shows your child the benefits of compound interest and how they can put their money to better use.
If you are a parent and are looking at setting up a bank account for your child, there are many available now. For your easy reference, we compiled the key features of 7 kids’ bank accounts in Singapore.
We have compared the bank accounts and these are our top favourites for you!
CIMB Junior Saver
Interest rates are a key factor in our consideration and decision. We recommend the CIMB Junior Saver account as it provides the highest interest at 0.80% p.a if you are able to make $1,000 initial deposit.
OCBC Mighty Savers
However, if you are more comfortable with a local bank, the OCBC Mighty Saversprogramme offers 0.80% p.a as well if you sign up for the Child Development Account (CDA) with OCBC and if you can make $50 deposit into the account monthly without making any withdrawals.
Do remember to bring along your child’s birth certificate when you head to the bank. We hope this comparison gives you a good head start in selecting a suitable bank account for your child.
Happy Saving for your little one!
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