Junior Savings Account For My Daughter

It was a new challenge for me to source for the right savings account for my daughter. Having a child changes everything in a family. Inculcating the right financial foundation in children is as important as teaching the child the alphabet. Living in Malaysia, your child will inevitably be given cash in the form of ang-pows, during special occasions and festive seasons. Why not keep the money in a bank account that grows your child’s savings?

It doesn’t matter where we save, as long as we save, right? Wrong. 

We’ve always been told “put your money in the bank”, but not “it’s which bank you put your cash in that counts”.

Choosing the right bank with the best interest rate for your child’s savings account can make a huge difference.

And some banks provide coin boxes to help the children start saving at home. 

Maybank Yippie Savings Account 

 
Benefits of a junior savings account
Other than the cute coin boxes commonly given for free when you sign up, there are many other benefits to opening junior savings account.

Some of these benefits are:

• Teaching your kids the value of money – By opening a junior savings account, you can teach your children the value of money.
• Teaching your child how to manage money – Starting financial education at an early age can be beneficial. Let your child see the balance in the bank account regularly and teach them how to prioritize their “wants” and “needs” in life.
• Getting used to delayed gratification – By having a savings account, your child can learn to set goals for the things they want to achieve or purchase. If they really want the new iPad or any other gadgets, encourage them to save for it. This will give them an idea on how to accumulate money by savings and reward them with a sense of achievement when they finally get it. 

Features of a junior savings account

• It is for those under 18 years old.
• It pays a higher interest rate compared to regular savings account.
• It limits the number of withdrawals per month.
• It restricts the method of withdrawal.
• Some banks offer extra incentives, such as free personal accident (PA) coverage, cash rewards for excellent exam results, etc.