Bank Account for Child: Documents, Rules & Parent Duties
How to open a bank account for a child in 2026: RBI minor account rules, age 10+ self-operation, documents, parent duties, tax and what changes at 18.
In this article
You can open a bank account for a child of any age in India. Below 10, a parent or legal guardian opens and operates it; from 10 onwards, RBI allows banks to let the child operate a savings or fixed deposit account independently, within limits the bank sets. You will need the child's ID and date-of-birth proof plus the guardian's full KYC, and the parent remains responsible for how the account is used until the child turns 18.
The rules below are as of October 2026 and are based on RBI's April 2025 instructions on deposit accounts of minors, which banks had to adopt by 1 July 2025.
Who this applies to
| Child's age | Who opens it | Who operates it | Typical facilities |
|---|---|---|---|
| Below 10 | Natural or legal guardian (mother can be guardian) | Guardian | Passbook; card or net banking only for the guardian, if offered |
| 10 to 17 | Guardian, or the child independently if the bank allows | Child alone (within bank limits) or guardian | Bank may give debit card, net banking, UPI, cheque book under its policy |
| 18 and above | Child | Child as an adult | Full savings account after fresh KYC and signature |
Points to note:
- Natural guardian means a parent. RBI has long allowed a mother to open and operate an account as guardian.
- A legal guardian is one appointed by a court, for example where both parents have died.
- Minor accounts, whether operated by the child or the guardian, must not be overdrawn. No overdraft or credit facility is allowed.
Types of accounts you can open for a child
- Minor savings account: the everyday option; many banks have a branded "kids" or "junior" variant with lower minimum balance.
- Fixed or recurring deposit in the minor's name: useful for gifts received on birthdays or festivals.
- Zero-balance (BSBD) account: a minor can hold one too, if the bank allows; see zero-balance vs regular savings account.
- Sukanya Samriddhi Yojana: for a girl child below 10, a long-term small-savings scheme run through banks and post offices; see our Sukanya Samriddhi Yojana guide.
A minor account is a teaching tool as much as a savings tool. For age-wise pocket money ideas, see teach children about money.
Documents required
Exact requirements vary by bank, but the usual list is:
For the child
- Aadhaar card of the child (most banks prefer it) or birth certificate as proof of date of birth
- Recent passport-size photograph
- School ID may be accepted as a supporting document by some banks
For the parent or guardian
- Aadhaar, passport, voter ID or driving licence for identity and address
- PAN card, or Form 60 if the guardian does not have PAN
- Photograph
- Court order of guardianship, if the guardian is not a parent
For a child of 10+ opening independently
- The child's own Aadhaar and photograph
- A specimen signature that the child will use consistently
- Many banks still ask for the guardian's details and consent
How to open the account
- Choose the bank and product. Compare minimum balance, daily card limits, charges and whether the bank offers an app with parental controls.
- Visit the branch with the child (most banks want to see the minor) or start online if the bank offers video KYC for minor accounts.
- Fill the minor account form, naming the guardian and the mode of operation: "guardian only" or "minor alone" (10+).
- Submit KYC documents for the child and the guardian.
- Make the opening deposit, if the product requires one.
- Set limits: ask the bank to set a low daily UPI, ATM and card spending limit for an independently operated account.
- Add a nominee. Banks allow nomination in minor accounts as per their policy; ask at the branch.
Worked example: a gift FD and the tax angle
A child receives ₹50,000 in birthday and festival gifts. The parents put it into a 1-year FD in the child's name at 7% a year, compounded quarterly.
- Quarterly rate: 7% ÷ 4 = 1.75%
- Maturity value: ₹50,000 × (1.0175)^4 = ₹50,000 × 1.071859 = ₹53,592.95
- Interest earned: ₹53,592.95 − ₹50,000 = ₹3,592.95
This ₹3,592.95 is the child's income, but under the clubbing rule it is added to the income of the parent who earns more (old Section 64(1A), carried into the Income-tax Act, 2025). The parent can reduce the clubbed amount by the small per-child exemption (₹1,500 under the old Act; confirm the current figure and section). So about ₹2,093 would be taxed at the parent's slab. The FD figures are illustrative; check your bank's rate with our FD calculator.
Interest that the child earns from their own skill, talent or work, such as prize money or a performance fee, is generally not clubbed.
Parent and guardian responsibilities
- You are accountable for the account until the child turns 18 if you operate it, and you should supervise even when a 10+ child operates it alone.
- Never let anyone else route money through a child's account. Accounts of minors are sometimes misused as mule accounts for fraud money. If this happens, the account can be frozen; see bank account frozen.
- Teach OTP and PIN safety early. No bank, school or game will ask for an OTP or UPI PIN to give money.
- Keep the KYC updated. If the child's Aadhaar is updated (for example biometric update at 5 and 15), inform the bank if it asks.
- Check the passbook or statement monthly for unexpected credits or debits.
What changes at 18
When the child becomes a major:
- The bank must obtain fresh operating instructions and a specimen signature from the account holder.
- The guardian's right to operate the account ends. Any standing instructions set by the guardian may need to be re-authorised.
- The bank will usually ask for fresh KYC and convert the account into a regular savings account, which may have a different minimum balance. Ask about charges before conversion.
- If you do not complete the conversion, some banks restrict debits until it is done.
Tracking and common problems
| Problem | Fix |
|---|---|
| Bank refuses independent operation at 10+ | Banks decide limits under their policy; ask for the policy in writing or choose a bank that offers it |
| Child's account debit-blocked after 18 | Submit fresh KYC and specimen signature at the branch |
| Minimum balance charges on a minor account | Ask about a zero-balance or BSBD variant; dispute charges levied without notice |
| UPI not available for the minor | Many banks restrict UPI for minors; use guardian-operated UPI or a bank that supports it |
| Name or date-of-birth mismatch with Aadhaar | Correct Aadhaar first, then update the bank record |
How to complain
- Raise the issue at the branch or customer care and note the reference number.
- Escalate to the bank's grievance redressal officer if there is no fix.
- After 30 days without a satisfactory reply, file with the RBI Ombudsman at cms.rbi.org.in or call 14448.
- For fraud involving the child's account, call 1930 and report at cybercrime.gov.in immediately.
Key takeaways
- A child of any age can have a bank account; below 10 the guardian operates it.
- From age 10, RBI allows banks to let minors operate savings and FD accounts independently, within bank-set limits; no overdraft is ever allowed.
- Keep the child's Aadhaar or birth certificate, a photo and the guardian's KYC with PAN or Form 60 ready.
- Interest earned in the child's name is usually clubbed with the higher-earning parent's income.
- At 18, the bank takes fresh KYC and signature and the guardian's authority ends.
Frequently asked questions
What is the minimum age to open a bank account for a child in India?
There is no minimum age. A minor of any age can have a savings or fixed deposit account operated by a parent or legal guardian. From age 10, RBI allows banks to let the child operate the account independently within limits set by the bank.
What documents are needed to open a minor bank account?
Banks usually ask for the child's proof of identity and date of birth, such as Aadhaar or a birth certificate, a photograph, and the full KYC of the parent or guardian who will operate the account, including PAN or Form 60. Exact lists vary by bank.
Can a 10-year-old use a debit card and UPI?
RBI allows banks to offer internet banking, debit cards and cheque books to minors based on their own risk policy, so it depends on the bank. Minor accounts cannot be overdrawn, and banks usually set low daily spending limits.
What happens to a minor account when the child turns 18?
The bank must take fresh operating instructions and a specimen signature from the new adult account holder, and will usually ask for fresh KYC. The guardian's authority to operate the account ends.
Is interest on a child's bank account taxable?
Interest earned by a minor is normally clubbed with the income of the parent who earns more, under the clubbing rule carried into the Income-tax Act, 2025 from old Section 64(1A). A small exemption per child applies to the clubbed amount; income from the child's own skill or work is not clubbed.
This article is for general education and is not personalised financial, tax or legal advice. Rates and rules are as of 25 Oct 2026; confirm current terms with your lender, AMC or a qualified adviser.
