Children above 10 years age can operate bank accounts: RBI

New Delhi/May 7
In a landmark decision, the Reserve Bank of India on Tuesday allowed Children above ten years age to operate bank account, ATM and even internet banking along with cheque book facility without the requirement of a guardian to do so, which was the norm till now. But RBI has refrained them from availing the facility of overdraft from a bank.
As per the new norms, children can open bank account independently, all they need is PAN Card and Aadhar Card but RBI has directed all banks to ensure a minor’s account is always in credit and they are not allowed overdraft as they can’t be held responsible for a loan.
Besides this, children can now invest in fixed deposit schemes and they can operate recurring bank deposit accounts.
However, RBI has allowed all banks to fix, as per their discretion, as to what minimum documents a minor will require to open a bank account or how much transactions or deposits can be made in their accounts.