%20(500%20%C3%97%20280%20px)%20(500%20x%20300%20px)%20(10).png "RBI Allowed Minors Above 10 Years to Operate Accounts Independently")
Key points include:
a) 8 years
b) 10 years
c) 12 years
d) 18 years
- Independent Operation: Minors above 10 can manage their accounts without a guardian, subject to bank-specific terms and limits based on risk management policies.
- Guardian Option: Minors of any age can still open accounts through a natural or legal guardian, including the mother, as per RBI’s 1976 circular.
- Additional Services: Banks may offer internet banking, debit/ATM cards, and cheque books to minors, depending on their policies, but accounts must always maintain a credit balance and cannot be overdrawn.
- Transition to Majority: Upon turning 18, account holders must provide updated instructions and a specimen signature. If previously managed by a guardian, the balance must be confirmed.
- Bank Compliance: Banks must align policies with these guidelines by July 1, 2025, and conduct proper customer due diligence, including KYC checks.
- Purpose: The move aims to promote financial literacy and independence among young individuals while ensuring safeguards.
Question:
Q.1 What is the minimum age at which a minor can independently open and operate a savings or term deposit account under the new RBI rules?a) 8 years
b) 10 years
c) 12 years
d) 18 years
Answer: b) The revised RBI guidelines now allow minors aged 10 years and above to open and operate accounts independently, subject to bank-specific terms.
