HomeBusinessChildren's Financial Inclusion: How Nigerian Banks woo children

Children’s Financial Inclusion: How Nigerian Banks woo children

Children’s Financial Inclusion: How Nigerian Banks woo children – Banks in Nigeria are competing to win consumers who are not only adults but also youngsters.

They are, to a large extent, making progress. Children were formerly not deemed eligible to open bank accounts. However, times have changed.

Taking advantage of technology and the government’s aim to expand financial inclusion in the country, banks are now allowing parents and guardians to open functioning accounts for their children ranging in age from zero to eighteen years old.

Child banking, according to banks, teaches children how to save money at a young age and allows parents to save for their children’s future. The following are the many bank packages available.

First Bank

KidsFirst and MeFirst are two products offered by Nigeria’s major banks. They allow youngsters aged 0 to 12 to have their own accounts.

With a zero account initial balance, a KidsFirst account is started in the name of the kid and maintained by the parent or guardian.

When a child’s account is started with a minimum of N10,000, the account comes with a stylish gift item. When the child reaches the age of 13, the account is immediately transferred to the first account.

Teenagers between the ages of 13 and 17 own the first. It is intended to assist youngsters in developing a financial responsibility and cashless payment culture as they mature into adults.

They have access to fashionable prepaid cards on which parents and guardians can load weekly and monthly allowances as well as monetary presents.
Account members can also choose from five different card design alternatives to match their fashionable style.

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Access Bank

The Early Saver account, offered by Access Bank, is for children under the age of 16. This online account also protects unborn children and may be accessed from anywhere.
The account can be opened in trust for a kid by the parent or guardian who will be the primary account holder, according to the bank.

Until the child reaches adulthood, the parent or guardian is responsible for managing the account.

This account has a minimum initial balance of N1,000 and permits dividend warrant contributions of up to N10,000.

The account has terms that allow for only one withdrawal per quarter and no card services.
This account also comes with a free membership to the Early Savers Financial Literacy Club, which allows parents to pay school fees ahead of time.

A free quarterly Early Saver newsletter is available, as well as for instructions for setting up a standing order. Invitations to exclusive Access Early Savers events are also included.

Zenith Bank 

The Children Account (ZECA) of Zenith Bank is specialized savings account for children aged 0 to 17.

This account, according to the bank, is intended to allow parents and guardians to save in Naira or US dollars for their children’s futures while also teaching them about saving from a young age. This narrative is divided into two sections, one for small children and the other for teenagers.
Zenith Bank’s children’s account is for children aged 0 to 12, while Zenith Bank’s adolescent account is for those aged 13 to 17.

It has a $0 account opening balance, a 1.15 percent interest rate, a standing order credit option, and the ability to deposit checks, drafts, and dividends.
Invitations to the annual Zenith Children’s march and participation in the children’s day scholarship raffle draw are also included.

Polaris Bank

Polaris Rainbow Savings is a savings account for children aged 0 to 12 years old, with parents and guardians serving as trustees until the child reaches the age of 18.
The account, like others, is aimed to instill banking understanding in youngsters at a young age in a fun way.

The account has an N1,000 minimum initial amount and a good interest rate on savings, according to the bank.

At the age of 13, the account is automatically converted to a Polaris Young Achievers Account, which includes a debit card, check deposit, and dividend warrants worth up to N2 million in the child’s name.

The account also has access to e-channel platforms and has constant savings with standing instructions from the benefactor account.

Wema Bank 

Wema Bank offers a Royal Kiddies account package for children. This account is intended for children aged 0 to 12 years old. This account, according to the bank, is managed by the parent or guardian, who may or may not have a Wema Bank account.

The account has an N2,000 minimum opening amount and a 2.15 percent competitive interest rate with limited withdrawals, one withdrawal per month to qualify for interest payment, and the ability to deposit dividend warrants and checks in the child’s name. On this account, no debit card will be issued, however, a royal kids e-purse will be made accessible upon request.

The benefits include the child’s eligibility for the Wema yearly educational prize and the continuation of the child’s education in the event of the parent or guardian’s death. It also enables monthly savings from a parent’s or guardian’s account for the payment of school fees through standing orders.

Unity Bank

Unity Kids is a savings account for children and teens under the age of 18. This account allows parents and guardians to save money for their children. It piques the child’s attention and converts to a major when the child reaches the age of eighteen. From a young age, this account promotes saving and banking practices.

United Bank for Africa (UBA)

UBA Kiddies is a bank account for children aged 0 to 12, while UBA Teens is for those aged 13 to 17.

Beneficiaries of this account will receive a 13-month reward of 10% of the monthly savings plan if they keep a standing instruction of at least N5,000 for at least 12 months. They also have the opportunity to participate in a scholarship program through a raffle draw if they have followed a six-month standing instruction to save a minimum of N10,000. The account earns 1.15 percent per year in interest, which is paid monthly.

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Guaranty Trust Bank (GTB)

GTB’s Smart Kids Save is a savings account for kids under the age of eighteen. There are two aspects to this account: smart kids (0-12 years) and smart teens (13 -17 years). The account is intended to raise children’s financial awareness while also assisting them in developing sound financial practices.

This account comes with an N1,000 minimum initial amount and a competitive interest rate of 1.15 percent. It allows cheques, drafts, and dividends to be deposited into the account up to a maximum of N1,000,000 per instrument.
Standing orders and automated direct debits can be used to deposit funds into the account regularly.

Other benefits include complimentary invitations to smart kids” fun events and the ability to convert smart kids into ordinary savings or current accounts with the young saver as an authorized signatory once they reach the age of 18.

A clever kids adolescent account will be opened for the teenager starting at the age of thirteen. The account comes with a fashionable adolescent MasterCard, which was provided at the request of the parents to assist the youngster in learning how to manage money appropriately.

 First City Monument Bank (FCMB)

Kids Account is the FCMB’s children’s package. This is a savings account for youngsters aged 0 to 17 years old. This is a Naira-dominated account that promotes healthy saving habits and money management from a young age.

According to the bank, this account has several features and perks, including an opening amount of N5,000 and a non-clearing cheque-style withdrawal booklet that can only be utilized by account holders.

The account also comes with an N2,000 minimum operating amount, free e-mail transaction notifications, free birthday cakes, a free ATM money box, and a chance to win N10,000 monthly in the kids account pocket money program for a period of ten years.

Fidelity Bank

SWEET, a children’s account offered by Fidelity Bank, is meant for children aged 0 to 17. This account was developed specifically to encourage those responsible for children’s welfare to save for their children’s welfare.

Fidelity Bank offers a variety of incentives and prizes to holders of this unique account type, including birthday presents and an unlimited amount of withdrawals. The account has a monthly opening amount of N1,000, interest payments, a quarterly royalty award scheme, and debit cards are issued to account holders.

IBTC Stanbic

Stanbic IBTC, like other banks, has a Children Education Savings Scheme (CHESS). This account is available to children aged 0 to 17.

According to the bank, this account aids in the management of a child’s savings for educational expenses, extra classes, or simply learning about money. It has a 1% higher interest rate than the typical savings account, as well as a 1% forfeiture if there are more than one withdrawal in a quarter and a savings rate forfeiture if there are more than four withdrawals in a month. This account is totally digital, with the internet, app, and USSD access.

Union Bank

Union Bank offers two children’s accounts: UnionInfinity for children aged 0 to 12 years and UnionLegend for children aged 13 to 18. Unlike other accounts, the two packages are tailored to meet the demands of parents who want to save for their children’s future and encourage a positive savings culture in their children.

According to the bank, the UnionInfinity and UnionLegend accounts offer up to 3.75 percent interest and are laden with lifestyle bonuses including discounts at bookstores, theatres, and game arcades, among other things.

Other perks include prizes for meeting savings goals, loyalty programs, discounted healthcare packages, education insurance coverage, customized debit cards, education, and social events, and access to a community, as well as financial assistance for school costs.

Sterling Bank 

For kids, Sterling Bank has a program called I Can Save. This package allows children to receive a monetary present from benevolent relatives. It is run on behalf of minors by parents and guardians. The features, according to the banks, include an N250,000 reward for a beneficiary who receives all A’s in SSCE and Cambridge O’ level in at least 8 subjects in one sitting. It provides for the judgment of cheques and dividends up to N2 million each day, as well as the attraction of interest rates and the crediting of school fees, among other things.

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