Saving money is a trait that should be instilled in children from a young age, it instils responsibility and the importance of daily budgeting.
To help make it a more profitable process, try out a term deposit that works for your kids too.
How does this fixed deposit account work?
This is a trust account, where there must be a minimum of 2 account holders, one being the beneficiary, in this case, your child or the person under the age of 18.
The second holder will be the trustee, either a parent or guardian of the beneficiary of full age.
What can I get from this fixed deposit?
The Junior Term Deposit-i has 24-hour access via Hong Leong Connect Online. It is also a bundle account with a per-requisite to open a Junior Savings Account-i along with a Junior Re-loadable Debit Card-i.
So all the returns earned from this deposit will be credited into that savings account for your perusal.
All the returns earned will be credited on a monthly basis and you can view your statements online via Hong Leong Connect.
However, a statement will be generated in hard copy if there are any monetary transactions that take place within the statement period and every quarterly.
For your benefit and ease, this account also comes with an auto-renewal feature that will renew the principal amount placed upon the maturity of the tenure.
When can my money earn interest?
The account requires a minimum placement amount of RM1,000 up to a maximum of RM5,000, with the tenures available ranging from 1 month up to 60 months.
Remember that all placements must be made in multiples of RM1,000.
You can choose the profit payment to be paid either on a monthly basis or upon maturity.
Am I qualified to apply for this fixed?
This is a Junior account, therefore, the beneficiary should be below the age of 18.
There must also be a trustee assigned to the account, either a parent or guardian to the beneficiary.
Trustees are required to provide evidence of their relationship with the beneficiary in black and white. Lastly, this is a Shariah-compliant product but is not limited to Muslims only.
It is open to everyone of all races and religions.