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Can a cheque drawn in favour of guardian be deposited in minor’s account?

Can a cheque drawn in favour of guardian be deposited in minor’s account?

I have opened a savings account in the name of my daughter who is six years of age. I am the guardian in the account. Can a cheque drawn in favour of the guardian be deposited in a minor’s account? Can she operate it on her own?

Vijay Sahay, Ghaziabad

Yes, most banks would accept cheques issued in the name of the guardian as well. Such an account may be operated by the guardian or by the minor, if the minor is more than ten years old. In case of a minor’s account, which is operated by the guardian, the right of the guardian to operate the account will cease upon the minor attaining majority. Any balance in the account will be deemed to be the exclusive property of the minor who has attained majority, and further withdrawals from the account will be allowed to the erstwhile minor alone, after the procedural formalities have been completed.

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