POSB Smiley Child Development Account (CDA)

Earn higher interest

Give your little one a headstart on their savings journey.

BalancesInterest Rates (% p.a.)
First $10,0001.0%
Next $40,0002.0%
S$50,000 and above0.05%
Enjoy deals and discounts

squirrel with card

Your POSB Baby Bonus NETS Card entitles you to exclusive benefits at selected retailers, such as:

  • 8% off BabySpa weekday packages
  • Baby Full Month gift packages

Exclusive benefits

CDA First Step Grant and Government Dollar-for- Dollar Matching

How CDA works

Make the most of your CDA to secure your little one’s future.
If your child is born on after 14 Feb 2023, he or she will receive a $5,000 CDA First Step grant from the Government when you open a CDA when you open a POSB CDA. And, from your child's birth right up till the end of their 12th year, every dollar you put in your CDA will be matched dollar-to-dollar, subjected to the maximum cap from the Government!

The unused balance in your child's CDA will be transferred to his or her Post-Secondary Education Account (PSEA) up to a cap, any excess balance above the cap will be transferred to the CSA. These funds can then be used to pay for post-secondary education fees in Singapore for your child and his or her siblings.

Usage of CDA funds

You can use funds from the POSB Smiley CDA to pay for childcare or medical expenses via NETS or interbank GIRO. Check out the list of Approved Institutions (AIs).

Child Savings Account (CSA)

The CSA is designed to provide every child with a personal bank account, to conveniently receive Government disbursements like Baby Bonus Cash Gift, excess CDA balance, education awards and financial awards through electronic payments.

It is a joint savings account that opens automatically at the same time with the CDA when a child is enroled for the Baby Bonus Scheme. It operates like a regular joint savings account (jointly held under the child and trustee) with no minimum balance requirement, fees or charges imposed on the CSA.

If you have digibank online/mobile and an email address with us, your account will be automatically enrolled with eStatement.

Baby Bonus Cash Gift (if eligible) is paid into your child’s Child Savings Account (CSA) every 6 months till your child is 6.5 years old.

 

Child’s age

Baby Bonus Cash Gift
(Credit to CSA)

1st and 2nd Birth Orders

3rd and Subsequent Birth Orders

At birth

$3,000

$4,000

6 months

$1,500

$2,000

12 months

$1,500

$2,000

18 months

$1,000

$1,000

From 2 years until 6.5 years

$400 every 6 months

$400 every 6 months

Total

$11,000

$13,000

Frequently Asked Questions

Opening a POSB CDA
  1. How do I join the Baby Bonus Scheme?

    Either parent may join the scheme at LifeSG with his/her SingPass.

    Both parents will have to agree on the person (either parent and/or a third party) to:

    • Receive the cash gifts
    • Manage the Child Development Account (as a CDA trustee).

    The Cash Gift bank account holder and CDA trustee must be the same person.

    The CDA trustee has to be above the age of 18 and not a bankrupt.

  2. What documents do I need to join the Baby Bonus Scheme?

    For documents required to join Baby Bonus Scheme at LifeSG, the documents will be stated as part of the application process, which will guide parents along. If in doubt, there will be FAQs in LifeSG for such info as well.

  3. How can I open a CDA?

    You can open the CDA online. Upon successful enrolment through LifeSG, you will be notified by LifeSG to proceed to the website of your chosen bank to complete the CDA opening. You will need to:

    • Login with your IB credentials at selected bank official website.
    • Follow the steps for CDA opening.
    • Check Trustee and Child’s information and submit the application.

    A CDA and CSA will be automatically opened instantly after the CDA trustee accepts the Terms and Conditions of the selected CDA bank online.

Switching to a POSB CDA
  1. How can I change my CDA bank?
    The CDA trustee (including third party trustee) can apply through your preferred bank’s official website. Log in with your IB credential login via your preferred bank’s official website to submit a request for change of CDA bank, using <"Change CDA bank"> service. Existing CDA will be closed and the funds will be transferred to the new CDA. A new CSA will be opened automatically with the new CDA. Any remaining Baby Bonus Cash Gift will be paid into the new CSA as scheduled. The request will take around 6 working days to complete
  2. Can my GIRO arrangements be transferred to the new CDA?
    You will have to:
    • Update your Approved Institution (AI) of the new CDA number by completing a new 'Application for Interbank GIRO for Child Development Account (CDA)' and submit it to your AI. You may find the form at www.babybonus.msf.gov.sg.
    • Enure that there are sufficient funds in the new CDA in the interim period while the funds are being transferred.
Changing my existing CDA information
  1. How can I change the CDA trustee?

    The CDA trustee (including third party trustee) must log in with their IB credential login via POSB official website to submit a change of trustee using the <"Change CDA Trustee"> service.

    Note:

    • A new CSA will be automatically opened with the new CDA Trustee, any remaining Baby Bonus Cash Gift will be paid into the new CSA.
    • The existing CSA will be converted to a normal joint savings account under the bank’s standard terms. Any balance will remain in the account.
    • If you ae a 3rd party Trustee and changing CDA Trustee to another 3rd party. please email [email protected] for assistance.
    • The request will take around 3 working days to complete.
  2. I have changed my name/child's name. Do I need to inform MSF and my CDA bank?

    Yes. Please email to [email protected], with copies of the deed poll or Certificate of Extract from Registry of Births.

    The CDA trustee will also need to update the CDA bank separately by bringing the original deed poll or Certificate of Extract from Registry of Births to the bank branch, as the bank would need to see the original document(s).

Interest earned and dollar-for-dollar matching
  1. When can I receive the Government's matching contribution in my child's CDA?

    You can receive the Government's matching contribution within 2 weeks after depositing savings into your child's CDA. You can also track your child Baby Bonus benefits and payment schedule at go.gov.sg/bbfamilyview.

  2. How much can I save in the CDA?

    When parents save in the CDA, the Government will match dollar-for-dollar in the CDA for up to:

    • $4,000 for the first child*
    • $7,000 for the second child
    • $9,000 for the third and fourth child
    • $15,000 for fifth and subsequent child*.

    You will receive the Government co-matching within 2 weeks (excluding public holidays) after saving into the CDA, if the CDA has not exceeded the Government co-matching cap.

  3. How can I save in the CDA?

    You can save in the CDA in any of the following ways:

    • Cash, cheque or by Standing Order
    • Funds transfer through the local ATMs or internet banking.
CDA transactions
  1. How can I view my CDA transactions?

    You can view the transactions with Internet Banking. Alternatively, you can also track your child Baby Bonus benefits and payment schedule at go.gov.sg/bbfamilyview.