POSB Smiley Child Development Account (CDA)

Give your little one a headstart on their savings journey.

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

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.

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).

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.

1. How do I join the Baby Bonus Scheme?

   Either parent may join the scheme at MSF 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 MSF 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.

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 3^rd party Trustee and changing CDA Trustee to another 3^rd 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).

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.

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.