Get Faqs On Utilisation Of Child Development Account & Baby Bonus

When the CDA is closed, unused funds will be automatically transferred to your child's Post-Secondary Education Account (PSEA) under the Ministry of Education (MOE) in Jan of your child's 13th year, subject to a cap. MOE will inform you of the amount transferred to the PSEA within 3 months from CDA closure.

You can call your plan administrator, make a request online, or submit a withdrawal request form. The plan can send withdrawals by check to the account owner, the beneficiary, or the school. You can transfer the money to yourself or the beneficiary electronically and then make payment to the school.

You cannot withdraw cash from the Child Development Account (CDA). However, you may use the funds for your child's educational and healthcare expenses at [Approved Institutions (AIs)] registered with MSF under the Baby Bonus Scheme.

When the CDA is closed, unused funds will be automatically transferred to your child's Post-Secondary Education Account (PSEA) under the Ministry of Education (MOE) in Jan of your child's 13th year, subject to a cap. MOE will inform you of the amount transferred to the PSEA within 3 months from CDA closure.

However, there are many accounts held on behalf of children with one of their parents as trustee. Here, providing the trustee can prove they are using the monies for the benefit of the child, they can withdraw funds from the child's account.

You can use the Baby Bonus NETS Card issued by the CDA bank to make NETS payments to Approved Institutions. For payments by interbank GIRO, you need to fill up an [authorisation form] and submit it to your Approved Institution (AI). Please approach your AI for details on the GIRO arrangements.

You can save into and use the CDA at any time before 31 Dec of the year your child turns 12 years old. The savings in the account can be used for: Fees for registered childcare centres, kindergartens, special education schools and early intervention programmes.

Yes, money can be withdrawn from custodial accounts, as long as it is used "for the benefit of the minor," a vague term that includes, but isn't limited to, educational costs.