Bangalore: The recently launched V-GenUth saving account for kids, by Vijaya Bank has got overwhelming response. The bank was able to open 1000 infant accounts within a month of its launch. This scheme was launched on Saturday, 29th December 2007.

This unique scheme introduces banking to infants right from the day of their birth and can be opened by just Rs. 10 as the minimum initial deposit. The V-GenUth is a zero balance account and students undergoing various courses are also eligible to open the account.

This saving bank account comes with a cheque book and ATM card, which can be used by children over 12 years of age. Add-on credit cards and internet banking facilities can also be provided to the kids of this age after authorization from their parents.

The V-GenUth saving account comes with a free funds transfer to the child's account from his or her parents' account and funds in excess of Rs.10,000 are transferred to term deposit account in multiples of Rs.5,000. Thus the account holder earns more interest due to the high rates offered on term deposits. Vijaya Bank will also offer free collection of cheques and demand drafts up to Rs. 25,000 per annum, which are gifted to the child who holds a V-GenUth account.

Various other value additions are also linked with this saving account. The account holder will not be charged any fee if they use the account for payment of school fees, hostel fees etc. and if a continued relationship with the bank is maintained, Vijaya Bank will offer education loans at 0.5 percent discounted rates to the V-GenUth account holder.