NEWS & ADVICE : CAR LOANS
RBI should rethink on the move of allowing Minors to operate account
By Joseph Samson
May 15, 2014
Print    Email    RSS   

RBI has allowed the minors above 10 yrs to use the credit cards and sign the cheques independently. This has delighted the children and parent but on the other hand it has lead to some serious concerns too. Madhya Pradesh State Commission for Protection of Child Rights (MPSCPCR) stated that it was better have the children with the piggy banks.

Chairperson MPSCPCR Usha Chatruvedi has sent an official protest to RBI governor and asked to rethink regarding this move. Through this move the RBI could be violating the law of the land - Indian Contract Act 1872 which clearly disqualifies a minor from entering into any contractual obligation by specifically laying down "every person is competent to contract who is of the age of majority according to the law to which he is a subject" (section 11).

The technical issue are arising out like minors cannot get the SMS Alerts which an important part of the net banking, because minors are not eligible to get a SIM on their name. On the other hand this will also create resentment among the children with the accounts and without the accounts. This will lead to a social segregation among the children. Therefore seeing these issues RBI should once rethink.


(Comments Posted : 0) Post Your Comments
Show All Comments
COMPARE QUICKLY
 Select a product:
 

CALCULATE QUICKLY
 Select a product:
 

EDITORS' PICKS
Carnival of Indian Personal Finance Blogs #6
Carnival of Indian Personal Finance Blogs #3
Managing loans through difficult times
This is how a bank lends money
A Complete Guide on Car Loans for NRIs


my HDFC used car loan account number is 35061313 my...
I want to know the Car Loan Account Number and its...
Lonavala Caℓℓ Girℓs 9765946980 / 9970712349...
how to got car loan statement from hdfc bank
i want to check my sbi car loan balance

NEWS THIS WEEK
SBH bank extended its Car and gold loan campaign till 31st March, 2015. Feb 11, 2015
KVGB bank signed MOU with TATA Motors Feb 10, 2015
SBH bank extended its scheme offering concession to loan defaulters Feb 2, 2015
Karnataka Bank tied up with TVS motors to Assist Auto rickshaw buyers Jan 27, 2015
RBI extended the Directions issued to Amanath Co-operative Bank for a period of six months Jan 22, 2015
News Archive