By Babajide Komolafe
Introducing children to money management is critical to ensuring their future and lifetime economic success.
Opening bank accounts for children and funding them regularly is effective in ensuring early financial inclusion of children as they learn money management skills, build their wealth gradually over a long period, and have a head start in life over and above their counterparts who don’t have the benefit of joining the formal financial system early in life.
The process of introducing and teaching children money management skills begins with parents opening bank accounts in their children’s names. In present-day Nigeria where government and white-collar jobs are increasingly becoming fewer, forward-looking parents who want the best for their children and wards begin to build financial resources for them very early.
This would prevent their kids from being financially stranded but easily launch into the world of entrepreneurship once they attain the age of maturity and have completed their education.
Studies have shown that children who are introduced to financial literacy at an early age make smarter savings, spending and investing decisions when they become adults. Therefore, financial management education is something caring parents must teach and introduce to their children to help them make smart financial decisions and guarantee their chances of economic prosperity.
Royal Kiddies Essay Competition, It is in this light that the Royal Kiddies Essay Competition, the proactive children empowerment and financial inclusion programme of Wema Bank Plc, should be seen.
The 2021 Royal Kiddies Essay Competition aims to develop the writing skills, promote the creativity & imagination capabilities of Nigerian kids aged 5 – 12 years. The Essay Competition also called “Write & Win”, is a creative writing contest designed for children with the goal of rewarding creativity and driving them towards excellence in their learning process.
The topic of the essay competition is “2020, A Year to Remember”. Entries for the essay competition closed last week on June 7, 2021, instead of May 24, which was earlier announced as the closing date. Ten kids will emerge from a transparent, credible and thorough screening process. The top three essays will each get Huawei Tablet and Royal Kiddies branded T-shirts.
The seven other finalists will each get a N20,000 prepaid gift card for school supplies in addition to branded T-shirts.
Embedded in the Royal Kiddies account is a total package for early financial freedom for children through a prolonged accumulation of savings as well as facilitation of their intellectual development through regular critical thinking educational programmes such as the essay competition.
Children of parents/guardians who have opened and funded a Royal Kiddies Account for them are eligible to participate in the essay competition. Eligible kids will develop a creative and imaginative essay reminiscent of the eventful year 2020.
By saving for their kids/wards over a long period, parents ensure that their children are on to a stable financial life after school and gain an advantage over their counterparts with no savings. Parents of participating kids are required to increase funds in their child’s/ward’s Royal Kiddies Accounts by a minimum of N20,000.
Parents who have not opened the Royal Kiddies account for their wards/children but want them to take part in the essay competition must, however, open the account as a precondition at any Wema Bank branch and fund with a minimum of N20,000 Parents of participating kids are to send their child’s/ward’s essay and Royal Kiddies Account information to [email protected].
Benefits of Royal Kiddies Account
The Royal Kiddies account helps today’s children avoid a future of financial worries and makes money readily available to them at maturity.
Through the various activities and engagements organized for the account holders, they are taught the importance of savings, spending smartly, and planning for the future.
The Royal Kiddies account is designed to ensure that children get an early start to financial freedom. The account gives access to school fees advance, scholarships and life assurance to fund the kids’ education.
The minimum opening balance for the Royal Kiddies account is N2,000 with withdrawal from the account pegged at once in a month to qualify for interest payment. Parents can lodge dividend warrants of their kids into this account and get an e-purse upon request.
Among others, the account help parents to save for their children’s future, introduces children to financial channels through the Royal Kiddies e-purse, allows standing order for regular savings from parent’s/guardian’s account for payment of school fees, enjoys a higher interest rate than a standard savings account and qualifies them for the annual Wema Education award, in addition to receiving transaction alerts through SMS and/or e-mail.
Other benefits of the Royal Kiddies account include ensuring continuity of a child’s education in case of death of parent or guardian, helping them make better financial and investment decisions, and helping to teach a child the importance of saving from a young age.
The account can be opened in trust for a child by the parent/guardian who will be the primary account holder with the responsibility of running this account until their child attains adulthood and can solely operate their accounts or possibly move to other age-appropriate products. The account is operated by the parent/guardian who may or may not have an account with Wema Bank.