Child Development Account (CDA) First Step: Who Qualifies and What You Get
Learn how parents can access initial grants and matching funds to help cover childcare and medical expenses for their children.
The Child Development Account (CDA) First Step is a government initiative designed to help parents build up savings to support the early years of their child's life.
Who it's for
This scheme is specifically designed for parents of Singaporean children. If your child holds Singaporean citizenship, you may be eligible to set up this account to begin accumulating government grants and matching funds.
What you get
The scheme provides a significant financial boost through an initial grant of $5,000. On top of this starting amount, the government provides dollar-for-dollar matching. This means that for every dollar you deposit into the account, the government will add an equal amount to the balance, helping the savings grow more quickly for your child's future needs.
What it costs you
There is no direct fee to apply for the scheme, but to access these funds, you must complete the process of opening a specific bank account. You will need to choose to open this account through one of the participating banks, which include OCBC, UOB, or DBS.
The catch to know
It is important to understand that these funds are restricted to specific purposes. You cannot withdraw this money for general household expenses or personal use. The funds can only be used at approved institutions to pay for essential costs, specifically childcare services or medical fees for your child.
How to apply
- Visit the official Baby Bonus portal to begin your application.
- Select the option to open a Child Development Account.
- Choose one of the participating banks (OCBC, UOB, or DBS) to host the account.
- Follow the instructions provided on the portal to complete your registration.