To ensure proper deductions from the Child Development Account (CDA), Approved Institutions must ensure that deductions are made only for approved expenses for the child/child's siblings as stipulated in the Approved Person/Institution Terms and Conditions. In addition, an AI should verify that the person making withdrawals is the CDA trustee.

For recurring CDA GIRO transactions or CDA NETS transactions above $500 that are incurred for the CDA member's sibling, the AI (excluding pharmacies) must verify and record the relationship between member and the member's sibling.

The verification may be made, for example, by asking the trustee to declare in writing the relationship between the member and the member's sibling, or asking the parent to login to the “Family View services” on Parent Portal Services using their Singpass (Click “View Statement“ > “CDA Details“).