Background Neonatal jaundice, characterized by the yellow discoloration of an infant's skin and eyes, is a common condition that affectsnewborns. It results from an elevated level of bilirubin in the blood and,when severe, if left untreated, can lead to complications such as acute bilirubin encephalopathy and kernicterus, which can cause permanent neurological damage or even death. In low-resource settings like Nigeria, delayed recognition and inadequate management of neonatal jaundice are significant contributors to neonatal morbidity and mortality. Parental knowledge and attitudes play a critical role in the early identification and timely intervention of neonatal jaundice. However, there is limited data on the awareness, understanding, and practices of parents regarding this condition in many regions, including Abia State, Nigeria. Aim This study sought to assess the knowledge and attitudes of parents at Abia State Children's Specialist Hospital, Umuahia, Nigeria, to inform strategies for improving early detection and management of neonatal jaundice. Research methodology This descriptive cross-sectional study was conducted at Abia State Children's Specialist Hospital. The study population included 385 parents (fathers and mothers) of neonates attending the pediatric and neonatal units. A systematic random sampling technique was used to select participants. Data were collected using a structured questionnaire and analyzed using IBM SPSS Statistics for Windows, Version 25, (Released 2017; IBM Corp., Armonk, New York, United States). Results The study revealed that 226 (58.70%) of parents had heard about neonatal jaundice, with the main perceived cause being an immature liver (148, 38.44%). While 216 (56.10%) of the parents recognized neonatal jaundice as a serious condition when severe, only 72 (18.70%) were very confident in identifying its signs. Most parents (369, 95.84%) would seek medical help if they suspected jaundice in their baby, yet 288 (74.81%) believed in the effectiveness of traditional remedies. Educational level and gender were significantly associated with knowledge about neonatal jaundice (p = 0.002 and p = 0.001, respectively). Conclusion The findings highlight a moderate level of awareness but varying confidence in identifying neonatal jaundice among parents. The reliance on traditional remedies suggests a need for enhanced health education to improve knowledge of and attitudes toward neonatal jaundice management.