Guides / Money skills for kids
Your child's first bank account
Joint accounts, custodial accounts and what to look for.
Moving savings from a jar to a bank account teaches kids about interest, statements and keeping money safe. Here are the common options and what to compare.
Common types
- Youth savings accounts held jointly with a parent
- Teen checking accounts with a debit card and parental controls
- Custodial accounts (UTMA or UGMA), where the money legally belongs to the child and they take control at an age set by state law
What to compare
- Monthly fees and minimum balances (look for none)
- Interest rate
- Whether the account is FDIC or NCUA insured
- Parental controls and alerts
- What happens to the account at age 18
Make it a lesson
Read the statement together each month and point out the interest, however small.
General information. Compare account terms directly with banks and credit unions. Family Nickel Saver isn't paid by any bank, plan or brand.