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Best Bank Accounts for Kids (Checking & Savings) 2023

Best Bank Accounts for Kids – Low costs, easy access, and practical money management tools are characteristics of the best bank accounts for children. A savings account can also provide interest for children.

A fantastic technique to teach a youngster the fundamentals of money management is to open a bank account on their behalf. Kids’ checking and savings accounts are available from both traditional and online banks, albeit they differ.

The easiest bank accounts for children to start, with the fewest costs, offer several methods to access their money. They could also provide extra perks like a debit card or competitive interest rates on savings accounts.

Forbes

Best accounts for children and teens

Our recommendations

Best for teen checking: Axos First Checking

Axos First Checking is intended primarily for teenagers between 13 and 17. With a minimal beginning deposit requirement of $50, this account has no monthly maintenance fees, overdraft fees, or non-sufficient-fund costs.

There are almost 91,000 ATMs available to teenagers, and checking account balances are subject to interest. Every month, Axos reimburses up to $12 in overseas ATM costs. With $500 for debit card purchases and $100 for cash withdrawals, kids are encouraged to watch their spending habits while still having some degree of financial independence. Best Bank Accounts for Kids

Best for no load fees: GoHenry

For children as young as six, GoHenry is a reloadable debit card with a savings feature to support them in achieving their objectives. Parents do not have to pay load or transaction costs while creating a GoHenry account and adding funds. It’s wonderful that there are no international transaction fees if your family periodically takes trips overseas.

GoHenry has a monthly cost, but it’s not too expensive. For $9.98 per month, parents may add up to four child accounts. To give it a try, parents can sign up for a free one-month trial. It’s also important to remember that children may withdraw cash for free from any ATM by using their debit card. Best Bank Accounts for Kids

Best for traditional banking: Chase First Banking

With the Chase First Banking debit card, children may make purchases, save money, and get cash out of more than 15,000 Chase ATMs. Parents may create an account for a kid between the ages of six and seventeen, and there are no monthly fees or minimum deposit restrictions.

Children may make purchases online or in stores using their Chase debit card. To monitor where their child spends, parents might utilize notifications and spending limitations. You must be a Chase client in order to open a Chase First Banking account for your child.

Best for building credit: Step

using the use of a protected Visa debit card, kids can spend, save, and invest using Step, a cutting-edge financial platform, all while establishing credit. Teens have no monthly fees or minimum balance requirements while using the Step dependable spending card, mobile banking app, or Step account. Additionally, there are no overdraft fees.

Teens may avoid debt accumulation while building credit history through the use of the Smart Pay function. Step reports a clean payment history to the three main credit agencies based on your transaction history. Teens may begin investing with as little as $1 using the Step app, or they can earn a competitive interest on savings.

Best for added features: Copper

Kids and teenagers may learn about personal finance and money management with the Copper debit card. Parents have the option to create a Copper account and select the controls they want to have. In the meanwhile, children may spend or withdraw cash from more than 55,000 ATMs using their debit card.

Savings awards, round-ups, direct deposit, and Divvy, which assist students in automatically setting away money for their financial objectives, are a few of the extra features. Parents may send funds to their children’s accounts with ease thanks to auto-reload, and youngsters who want to start investing can use the function to establish a portfolio.

Best for credit union accounts: Alliant

You may establish a kid’s savings account and a teen checking account online at Alliant Credit Union. Teens 13 to 17 years old should use the adolescent checking account, while children 12 years old or under should use the savings account. The intention behind both accounts is to be owned jointly by a parent or grandparent.

There are no monthly service fees or minimum balance requirements for teen checking, and balances earn a respectable interest rate. It comes with a debit card, and there are over 80,000 fee-free ATMs for teenagers to use. If you want to get statements electronically, the kid’s savings account has no monthly maintenance costs and yields a very competitive rate. best bank accounts for kids

Best for parental controls: Greenlight

For children and teenagers, Greenlight is an app for banking and investing that comes with a spending debit card. Children may get 1% cash back when they use their debit card, and that money goes toward savings. They can also benefit from savings rewards, where they can receive a bonus of up to 5%.

With the Greenlight app, parents can establish spending limits and reward their children for doing chores or getting high grades. Parents may monitor where their children are spending their money and when they are withdrawing cash with real-time notifications. If there’s a possible drawback to Greenlight, it would be its cost. The price of a monthly subscription varies from $4.99 to $14.98, based on the services you choose. best bank accounts for kids

Best for savings tools: MPH Bank

Multiple bank accounts are available from MPH Bank, which stands for “Make People Happy” for those who would rather handle their finances online. Anyone interested in using a contactless debit card for spending or saving between the ages of 10 and 24 can open a First account. There are no monthly fees, and you may withdraw money for free from more than 55,000 ATMs.

Children may utilize the round-up widget within the app to automatically save money on debit card purchases. Interest rates on savings accounts are significantly higher than those on the typical kid’s savings account provided by commercial banks. Teens who work can also use direct deposit to receive their paychecks up to two days early and set aside a portion of their earnings for savings. best bank accounts for kids

Best for fee-free banking: Capital One 360

Kids savings accounts and MONEY adolescent checking are the two banking solutions that Capital One provides for young people. Adolescents can share their joint adolescent checking account with a parent. kids receive a debit card for purchases, and the Capital One mobile banking app allows both parents and kids to manage the account.

Both the kid’s savings account and the adolescent checking have no minimum deposit restrictions. Parents may open various accounts to support different goals, and the savings account earns interest. Neither account is subject to any form of monthly maintenance fees or other costs. Moreover, there are over 70,000 fee-free ATMs available countrywide for teens to use. best bank accounts for kids

Our methodology

We evaluated checking, savings, and debit card accounts at the leading physical and online banks to determine which ones are the best for kids. The banking choices that scored highest for reasonable prices, easy accessibility, and reliable features are reflected in our final rankings. When selecting the top banks overall, we also took into account the kinds of accounts that were available and the minimal prerequisites to create an account. best bank accounts for kids

How to open an account for teenagers

Opening a bank account for a child or teenager isn’t that different from opening a bank account for yourself. Once you decide which account you want to open, you’ll need to give the bank some basic information.

Banks typically expect you to provide the following for yourself and your child:

  • First and last names
  • Dates of birth
  • Social Security numbers

Your email address, postal address, and phone number must also be disclosed. A legitimate government-issued ID, such as a passport or driver’s license, may be requested by the bank.

Funding the account is the next step after completing those details. You can link an existing account at a different bank in order to create an online bank account for a child. In order to arrange for an ACH transfer for the deposit, you will provide your account number and routing information. best bank accounts for kids

You could receive a debit card for yourself and your youngster, depending on what’s included in the account. All you have to do to use the cards is activate them and establish a PIN.

When to open a children’s account

The ideal age to start a children’s bank account is not specified. For a child as young as six, you could create a savings account, or you may wait until they are in their teens to obtain a debit card or checking account.

In general, children who have money of their own to handle or who have grown fascinated about how money works are ready for a bank account. It can make sense for your children to have a checking account or debit card for spending and another account for saving if, for example, you are paying them for doing chores or awarding them with cash for good grades. best bank accounts for kids

Similarly, an adolescent with a side gig or part-time employment might profit from having a location to deposit their earnings and meet their savings objectives. The earlier you start teaching them sound financial practices, the more probable it is that they will stick with them as adults.

How to choose an account for kids and teens

For children and teenagers, there are many banking alternatives available, so it’s useful to know how to choose the best one. These are some of the most crucial factors to take into account when contrasting children’s bank accounts.

  • sorts of accounts (debit card, savings, checking, etc.) that are available
  • Minimum amount required for a deposit
  • Other banking costs as well as monthly fees
  • ATM availability
  • Access to online and mobile banking
  • Benefits and features like trackers or savings tools
  • Interest rate and, if the account is earning interest, the annual percentage yield (APY)

If you would want to have some influence over where and how your kid or adolescent spends money, you might also be interested in parental controls. Prepaid debit card choices for children and teenagers vary in terms of control. best bank accounts for kids

Frequently Asked Questions (FAQs)

Can kids have their own bank accounts?

With the assistance of their parent or guardian, children are able to create a bank account. Generally speaking, opening a bank account on your own requires you to be at least 18 years old.

Can kids have their own debit cards?

If a parent or guardian opens a checking account on their behalf, children can obtain a debit card that is linked to an account or that is pre-paid. Kids’ debit cards often come with built-in controls that let parents set spending limits and restrictions on where and how much their children can buy.

What’s a custodial bank account for kids and should you have one?

A bank account that a parent opens on behalf of a kid is known as a custodial account. Until the child reaches the age of 18, when most states grant adulthood, the parent is still in charge of the account. The youngster can assume complete management of the account once they reach adulthood. To save money for education or to maintain control over your child’s funds until they become 18, you can open a custodial account.

What’s a joint bank account for kids? 

An account shared by a youngster and an adult is known as a joint bank account for kids. For instance, a parent and their adolescent may open a joint bank account. Since a minor cannot hold a bank account in their name alone, even though both names are on the account, the parent is seen as the principal account owner.

Forbes

Best Bank Accounts for Kids YouTube Best Student Loan

best bank accounts for kids

best bank accounts for kids

best bank accounts for kids

best bank accounts for kids

best bank accounts for kids

best bank accounts for kids

best bank accounts for kids

best bank accounts for kids

best bank accounts for kids

best bank accounts for kids

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