When to Open a Bank Account for Your Child [ (and What to Teach Along the Way)

 

A Milestone That Matters

Opening a bank account is a rite of passage — but it’s more than just a new place to park allowance money. It’s a chance to introduce real-world money habits: saving, budgeting, tracking spending, and understanding how money flows in and out of an account.

Done right, it can be a powerful confidence-builder in your child’s financial journey.

When Is the Right Time?

There’s no perfect age — it depends on your child’s maturity and money habits. That said, many families start between ages 10–13 with a joint or custodial savings account, and transition to a checking account with a debit card around ages 13–15.

📌 Apriem Tip: If your child is receiving allowance, doing small jobs, or saving toward a goal, they’re likely ready for the next step.

What Kind of Account Should You Start With?

Here’s a quick breakdown of common options:

Account Type Best For Key Features
Custodial Savings Account Younger kids (8–12) Parent-controlled, interest-earning, no card access
Joint Teen Checking Account Tweens and teens (13–17) Debit card, real-time tracking, parental oversight
Youth Banking Apps (e.g. Greenlight, GoHenry, Step) Digital natives Goal tracking, spend limits, auto-saving features

Start simple and expand as their confidence grows.

What to Teach as You Open the Account

Opening the account is just the beginning. Here’s what to teach along the way:

  1. How to Track Deposits & Withdrawals
    → Use online banking or an app together to view balance changes.

  2. Understanding Bank Fees & Overdrafts
    → Explain what happens if they overspend or withdraw early.

  3. How to Set a Savings Goal
    → Use their account to set and track a real goal (like a concert, phone, or bike).

  4. How to Check Balances Before Spending
    → Make it a habit before every purchase.

  5. The Importance of Security
    → Teach them not to share their PIN, and how to identify scams or phishing.

Make It Feel Empowering, Not Overwhelming

This is a big deal — and it should feel exciting. Celebrate it! Let them:

  • Choose their debit card design (if offered)

  • Pick a savings goal to work toward

  • Set a small automatic transfer into savings

You’re teaching them that being financially responsible doesn’t mean being restricted — it means being in control.

Keep the Conversations Going

Regularly check in on how they’re using their account:

  • Review recent transactions together

  • Ask what they’ve learned or struggled with

  • Adjust settings or permissions as needed

The goal is to build trust and gradually give more freedom as they show responsibility.

Want support navigating your child’s next financial milestone?
Apriem Advisors can help your family build confidence — one step (and account) at a time. Reach out anytime at bri@apriem.com.