Which is the Best Bank Account for Your Teen?

  •  
  •  
  •  
  •  

best bank account for your teenMany parents don’t realize it, but they can make a big difference in their kids’ future by teaching them the value of money. As a parent, you should impart valuable life skills and instill good financial habits in your child to prepare them for adulthood. Giving them the responsibility of managing their own bank account is one way to start. In this post, we’re going to review the best bank account for your teen. 

Which is the Best Bank Account for Your Teen

About 84% of teenagers expect their parents to show them how to manage their money. However, nearly 34% of parents would rather leave them out of discussions concerning the family’s finances. When you’re ready to give your teens a taste of financial independence, you can use this little guide to select the best bank account for your teen.

1) Capital One

When deciding the best bank account for your teen, parents can open a Money account at Capital One from any of their branches. You can also open one through their online platform from the comfort of your home. This account also comes with a Mastercard debit card, which your teen can use at Allpoint and Capital One ATMs without incurring any fees.

Teens can manage their account from the Capital One banking app. From there, they can deposit checks and carry out direct deposits. As a joint account holder, you can check their account and monitor their spending habits. Account holders may earn about 0.25% APY interest.

Pros:

  • No monthly service fees
  • No minimum balance required
  • No overdraft fees
  • Has a banking app

2) Wells Fargo

Another bank worth considering when making a choice for the best bank account for your teen is Wells Fargo. Their Teen Checking account is nearly identical to the Capital One Money account, with similar reviews of debit cards for teens. Wells Fargo’s checking account for teens doesn’t come with a monthly service fee, however, you do need to pay a $25 deposit for opening the account.

Teens can handle their own money as long as their parent or guardian signs up as co-owner. Through the Wells Fargo mobile app, teens can send and receive money. They can also monitor their account balances from their smartphones or tablets through the mobile app.

This checking account also comes with a debit card. Encourage your kid to use it at Well Fargo ATMs as it won’t charge a transaction fee. Using other ATMs will cost them $2.50 per transaction.

Pros:

  • No monthly service fees
  • Has a mobile banking app
  • No transaction fees for withdrawals at Wells Fargo ATMs

3) Alliant

Another great option is Alliant, a teen checking account designed for teens ages 13-17. Unlike the rest of the accounts we’ve mentioned, this one requires the parents to be an Alliant member. However, before ruling this one out as the best bank account for your teen, you should know that Alliant gives your teen the opportunity to earn interest at 0.65% APY.

Alliant also has a mobile banking app, which account holders can use to track their finances. Not to mention, you and your teen will receive a Visa debit card. The network has over 80,000 ATMs, none of which will charge you for a transaction.

spend your tax refundPros:

  • No monthly service fees
  • Has a mobile banking app
  • No minimum balance required
  • Earn interest at 0.65% APY
  • Monthly ATM rebates worth $20

4) Chase  

Another bank with a checking account suited for teens under 18 years old is Chase. When considering the best bank account for your teen, the Chase High School checking account is suited for teens ages 13-17. They also have a Chase College checking account. However, your child has to be at least 17 years old to open this account. They also need to be in college for this particular account. 

Upon opening their account, teens are required to deposit a minimum of $25. Chase charges a $6 monthly service fee, but account holders can waive this for up to five years as long as they follow the criteria set forth by Chase. The student checking account comes with a Visa debit card. For more efficient banking, teens can use the Chase mobile app to track their balance. They can also use QuickPay to send and receive money in times of emergencies.

Pros:

  • No monthly service fee for five years
  • Has a mobile app
  • Has a QuickPay app

Conclusion

Opening a teen checking account is one of the best things you can do to help your child prepare for the real world. By giving them a bit of financial freedom, you’re allowing them to learn firsthand about the value of money. Make sure to consider these accounts when choosing the best bank account for your teen. With your guidance, they can embrace good financial habits, which they will need later in life.

Are you looking for the best bank account for your teen? Which will you pick?

If you enjoyed this article, Get email updates (It’s Free!)


  •  
  •  
  •  
  •  
  •  
  •  
  •  

Grow Rich Money

LaTia Longuemire

AUTHOR LaTia Longuemire

My name is LaTia Longuemire. I enjoy writing, singing, and cooking in my spare time. My passion is helping others. At this stage in my lifetime, I'm primarily focused on my children. They are everything that keeps my world spinning.

No comment yet, add your voice below!


Add a Comment

Your email address will not be published. Required fields are marked *

CommentLuv badge

Related posts