Kids and teens bank accounts (2024)

FAQs

Which bank is best for kids' accounts? ›

If your child is 14 or over, you can help them open an account online. If they're 13 or under, you'll need to visit a branch. Find out how to apply for an account for your child and what identification documents you need to supply.

At What Age Can You Open A Bank Account On Your Own? Generally, a child must be at least 18 years of age to open a bank account on their own, with some variability by state. However, there are several options that allow children and teens to access the banking experience before 18 with an adult cosigner or custodian.

But can a teenager open a bank account? Yes, but with some conditions. Those under 18 are often required to have a parent or guardian present, who may need to be an owner or co-owner of the account with the teen.

Monzo for Under 16s. A Free Bank Account for Kids Aged 6-15.

Minors 13 years or older can open a savings account individually or with an adult co-owner. Minors under 13 must have an adult co-owner.

Chase First Banking is a banking account for kids opened by parents that helps families digitally manage spending and provides opportunities for kids to learn and practice the basics of personal finance by using a debit card in their name.

The kiddie tax

Unlike 529 plans and ESAs, custodial accounts are subject to the so-called "kiddie tax." This tax rule applies to unearned income (i.e., investment income) up to a certain threshold. Over that threshold, the child will pay taxes at the parent's tax rate. To learn more, see IRS Publication 929.

Only a legally appointed guardian can open a bank account in the name of a minor. Once a minor crosses 18, they must intimate the same to the bank.

How do I set up a bank account for my child? ›

For children under 16, the bank account will need to be opened by their parent, guardian or grandparent either in a branch or online. For those over 16, they can set up the account themselves, without parental consent.

You need to have a Savings Account in your name at the bank you intend to open the child's Savings Account in. You need to fill out the form for opening the account, with the minor as the first account holder, and you as the joint holder. You also need to submit your photographs along with this form.

If you're 14 or over, you'll need to visit your nearest branch with your birth certificate or passport to open a Youthsaver account. A parent or legal guardian can open a Youthsaver account online for you if you're under 14.

Chase High School Checking℠

Partner to build money confidence using the tools and resources from Chase High School Checking: a checking account for teens (13-17 years old at account opening) with their parent/guardian as a co-owner and no Monthly Service Fee.

Invest in Fixed Deposits! Parents often opt for Fixed Deposit schemes for their children as it provides a safe way to invest money while teaching them the importance of saving from a young age. These schemes offer a secure financial foundation, ensuring a stable future for the children.

The advantage of allowing your child the freedom to operate their own account is that it lets them get familiar with banking terms and how the account works. This information is invaluable once they grow up.