Are you trying to open an account for your kids to whom you want to make understand the value of every single note that comes hard luck in home. Teaching kids the value of money is very important, that too at the initial stage of their age. And if you are doing so, then it makes sense to open a kid’s account for the extra money he/she gets every now and then.
When they have their own account, it can help them save the money they often get from the relatives, or by completing small works and the money you give as their pocket money and just sit back and watch them collect and make it simpler for themselves only.
When should you Open Bank Account for Children?
As, this is the very random question asked so far and so the answer is that there is no particular right or wrong time for this thing. It is always good to see you kid summing up good amount of money on his own and getting better at the initial age itself. There are differences in families as some thinks that opening an account is good when they are just born and some thinks to open it, once their kids start going to school and starts earning small sum of amount on their own. It is then you need bank account for kids. Also, sometimes businessman and other people open bank accounts to save tax by dividing income on their kids name.
What type of account it should be for children?
- The account with no minimum balance requirement is a good choice.
- There must be no monthly maintenance fees there.
- The option of account management should be always there.
- The account has to be the one with highest rate interest.
How to Open Bank Account for Children?
If you go to a social branch of any bank then you will have to represent the following ids.
- Your child’s social security number and date of birth.
- Picture identification such as your driving licence or Aadhar Card.
- Personal details such as, your address, date of birth and email address.
- The initial deposit you doing in cash or check.
It definitely makes sense that you are opening account for your child as you are ready and with so many of years ahead for them. And so much of simple interest on their side to cherish and you can just help them initially grow their small savings into big and very beneficial over time.
So, to get all this into the years correctly, to start this mission, the right time is probably now itself.
Look out for your child’s personal interest too in it and whether you are choosing the wise one for him or not. It is very easy to open accounts nowadays as it has become so easy to access all this on your one finger touch. As well as make sure you adapt the best possible option for your kids bank account as it gives good amount of interest rate too.
As, after putting money into your child’s saving account, you just need to start teaching your children, whether it is a son/daughter, that how to perform some of the basic banking tasks that are important. Even demonstrate them about using the ATM to deposit the money directly, it may be money earned from relatives or from birthday presents, make them utilize well.
Teaching them to prioritize about saving over spending will be the most valuable life lesson for your son/daughter. As it is the task that takes plenty of time to learn. Opening a saving account for them is actually a very good idea of making them understand the concept of banking at an early age basically.
Hope this will help you well in choosing something good.