A teen bank account can be a great way to teach your kids about handling money, budgeting, and financial responsibility. Many teens sign up for the first checking account when they start earning an income from babysitting, doing yard work, clearing snow, etc. A student checking account can be a great way for parents to teach their kids about financial responsibility.
It can also make it much easier for both parents and teens to manage their finances, using mobile payment apps and debit cards, with parents having full access to oversee their child’s account. A student checking account can especially come in handy for both parents and a child if the student is attending college and they need a way to pay for things or have their parents send funds. We offer this information on checking accounts for students, teens and young adults so they and their parents can learn more about how student checking can benefit them all.
What Is a Student Checking Account?
A checking account for teens is a bank account designed for those from ages 13 to 22. It offers many of the same benefits as a regular checking account, but with parents able to oversee and help manage the account. They’re often free, with no minimum balance requirement and any fees applied are smaller than with regular checking accounts.
This makes them ideal for teens and young adults who would like to have a place to keep their funds and gain access to checks, a debit card, online and mobile banking. For those in college, a student checking account is convenient for both themselves, and their parents who can deposit funds into their child’s account without having to leave the house or send a check in the mail.
What Does a Student Checking Account Include?
A student checking account is a great way to provide financial literacy for teens, especially as they start earning money and would like to keep their funds in something other than a piggy bank. Parents can teach them the benefits of saving up for a purchase, or for college, and introduce their teenager to the importance of budgeting and money management.
The benefits of a student checking account typically include:
- A low or no balance requirement.
- No monthly fees, regardless of balance, which makes them affordable and easy to manage.
- Overdraft protection, so a student wouldn’t be hit with fees if they accidentally overdraw on their account.
- Free online banking, mobile bankingand text alerts, smartphone & tablet apps* so teens can bank anywhere there’s a mobile connection.
- Free use of the Zelle® payment app to easily transfer funds.
- Free mobile depositthat lets you deposit checks from anywhere via a banking app.
- Free Purchase Rewardsthat give you cash back from participating retailers.
- Free Money Managementtools to help them in budgeting, managing their money, and establishing good financial habits.
- Free Visa® debit cards, direct deposit& eStatements.
- Free access to 5,000 Shared Branchesand 30,000 CO-OP Network ATMs nationwide and more.
- Direct deposit for paychecks and financial aid, so a teen can gain faster access to their funds. With Neighbors SMART Checking, teen checking account holders can access their direct deposit funds up to two days before the deposit is expected.
Is Your Child Ready for a Student Checking Account?
Setting your child up with their own bank account is a significant step towards becoming a fiscally responsible adult, although not every child is ready for an account at the same age. Here are a few things to consider and when to set up a teen checking account.
- Does your child have an income? Whether they have a regular part-time job, taking care of someone’s pets, babysitting, doing yard work, or anything else to earn some money, that could be the right time to set them up with an account. You can emphasize the importance of being financially responsible and start teaching them money management skills.
- Are they responsible enough? While many teen checking accounts offer overdraft protection, the child must be able to understand that a checkbook and a debit card aren’t a license to spend beyond their means. Some kids have a hard time keeping track of how much they have in the bank, even when online and mobile banking make it easy for them to keep track of their funds.
- Have they brought it up? For many teenagers, their interest in a bank account starts when one of their friends or classmates gets their first account, or they start earning money and would like to start using a payment app or debit card. This kind of an interest isn’t just an opportunity to set your child up with an account, it’s a chance to get them on the right path to fiscal responsibility. Make sure they understand the responsibilities that come with having their own account and show them how to use money management tools.
How to Open a Student Checking Account
While you can start the application process for our teen SMART Checking Account online, both a parent and a teenager will need to visit one of our branches to complete the process. Here’s what you will need to bring:
- A government-issued ID, such as a driver’s license or state ID for yourself and your teen.
- Personal information such as your home address, phone numbers and Social Security numbers.
Many of our teen banking customers open an account with an initial deposit, although it’s not required.
Once your application is approved and you receive your account numbers, your teen can start banking with us right away: online, through our mobile app and their debit card. Your debit card will be issued right away, although it will take 10 days or so to receive your checks.
What Happens to a Teen Checking Account When They Get Older?
When your teenager becomes a young adult, past age 22, or they’re no longer a student, they will no longer be eligible for a student checking account and can change to one of our other checking account options.
Get Your Teenager Signed up for a Student Checking Account
If you have any questions about our SMART Checking Account for teens and young adults, please contact us or visit one of our branches in the greater St. Louis area to get started.
