Opening checking accounts for kids is a terrific method to teach them how to be responsible with money from a young age. Best Starter Checking Accounts For Kids
They’ll learn more about how to use money wisely and stay out of debt. Hands-on learning is one method to help kids start on the right path to being responsible with their money.
You can let your child save and spend money (with some limits) by opening a joint checking account with them. You can also keep an eye on how they spend their money. This manner, you can both help him or her learn more about money. We’ll talk about three of the best checking accounts for kids that are easy to open in this article.
Our Picks Of The Best Starter Checking Accounts For Kids
We evaluate checking accounts for kids based on their fees, parental control options, minimum balance requirements, annual percentage rate (the interest you receive), and branches and ATMs available. Best Starter Checking Accounts For Kids
1. Crew Banking
Crew has becoming one of our favorite apps for family and kid checking accounts because of how easy it is to setup accounts for the entire family and make sure that everything is linked up. Also, they don’t nickel and dime you on fees, which is a huge plus
Highlights
- Family bank accounts where each member has their own dashboard
- No monthly maintenance fees.
- Debit card and budgeting tools
2. Step
Step is a banking app that is meant to help teens transition into real money management. It allows parents to view spending activity on their teen’s app (via the parent account) and even send money to their teen. Best Starter Checking Accounts For Kids
Many kids and parents are seeing Step for the first time due to promotion and popularity by TikTok and social media stars. Regardless, it’s still a great starter checking account.
Highlights
- For ages 13-17 years old, you can open a “lite” account with a parent or guardian.
- If you’re 18 or older, you can open an account on your own.
- Step helps build credit by acting like a secured credit card based on your balance.
- Step connects to Apple Pay and Google Pay
- No ATM access.
Mobile Banking
Step provides debit card functionality for teens but other checking features are not present. For example, the only way to move money into your Step account is from another bank account via a debit card or by linking to a Cash App, Venmo, or PayPal account. Linking a debit card provides immediate money transfers. Going through CashApp, Venmo, or PayPal will take 1-3 business days. Best Starter Checking Accounts For Kids
There is no mobile check deposit or cash deposit. Paper checks don’t come with the account either. You can, however, easily make direct deposits from an employer. Please provide your employer with your account and routing numbers, which are identical to those used for a regular checking account.
3. Axos First Checking
Axos First Checking is one of the best starter checking accounts for kids for multiple reasons. First, it is set up as a joint checking account so that parents have equal access and control. There are no maintenance fees or non-sufficient fund fees. And account holders receive up to $12.00 in domestic ATM fee reimbursements per month. Best Starter Checking Accounts For Kids
Highlights
- For ages 13-17 years old.
- Earn 0.10% APY.
- Up to $12 domestic ATM fee reimbursements per month.
- No monthly maintenance fees.
- No overdraft or non-sufficient funds fees.
- The daily transaction limits are set at $100 for cash transactions and $500 for debit transactions.
Mobile Banking
Axos offers all of the mobile banking features you’ve come to expect from modern financial institutions. Axos has a mobile app for both iOS and Android. You can deposit checks, manage your account, and use bill pay, all from your mobile phone. Best Starter Checking Accounts For Kids
If you’re looking to switch from another bank, Axos has a simple, step-by-step “No-Hassle Switch Kit” to help you complete the process.
Security
Axos offers plenty of built-in security. They regularly scan for viruses and malicious software using antivirus and malware protection software.
To ensure it is you logging into the account, a two-step authentication scheme is used. The scheme works by having you answer a few questions that only you should know the answers to. If that fails or you need another way to access your account, a security code can be sent to one of your registered devices. Best Starter Checking Accounts For Kids
Axos also uses 128-bit SSL on its website, which encrypts your information and keeps it private. Additionally, all customer accounts are regularly monitored for potential fraud.
Another feature Axos uses is automatic logout. If your session becomes inactive, you will be automatically logged out. This prevents unauthorized data collection or misuse of your accounts. Best Starter Checking Accounts For Kids
4. Chase First Banking℠
Chase First Banking℠ is a joint account and the co-owner must have a linked Chase account. There is no monthly service fee with this account. It’s designed for kids 6 – 17 years old. Once the account holder turns 18, they’ll need to open a new account. Best Starter Checking Accounts For Kids
While the lack of fees is what landed Chase First Banking℠ on our list of best starter checking accounts for kids, it unfortunately doesn’t earn interest. However, you’ll be hard-pressed to find similar accounts for minors that do earn any meaningful interest.
It also doesn’t support money transfer apps OR direct deposit. That could be an issue if you’re looking for an account for your teen. In this case, the Chase High School Checking℠ might be a better option. This account is really great for younger kids – 6 to 12.
The main reason for choosing Chase is the convenience of being with a major full-service bank. Chase has a network of 16,000 ATMs and nearly 5,000 branches. Combine that with the easy access to your own banking, and that makes managing the account easy. Best Starter Checking Accounts For Kids
Highlights
- The account is designed for individuals aged 6-17 years old.
- The account co-owner is able to view how their child is using money in the account through the Chase Mobile App.
- The mobile app allows for limited account management.
Security
Chase uses 128-bit encryption technology on its website and mobile app to protect your username, password and other personal account information. Best Starter Checking Accounts For Kids
Another strong security measure that Chase takes is that it requires multiple authentication every time it recognizes a new device is trying to log in to your account.
So even if your username and password were stolen by identity thieves, they would not be able to log into your account on an unrecognized device unless they also had access to your email account or were in physical possession of your phone. Best Starter Checking Accounts For Kids
5. Alliant Teen Checking
By now, you might be starting to see a pattern with these accounts. Usually, the age group is 13 – 17 years old and must be a joint account. That is no different with the teen checking account offered by Alliant Credit Union.
However, unlike the Chase High School Checking account, the Alliant Teen Checking account does earn 0.25% APY in interest. Unfortunately, it also has a few fees you’ll want to be aware of: Best Starter Checking Accounts For Kids
- Inactivity Fee — $10.
- Stop payments (checks and ACH) that are submitted in writing or verbally—$25. Any Stop payments (checks) submitted via Alliant Online Banking or Phone Banking are free.
- ACH initiated via Telephone (per occurrence)—$10.
Thankfully, none of these fees are monthly or mandatory and should be fairly easy to avoid. Alliant also has an extensive ATM network. Customers get access to 80,000+ fee-free ATMs.
See why Alliant made our list of the 5 best credit unions. Best Starter Checking Accounts For Kids
Highlights
- For ages 13 – 17 years old.
- Earn 0.25% APY.
- $20 in service fee rebates for out-of-network ATMs.
- No monthly maintenance fees.
- No minimum monthly balance.
- Contactless Visa® debit card — for both owners of the account.
- Smart limits & parental monitoring.
One reason that Alliant Teen Checking makes our list of best starter checking accounts for kids is that it includes a software-based budgeting assistant or personal finance manager. Best Starter Checking Accounts For Kids
The budgeting assistant helps your teen see where their money is going. Is it fast food that they are spending the most on or clothes? By looking through their budgeting assistant, your child can then adjust their spending.
Mobile Banking
Alliant’s mobile app is fully-featured and available on both iOS and Android. It allows your teen to budget, manage their account, and even use their debit card without needing the physical card on hand. Best Starter Checking Accounts For Kids
Security
As would be expected, Alliant uses bank-grade encryption on both its website and apps. Additionally, your child’s account will be covered by Visa’s $0 fraud liability feature. This extra protection means that your teen will never be responsible to pay for fraudulent debit card charges.
Final Thoughts
Starter checking accounts for kids allow young people to manage money as they like with some parental supervision. It’s a great way to learn good money habits before jumping into the real thing. Best Starter Checking Accounts For Kids
But you’ll want to make sure that the account doesn’t allow overdrafts or that you opt out of this “protection.” Overdrafts can not only lead to expensive fees but could also cause negative marks to be added to your child’s banking report. And that could make it more difficult for them to open a student checking account on their own in the future.
Not sure that you’re ready to open a checking account for your child? Getting a prepaid debit card that you load a certain amount of money onto each week or month could be a worthy alternative. With prepaid cards, teens still get the opportuntity to learn about money management — but without the risk of overdrafting. These are our favorite prepaid cards for teens.
Methodology
The College Investor is dedicated to helping you make informed decisions around complex financial topics like finding the best checking account. We do this by providing unbiased reviews of the top banks and checking accounts for our readers, and then we aggregate those choices into this list. Best Starter Checking Accounts For Kids
We have picked checking accounts based on our opinions of how easy they are to use, their costs and fees, any interest rates and bonuses provided, and a variety of other factors. We believe that our list accurately reflects the best free checking accounts in the marketplace for consumers. Best Starter Checking Accounts For Kids