Kiddie Bank Account

Discussion in Bank Accounts started by gracer • Jan 13, 2016.

  1. gracer

    gracerActive Member

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    My husband and I are planning to open up a bank account for our 6-year-old boy. You see, he owns a couple of piggy banks and instead of spending what he has earned for toys or perishable items, we both agreed to just put the money in the bank.

    When I was still a kid, my parents have also instilled the value of saving on me and I was able to take that attitude with me now that I'm also a parent. I think it's best that children learn the importance of saving money at a young age so they could become responsible individuals when it comes to managing their money in their adult life.

    For those who have kids, are you also considering opening a bank account for your child? For those who don't have children of their own yet, are you also considering to do this too when you finally have your own kids?
     
  2. thenextGeek

    thenextGeekActive Member

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    Yup! I always plan on opening a bank account for my kids to teach them the value of saving. That is how my mother taught me how to save and now that I'm already an adult, I can say that it has impacted my life in such a positive way because I've become a thrift person. I always save and invest my money and that puts me into an advantage for when I'm already on my own. I want my future children to know that being thrift and financially smart will go a long way and that helping them develop it while they are still young is my responsibility.
     
  3. MrsJones

    MrsJonesActive Member

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    I set up an account for my grandson when he won a monetary award for his entry to a MLK essay contest. He was in the first grade and I thought it was the best move to make. It's the only thing in the account but I'm sure in time the interest will accumulate. Good post!
     
  4. gata montes

    gata montesActive Member

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    I think it an excellent idea - as having benefited greatly from this myself - I too would agree that this is something that should be introduced fairly early on in life - especially as allowing a child to have their own bank account - providing its managed under parental supervision - is a great way of educating them on good money management - as it helps them not only to have a better understanding of how the money system works - but also learn the value of money and how to use it wisely.
     
  5. sidney

    sidneyWell-Known Member

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    I agree, I think saving money in the bank instills in children the value of saving money, so I am also in favor of teaching kids how to save by opening a kiddie bank account for them. However, when I was young I don't remember my parents instilling in me the value of saving, I just saved money on my own.
     
  6. thenextGeek

    thenextGeekActive Member

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    The real advantage of opening a bank account for your kids is not about the interests that their account will accumulate, rather the financial education and the saving instincts that they must learn from a young age in order for them to incorporate those knowledge in adult life. It is very difficult to suddenly force yourself into learning proper financial management compared to practicing it when you are still young all through adulthood.
     
  7. gracer

    gracerActive Member

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    Teaching kids how to save is indeed very important nowadays because of the spending trend that many of us are practicing nowadays. It is easy to spend on things these days because of the the emergence of many shopping facilities, not only in establishments but also online. So if one does not know the value of saving, tendency is that no money is left for future use, especially in emergencies.
     
  8. Corzhens

    CorzhensWell-Known Member

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    When I was in grade school, one local bank here had a campaign to teach children how to save money. The campaign is centered on a kid's bank account where the minimum initial deposit is one peso (a fraction of a dollar). Adding premium to the campaign, that balance of 1 peso earns interest. I had a bank account and I admit that the passbook inspired me to save money on my own initiative.
     
  9. Denis Hard

    Denis HardWell-Known Member

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    Opening a bank account for kids can be a great way to teach them fiscal responsibility. When you open an account for a child, many banks often hand out a piggy bank. When kids receive their allowances each week the parents ought to teach them to save a certain percentage of the money they receive before spending any of it — goes straight into the piggy bank. Once they've learned this, when they are older they won't have any trouble saving money because they know what has to be done — pay themselves first then spend the rest.