When my lovely wife was growing up, she’d work small summer jobs and put those savings into a certificate of deposit. Even back then, CDs weren’t exactly offering blockbuster yields (they never do relative to other riskier options), but she diligently contributed them into CDs and left them to to mature. The value in doing so wasn’t in the interest she earned but the habit of saving and understanding the importance of saving.
If that’s a lesson you want to teach your kids, the options today are far better than they used to be. Back then, if you were under 18, it was extremely difficult to open an account at the bank. In my case, I simply gave the money to my parents and they saved it on my behalf. It was good enough. Back then, online banking was just starting and I couldn’t log in to check my balance or do anything banking related. These days, with smart phones and always-on internet, giving your kids an account with their name on it can bestow a sense of responsibility and ownership that will help those lessons stick.
So what are the best bank accounts for kids?
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