Children's Savings Accounts
by: WilliamBlake |
Total views: 3 |
Word Count: 544 |
View PDF | Print View
Share This Article
If your child's piggy bank is overflowing with coins, it might be sign that they need their own savings account. Opening a savings account for your kids can help them be more aware of the money they are accumulating. Before doing so, think about what kind of account your kids should have.
A savings account can be started as soon as a child has money to put in one. Choose a day when you both have some free time and make a trip to your local branch of the bank. Talk to a teller or bank associate about starting an account for your child.
Statement savings accounts give reports to both you and your child at the end of each month that detail all transactions that were processed that are associated with the account. Any withdrawals or deposits made from or to the savings account will appear in the report.
When the report arrives, explain it to your child, reviewing all the information it contains. Show them how much money they started and ended the month with, going over interest earned and deposits and withdrawals noted. If your child can't remember what they did with money they took out of their account, write down the details of the transaction for them. This way they will be able to see for themselves just where they money is going.
There are also passbook savings accounts. I actually had one of these when I was in college. Each account holder is given a small book. Each time a deposit is made or a withdrawal is requested, the book is run through a machine that records the transaction on the pages of the passbook. This way, your child finds out his or her new balance right away instead of waiting for a statement at the end of the month. Some kids like that because they can look at their money as often as they want.
Banks are not the only institutions that issue savings accounts to children. Credit unions also have savings accounts available to the children of their members. There are special savings accounts that are designed for kids of various ages. When the account is opened, they receive an ATM card with their picture on it and other free gifts for starting the account.
If your child receives a debit card along with their savings account, it can be used as if it were cash. Parents can put a child's allowance money directly into their savings account and then show their child how to keep track of their funds by saving receipts from purchases and comparing these with the monthly statement they receive.
If a child is under eighteen, some states will issue custodial savings accounts. These accounts list the parent's name as the account holder and the child's name underneath. The account ownership can be transferred to the child when they turn eighteen.
Kids can learn how to care for their money and know where it is going by using a savings account, whether they use cash they withdrawal or a debit card attached to the account to make purchases.
Share This Article
Rating: Not yet rated Next Article - Do you know how much you cash flow you need in retirement? and Previous Article - Where Do You Find the Best Credit Card Offers?
About the Author
Are you thinking of trying to lower your payments by negotiating credit card debt? Be sure to visit the Debtopedia website at http://www.debtopedia.com to get some helpful information & advice first.
Comments
No comments posted.Add Comment
Popular Articles about: Finance
1: Insuring Your Small Business2: How to Automate Your Trading Profits?
3: Wiki Statute of Limitations
4: How To Make The Most Of A Secured Loan
5: Loans make a great investment
6: Great tips on online forex currency trading
7: The Process Of Obtaining A Free Credit Report Explained
8: The Business of Loaning Money
9: Teaching Teens How to Gain Financial Freedom
10: horizon asset management - help yourself regarding wealth buildup
11: Acquiring An Adverse Credit Mortgage
12: How To Get A Bank Loan
13: Calculate Before Applying For Home Loans
14: Free Credit Repair
15: Debt Negotiation and Settlement Advice
16: Online Currency Trading Software - A Few Good Available Choices
17: Tips on How to Sell Your Home Fast
18: Getting Fast Loans The Easy Way
19: Melini Apartments Cyprus Secrets
20: Top Tips For a Successful Forex Trading System
21: The Auto Insurance Quote Process Explained
22: Budget - Personal Budgeting Of Your Finances
23: Selecting A Trading Seminar For Stocks, Options Or Forex
24: Buy Cyprus Property
25: What Should I Expect From My Financial Advisor in a Down Market?
26: Student Consolidation Loans, Figuring Total Interest
27: 5 easy tips to help you out from debt consolidation
28: Look For A Hot Penny Stock From Reliable Sources
29: Instant Loans On The Internet
30: Remortgage for Debt Consolidation