How To Make Saving Money Fun With Youth Accounts

For kids, knowing how to save and budget money can often seem boring and like a chore. There’s a lot to think about when it comes to money management, along with many questions. Why do I need to save money? When should I spend my money? Why can’t I just buy what I want when I have the extra money for it?

Getting the hang of this takes time and practice, plus some self-control to keep it going. That’s why getting your kids into saving money early on is a smart move. If you’re a parent or guardian, just remember that what you teach your children today will make their lives better down the road.

Here at Scott Credit Union, we understand the enormity and difficulty of this task. We want to help make this process as smooth and simple as possible. That’s why we’re proud to offer youth savings accounts that will teach your kids how to have fun while saving money. Our youth savings accounts offer no monthly maintenance fees, no maximum balance, and a higher rate of interest on the first $1,000.

We’re more than just a place for your kid to keep their money, though. We also want to help your children learn about money management. To do that, we want to make banking fun and kid-friendly. When your child has a Kidz Club Share Account with Scott Credit Union, they’re part of our Big Barkers Kidz Club and have access to fun and educational items, such as our Money Wise Workbook. Plus, your child can earn up to $10 a semester through our Great Grades Program.

When adolescence overtakes childhood, kids need a sense of autonomy. We get this. That’s why the holders in our Teen Share Accounts learn the importance of saving money to reach financial goals. Whether saving for a new phone, computer, their first car or a college education, our Teen Share Accounts are the best saving accounts for students and the perfect tool to help young people learn the value of saving.

If your teen is also ready to open a checking account, our eXtreme Checking Account offers no monthly fees and allows your child to earn interest on their money when the minimum requirements are met. Learning responsible saving habits at an early age will prepare your kids for a sound financial future.

Once you open the share account for your child, be sure to follow these steps to ensure your child is having fun and saving with their youth account:

Help your child set goals

Now that your child’s money will be sitting in an account instead of a piggy bank, let them use this opportunity to save up for something big. Sit down with your child and discuss what they’d like to save for. You can create a long-term goal, like saving up for college or for a first car. Also establish a short-term goal, like a new gaming console or a hoverboard.

Once you define your goals, be sure to set a target date for achieving them. Then set up a savings calendar for illustrating how much money needs to be saved each month to reach the intended target by the designated date. Discuss ways to add to the savings, being sure to include money from birthday gifts, summer jobs, allowances, and chores.

The family that banks together, stays together

Whether your kid is a kindergartner or a teenager, if this is their first time owning an account, they’ll need you to show them the ropes.

Whenever you stop by Scott Credit Union or bank online, be sure your child is by your side. This is also a great time for them to deposit their savings. Show them how it works and let them see the account balance growing. If your child asks you to withdraw money from their account, make sure they see how this translates into a dip into their savings.

With teenagers, you’ll have to guide them through that initial deposit and withdrawal. Once they appear to grasp the process, it’s time to give them some space and let them navigate it solo. Having them manage their account on their own will give them a fantastic sense of accomplishment and independence.

However, make sure your teenager understands that each time they use their debit card, it impacts their account funds. Also, it’s important to remind kids of all ages about security measures. They need to be aware never to disclose their account details, as well as to keep their debit card safe and sound.

Keep an eye on your child’s account

You probably don’t want to be a helicopter parent but you do need to keep an eye on your child’s account. If they’re depositing a lot less than planned, ask where their money is going. If your teen is maximizing their daily ATM allowance, speak to them about money management and impulse purchases. Your teen’s daily withdrawal limit may need occasional adjustment, so keep a careful watch on spending to see if any modifications are needed.

Don’t forget, every financial lesson you teach your child today equips them with money management skills for a lifetime. If you’re ready to level up your kid’s money skills, open up a youth savings account online or stop by your local Scott Credit Union branch. We’re here to support you and your child every step of the way on their financial journey.