We’re committed to helping you find the best children’s savings accounts to help you educate your children about the importance of saving money. The following childrens savings accounts are all good choices to consider. Some of them were designed specifically for children, such as the Orange 4 Kids savings account from ING Direct. Others are custodial savings accounts from banks we like because of their good reputation and customer service. Some of them are locally based such as credit unions and community banks.
You’re certain to find a children’s savings account to help your child learn to save money for future purchases, such as a car, or even for a toy if they’re just learning the basics of saving money.
FEATURED CHILDREN’S SAVINGS ACCOUNT
Orange 4 Kids – We’ve used the ING Orange Savings Account for our adult savings needs for years and have been pleased with the high quality of the account and competitive rate. ING also offers the Orange 4 Kids Savings Account. As of 2/23/11 the variable Annual Percentage Rate was a highly competitive 1.00%. There are no fees and no minimums required for this account. The money is FDIC insured and the adult is in-charge of the deposits and withdrawals. Adults control account features and deposits into the account. ING also offers the Planet Orange online learning center for children which is another reason we love this account! Your kids can learn about earning, budgeting and saving all from the Planet Orange website.
Click here for more information: Open an ING Kids Savings Account. Read our detailed review of Orange4Kids.
Ally Bank Custodial Savings Account – Ally is another online savings option with custodial savings accounts worth mentioning! If you’re interested in a custodial account (savings for anything other than college) consider Ally’s online savings account with higher rates than traditional brick and mortar banks. There are no monthly fees, no minimum deposit required to open and Ally is FDIC insured. Ally will not charge you a fee if your balance dips too low. Customers are allowed six withdrawals or transfers per statement cycle. Visit Ally online to learn more or read our review of the Ally Bank Savings Account.
Discover Bank Custodial Savings Account - Discover Bank offers a great online savings account that is popular for adults because of the competitive rates. That’s why it also makes sense to mention the Discover Bank custodial account. It’s FDIC insured by the maximum amount allowed by law and there are no fees. Keep in mind, with a custodial account the interest is reported to the child’s Social Security number. The child whose name is on the account cannot withdraw the money until they become a legal adult so this provides a great savings option for a future car, emergency savings account, or other savings goal. This account requires and initial $500 deposit and the adult must have an account Discover. Call Discover (1-800-347-7000) to open an account or visit the Discover website to learn more about their banking services or read our Discover savings account review.
SmartyPig – SmartyPig provides a new type of savings. It’s an online piggy bank that helps you achieve your financial goals. There are no fees, it’s FDIC insured and has extremely competitive interest rates. You set up automated transfers into your savings that are applied towards your savings goal. For example, maybe you want to help little Betsy save for her first car. Her savings goal can be shared with family and friends who can make contributions. There is also a social aspect in that every time a contribution is made it can be shared with friends on Facebook or Twitter and you can keep your friends updated on progress. Each goal can be specifically designated to accept contributions. When you’ve met the savings goal you can redeem savings in the form of a retail gift card (with cash back savings when used), debit card or send the money to a bank account. SmartyPig makes managing money fun and teaches good financial habits to your child. Anyone can have a SmartyPig account. For a minor, a parent or legal guardian must open his or her own account first and then invite the minor to be a limited access user. Visit SmartyPig to learn more or read our SmartyPig savings account review.
Advancial – Money Musketeers – The Advancial Money Musketeers account offers a creative tool to help children learn about saving at a young age in a fun environment. Children 12 years and younger can get started with a small $5 deposit. Children earn points for every $5 in deposits made to the account. The points can then be redeemed for different prizes in the online treasure store. Quarterly rewards are mailed to club members who actively make deposits. The Money Musketeers account offers great encouragement for children to learn to save money as well as provides helpful information for adults.
USAA Youth Savings – USAA (United States Automobile Association) offers a youth savings account to help children start saving early. This account has no monthly fees associated with the balance on the account, nationwide ATM’s for withdrawing money, account access from smart phones and features that allow you as the parent to give your child more or less control of the account. Parents have complete control of the child’s account and can transfer money in and out as needed. The account requires a minimum of $25 to open. Parents can also register their kids for my.usaa.com which helps them learn the basics of budgeting and spending.
U.S. Bank – Star Savers Club - U.S. Bank offers the Star Savers Club option for savers under the age of 17. This is an FDIC insured account with no monthly maintenance fees and free ATM withdrawals. The account can be started with a small initial deposit of $25. It’s automatically converted to a standard savings account when the child turns 18. You can apply by calling U.S. Bank at 1-800-720-Bank or by visiting a location in your area.
ViewPoint Bank Kid’s Club Savings - These accounts are for children of age 18 and under and require a $25 minimum opening deposit. These accounts are FDIC insured and come with a .05% APY for balances with a minimum of $100. Every time your child makes a deposit of at least $10 to their Kids Club Account, the teller will place a stamp on their savings record with a ViewPoint Stamp. Once your child has saved ten stamps, they may redeem their savings record for one $5 gift card.
Affinity Credit Union Savvy Saver Account - The Savvy Savers Account is meant for kids 12 and younger. If the child is already a part of the Affinity Credit Union then a $.0.25 deposit will be required. If the child isn’t a member then you must also open a normal Affinity Savings account that requires a $5 initial deposit. Once a child turns 13 the account will be closed and the money will be transferred into the normal Affinity Savings account. These accounts require a parent or guardian as part of the joint account and the APY is .10%
Amegy Bank Young Savers - This is a FDIC insured bank that offers a Young Savers account for kids that comes with absolutely no minimum daily balance and no service charges or monthly fees. This account comes with an APY of .30% and is a great account for younger kids wanting to learn the importance of saving. A parent or guardian with valid ID is required in order to open this account.
Community Bank of Pleasant Hill KA$H - The acronym KA$H stands for Kids Achieving Superior Honors. This is a club where every “A” you get on one of your report cards gives you a shot at winning cool gifts every quarter. Not only that but you’ll also be entered into the grand prize draw for an even bigger prize. In order to qualify, a parent, student or grandparent needs to be a customer of the bank. The student or the customer will also need to present the official report card to the bank in order to qualify for entry. This program is eligible for students as high as 8th grade.
University Federal Credit Union Teen Savings - This teen savings credit union account is ideal for children ages 13-17, those want to begin building their financial history but don’t want to pay a high minimum opening deposit fees (it costs only $5) or any monthly balance fees. These accounts are insured by the National Credit Union Administration for up to $250,000 and come with a .25% APY. You must have a parent or guardian who is at least 18 years old and has valid identification in order to open an account.
Jacksonville Bank Youth Savings - This Jacksonville bank saving account requires a $50 minimum opening deposit and has no monthly charges or maintenance fees. These accounts are FDIC insured and the account holder must be under the age of 18 in order to qualify. In order to open an account you or your joint account holder must provide a SSN, home address and driver’s license.
American Bank Young American Statement Savings - This a special account for children under the age of 17 that comes with free checking and complete 24/7 instant online account access. There is no minimum opening deposit or minimum monthly balance required and it comes with a .25% APY. You need a parent or guardian with valid ID to apply for this account.
First National Bank (PA) Youth Savings Account - This is a FDIC insured youth savings account that comes with a .15% APY and has no minimum opening deposit or monthly service fee. These bank accounts are great for young kids looking to learn fiscal responsibility and require a parent or guardian with valid ID in order to open an account.
Kaiser Federal Bank Youth Savings Account - This youth savings account makes online savings easy and comes with a $100 minimum opening deposit and no monthly service fees. These accounts are FDIC insured and have a .15% APY. In order to open an account you need to have a parent or guardian over 18 years old with valid ID.
Southern Community Trust and Bank Minor Savings Account - The Minor Savings account is FDIC insured and has no opening deposit minimum and no monthly maintenance or service fees. With this account you are allowed nine free withdrawals each quarter. If you go over this amount you’ll be subject to a $3 fee for each further withdrawal. In order to open this type of account you need to be younger than 18 years old. These accounts will convert into regular classic savings accounts once the account owner turns 18.
Velocity Credit Union Cosmic Teen (Youth Savings) - This is a credit union teen savings account that is FDIC insured and offers a .50% APY. The Cosmic Teen Youth Savings account has no fees and no minimums making it ideal for teenagers. These accounts are available to teenagers from 15 years old to 17 years old and require a guardian or parent to be one of the joint owners on the account.
Airbanking Junior Air Savings - You can set up your child with this Junior Air Savings bank account with a minimum deposit of only $5.00. It will earn an APY of 4.00% on any balances that are up to $1,000 with an APY of 1.10% for balances of $1,000 and larger. A parent or a guardian is required when opening this account and this account must be accompanied by an adult account. Junior Air Savings accounts feature easy mobile banking along with access to banking online and are FDIC insured. The person holding the account is given six free withdrawals each cycle; however, when more than six withdrawals occur a fee of $5 will be assessed.
North Country Savings Bank North Country Kids Savings Account - The North Country Kids savings account is a FDIC insured bank account that comes with .30% APY and requires a $5 minimum deposit to open an account as well as a $5 minimum balance to keep it active. A parent or guardian with valid ID is required to open up this type of account.
Bank of America Custodial Savings Account – Bank of America offers a custodial savings account for kids that can be started for as little as $25. They provide online banking service and the account is FDIC insured. As with any custodial savings account, children can’t access the funds until they reach the specified age for your state. The interest is reported on the youngsters SSN. The parent can access funds via Bank of America ATM’s and at banking centers. You won’t see as high of an interest rate with this account as with an online account, but it’s still a good account to consider.
