As teenagers start to become more independent and manage their finances, having a bank account is an essential tool for them. With so many options available, it can be overwhelming for both teenagers and their parents to choose the right one. In this article, we’ll take a look at some of the best bank accounts for teens to help them get started on their financial journey.
Best Bank Accounts for Teens
#1. Capital One MONEY Teen Checking Account
The Capital One MONEY Teen Checking Account is a great option for teenagers who are looking to manage their money independently. This account has no monthly fee, no minimum balance requirement, and it comes with a debit card that can be customized with the teenager’s name. The account also offers parental controls, so parents can monitor their teenager’s spending and set spending limits.
#2. Chase High School Checking
Chase High School Checking is designed specifically for high school students between the ages of 13 and 17. This account comes with no monthly fee, and it offers a $100 sign-up bonus. The account also offers mobile banking, which allows teenagers to check their account balances, transfer money, and deposit checks from their mobile devices.
#3. Bank of America Advantage Banking for Students
The Bank of America Advantage Banking for Students account is designed for college students, but it’s also a great option for high school students who are preparing for college. This account has no monthly fee for students under the age of 24, and it offers mobile banking, free online bill pay, and a debit card. The account also offers overdraft protection, so teenagers don’t have to worry about overdraft fees.
#4. Alliant Credit Union Free Teen Checking
The Alliant Credit Union Free Teen Checking account is a great option for teenagers who want to earn interest on their money. This account offers a 0.25% APY on balances of $100 or more, and it has no monthly fee or minimum balance requirement. The account also offers a debit card and access to online banking.
#5. Discover Cashback Debit
Discover Cashback Debit is one of the best bank accounts for teens who want to earn rewards for their spending. This account offers 1% cash back on up to $3,000 in debit card purchases each month, and it has no monthly fee or minimum balance requirement. The account also offers mobile banking, a debit card, and access to over 60,000 ATMs nationwide.
Which bank account is best for under 18?
There are several great bank account options available for individuals under 18. Below are some of the best bank accounts for under 18 teens:
#1. Capital One MONEY Teen Checking
The Capital One MONEY Teen Checking account has a low entrance threshold because there is no minimum balance requirement and no monthly service cost. By utilizing a debit card, children 8 and older can experience financial freedom. A parent or guardian may establish a lower limit than $500 per day for purchases and withdrawals.
More than 70,000 Capital One, MoneyPass, and Allpoint ATMs accept debit cards. Parents can lock and unlock the card at any time and receive activity alerts. Your child can transfer their balance and convert it to a standard Capital One 360 checking account at the age of 18. This combined account comes with two different mobile app logins, which is a bonus for teenagers and parents.
Importantly, this account prohibits spending by minors at specific merchants, including car rentals, bars, liquor stores, cigar shops, and several internet companies. Parents or guardians don’t need to be existing Capital One customers to open an account because MONEY allows you to link external bank accounts.
#2. Connexus Credit Union Teen Checking
APY isn’t often a strong point for teen checking accounts. Yet, it’s difficult to overlook the extremely competitive 2.00% APR that the Teen Checking account from Connexus Credit Union offers on balances up to $1,000. The APY can be obtained with no requirements. But, in order to open an account, you must be a member of the credit union. Fortunately, meeting the membership requirements is not too difficult.
Along with the APY, this account provides a number of additional benefits that start working the moment it is opened. There are 67,000 Connexus and non-Connexus ATMs that accept its debit card and don’t charge any fees for withdrawals. Also, account holders who have a linked account receive free overdraft transfers.
As a joint account holder, you can access the account using your separate digital bank account even though there are no specific account monitoring features or controls for parents or guardians. You can set up account notifications in this manner to keep an eye on and assist with managing the account.
This account will automatically convert to a Connexus Innovative checking account when participants are 18 years old.
#3. Chase First Banking℠
Chase First Banking gives parents or guardians who already use Chase checking more control over their teen’s finances thanks to its extensive set of features and capabilities. Youngsters with this account, ages 6 to 17, receive a debit card.
However, teenagers are free to create financial objectives and move funds at any moment. Parents can keep an eye on their children’s spending patterns, place restrictions on where and how much money is spent, and also approve or reject requests for cash. Via the mobile app, it’s also possible to set up monthly payments or give kids one-time chores and pay them.
This account has relatively low fees—neither a monthly fee nor an overdraft fee. Yet using an ATM that is not operated by Chase will cost you $3. There is no interest paid on this account. These features on Chase make it one of the best bank accounts for teens.
#4. Alliant Credit Union Teen Checking
Alliant Credit Union’s Teen Checking provides parental controls for keeping an eye on your teen’s activity, just like many other teen accounts. You, as a parent or guardian, can set up transaction alerts to monitor your child’s spending from the age of 13 to 17. ATM withdrawals are limited to $100 daily, while daily expenditure is restricted to $300. More than 80,000 fee-free ATMs are available to teens, and utilizing ATMs outside of their network will save them $20 a month in fees.
The APY on Alliant’s teen checking accounts is competitive. If your kid chooses electronic statements and receives at least one electronic deposit into the account each month, it offers APY on all balances. To open an account, you must be a credit union member, albeit there are certain flexible conditions. Teenagers may budget and make purchases using their mobile wallet thanks to the credit union’s well-rated mobile app.
What is the best bank to open a youth account?
There are several banks that offer great youth account options for minors. Here are some of the best banks to consider when opening a youth account.
- Capital One: Capital One offers a MONEY Teen Checking Account, which is designed for teenagers aged 13-17. This account has no monthly fees, no minimum balance requirements, and comes with a debit card. It also offers parental controls and the ability to monitor spending and set spending limits.
- Chase: Chase offers a High School Checking account, which is available to high school students aged 13-17. This account has no monthly fees and offers a $100 sign-up bonus. It also comes with a debit card and offers mobile banking features.
- Bank of America: Bank of America offers an Advantage Banking for Students account, which is designed for college students but also available to teenagers. This account has no monthly fees for students under 24 and offers online banking, mobile banking, and overdraft protection.
- Alliant Credit Union: Alliant Credit Union offers a Free Teen Checking account, which is available to teenagers aged 13-17. This account has no monthly fees or minimum balance requirements and offers a debit card and the ability to earn interest on balances over $100.
- Wells Fargo: Wells Fargo offers a Teen Checking account, which is available to teenagers aged 13-17. This account has no monthly fees and comes with a debit card. It also offers mobile banking features and allows parents to monitor their child’s account activity.
What bank is best for a 17-Year-Old?
The best bank for a 16 or 17-year-old will depend on the specific needs and preferences of the minor and their parents or guardians. Below are some of the best bank accounts for teens you should consider.
#1. Capital One
Teens can open an account with Capital One Financial (COF). The Money account has no fees and no minimum. Also, the account offers a dividend of 0.10 percent annually (APY).
Teens who are tech-savvy and dislike the inconvenience of branch-based banking can also benefit greatly from this account. You can use the Capital One app on a mobile device to open the account and perform common operations like check deposits and transfers. Parents who want to monitor account activity can choose to get text alerts for each transaction.
#2. Chase Bank
The target audience for Chase High School Checking is kids between the ages of 13 and 17. The JPMorgan Chase & Co. (JPM) account provides a comprehensive range of ways to keep tabs on account activity and balances, including mobile banking, online bill payment, and account alerts.
To link an account to the teen’s checking account, the bank requires an adult. The monthly service fee is waived for up to five years while a student if the account is later converted to a Chase College Checking account or if at least one direct deposit is made into the account each month.
#3. Wells Fargo
There are no monthly maintenance costs associated with the Wells Fargo & Company (WFC) Clear Access Banking account, which needs a $25 opening deposit. The account’s tools for managing money can be useful to teenagers. The bank also provides mobile access for everyday banking needs and fraud detection.
#4. Union Bank
For teenagers between the ages of 13 and 17, Union Bank (UNB) offers the Teen Access Checking account. It does not have a monthly maintenance fee and costs $100 to open.
The primary function of the account is for parents to establish daily withdrawal and spending restrictions on the included ATM or debit card. The account provides access through its bill-paying application, online banking website, as well as it’s mobile banking app.
#5.USAA
A $25 minimum deposit is required for the USAA Federal Savings Bank’s Youth Spending account, which has no maintenance fees.
In addition to overdraft protection with linked credit cards or accounts, the checking account gives adult account co-owners a range of choices to restrict spending, withdrawals, and transfers. The account offers both online and mobile banking. When the user reaches the age of 18, the account immediately upgrades to a no-cost Classic Checking account with no further monthly fee.
#6. Alliant Credit Union
Alliant Credit Union’s teen checking accounts come with online and mobile access, spending and withdrawal caps, and other features. The account’s APY of 0.25%, which is offered for accounts with paperless statements and at least one direct deposit per month, is its distinguishing characteristic. If a kid uses an ATM that is not in Alliant’s network, Alliant will reimburse up to $20 in monthly ATM fees. Moreover, a P2P mechanism for mobile payments is provided by the account.
#7. Citizen Bank
There are no monthly costs associated with opening a student account with Citizen’s Bank, a division of Citizen’s Financial (CFG), up until the age of 25. Together with online access and mobile banking, it offers a checking account experience that is comparable to joint checking accounts.
The benefit for teenagers is that the bank offers additional tools to help set goals and track savings for the purchase of a car, travel, or college when a savings account is linked to a checking account. These features make it one of the best bank accounts for teens.
#8. First National Bank and Trust
First National Bank and Trust Company offer a checking account targeted towards 16 and 17-year-olds with no monthly fees and a $25 opening balance requirement. The teen checking account comes with mobile banking, online access, and bill payment.
In Conclusion
There are plenty of great bank accounts available for teens who want to start managing their finances independently. When choosing the right account, it’s important to consider factors such as fees, parental controls, rewards, and mobile banking capabilities. By choosing the right account, teenagers can start building good financial habits early on and prepare for a successful financial future.
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