CSE offers Teen Checking accounts, which serves as an excellent introduction to the sometimes complicated world of banking. CSE is a good place to open your first checking account. Learning how to manage money at an early age can help set up children for a financially stable future. Getting children familiar with having a checking account is an important milestone.As teens grow, they are going to need to learn some other money basics, and that includes managing a checking account. Starting a checking account early for teens helps them better learn concepts related to money and can give them valuable practice in a safe environment.
To help parents manage their teen’s checking account CSE offers services like CardValet. Members have the option to set spending limits or receive online or mobile alerts if the balance is running dangerously low or if the spending limit has been exceeded. This feature is in everyone’s best interest, as it reduces the risk of loss funds and helps keep teens from mismanaging their money.
Here are 5 smart moves to help teens open and maintain a checking account:
Choose the right age. While many financial institutions allow you to open a checking account at age 13, the best time for your teen might coincide with other milestones, such as getting a part-time job or learning to drive. Look for signs that your teen is able to hold on to a wallet or purse and not lose a driver’s license.
Know what is avoidable. You will often find that student checking accounts have lower fees or none at all. For instance, students who open an account and are younger than 24 may not pay a monthly maintenance fee and are not usually required to hold a minimum balance. Check for features that will click with tech-savvy teens.
Set it up together. Walk your teen through the process of depositing money earned from jobs, birthdays, or allowances to the account. Place some in savings for later and some in checking for spending. While your child has watched you swipe your debit card for years, he or she may not fully understand how the transaction works. Explain that a debit card connected to an account is the same as cash.
Monitor activity. Once your teen grasps the basics of the transaction process, consider a strategy. CSE’s CardValet allows you to set parental controls. You decide when, where and how they use their debit card.
Make it a learning process. There is so much more technology available today than in the past. Teach them ways to protect their money. Always use privacy measures when shopping. Take a few minutes every day to check the account balance. Hang on to the receipt until the transaction goes through.
For more information about Teen Checking and CardValet call (337) 477-2000 today!