How to Open a Bank Account for a Minor

Bank accounts for minors can build financial literacy before kids are old enough to earn income. These accounts offer a safe and practical way for children to learn about saving, spending and budgeting.

Many accounts for minors feature built-in parental controls, allowing you to set limits, oversee financial activity and guide your child toward healthy financial habits. If you’re ready to open an account, here’s how to do it in a few simple steps.

Types of bank accounts for minors

Many banks and credit unions recognize the importance of practicing money management at an early age, offering checking and savings accounts specifically designed for users under 18.

• A savings account is typically the starting point for financial education, introducing the fundamentals of saving money and the concept of earning interest. These accounts can be great for long-term goals, such as saving for a first car.
• A checking account teaches more hands-on, day-to-day skills. Often paired with a debit card, this type of account allows minors to learn about budgeting, making purchases and tracking spending — all under controlled conditions.

Bank accounts for minors, regardless of account type, may be structured in one of two ways:

• Joint accounts: With joint ownership, the account gives both the child and the parent or guardian equal control. Parents can still monitor transactions, set spending limits and receive alerts about account activity, but the child can also make deposits and withdrawals.
• Custodial accounts: With custodial accounts, the account owner is the minor, but the guardian is responsible for the account, meaning the child cannot access money without the guardian’s consent. This restriction remains until the child reaches the maximum age in their state, typically between 18 and 21, at which point they receive full account ownership and control.

How to open a bank account for a minor

Opening a bank account for a minor is a fairly straightforward process. While requirements may vary slightly between banks, the general steps are usually the same. Here’s how you can open a checking or savings account for your child.

1. Compare banks and credit unions

If you already have all of your bank accounts in one place, it might make the most sense to open your child’s bank account at the same financial institution. However, exploring options with other banks and credit unions is always a good idea. You might find that another institution offers an account that is better suited for your child’s age and financial goals.

For example, some banks offer savings accounts for kids who are just getting started with money management, while others offer checking accounts designed for older children and teenagers. As you compare accounts, pay attention to the following factors.

• Fees: Look for accounts with no monthly maintenance or overdraft fees. These can quickly chip away at your child’s savings. Many accounts aimed at minors and young adults have minimal fees, however.
• Minimum balance: Some accounts require a minimum opening deposit or ongoing balance to avoid monthly maintenance fees. Accounts for minors often have low or no minimum balance requirements, but be sure to check before opening an account.
• Branch and ATM access: Consider how easily you and your child can access the money. A wide network of fee-free ATMs and conveniently located branches can be helpful, especially when you’re teaching banking fundamentals.
• Interest rates: Some youth savings accounts earn interest. Interest-bearing accounts can be a great way to demonstrate the power of compound interest, but rates vary between financial institutions.
• Account features: Parental controls and other account features may vary. Depending on the account, you might be able to set spending limits, get notified about transactions and access additional resources, such as guides to help teach children about money.

Keep in mind that while online banks sometimes offer higher interest rates than brick-and-mortar financial institutions, a bank with branch locations nearby can allow your child to practice basics like interacting with bank tellers and using an ATM.

2. Gather paperwork and information

To open a bank account in your child’s name, you’ll need to be prepared with certain paperwork and information. Requirements can vary but generally include:

• The minor’s name, date of birth and Social Security number
• The minor’s birth certificate, passport or driver’s license (depending on their age)
• The parent or guardian’s Social Security number
• The parent or guardian’s valid photo ID, such as a driver’s license or passport
• Proof of address, such as a recent utility bill or financial statement
• Contact information, including a phone number and email address

Depending on the bank and type of account, you may need to visit a physical branch location to open an account, though some financial institutions allow you to open accounts online.

3. Set spending limits and other restrictions

Now that you’ve opened a banking account in your child’s name, it’s time to set it up. This includes downloading the bank’s mobile app and taking advantage of online banking tools, which may allow you to customize spending limits and account alerts to monitor your child’s activity.

Accounts designed for minors under the age of 13 typically offer the most options for parental control, while accounts for teens and young adults often have fewer restrictions. You may be able to begin your child’s financial education with a starter account, and then graduate to a student or teen account when your child is old enough to manage withdrawals, transfers and other banking tasks on their own.

4. Make an initial deposit

Last but not least, you’ll need to fund the checking or savings account with an initial deposit. Some banks set minimum deposit requirements, while others are more flexible. For youth accounts, minimum deposits tend to be $25 or less.

However, it might be worth making a larger deposit to get your child started, especially if you’re opening an interest-bearing account. Often, the advertised rate on these accounts only applies if you maintain a certain balance, so make sure you’re depositing enough to meet that threshold.

Tips for managing a minor’s bank account

Opening a bank account for your child is just the first step. To build a strong foundation for their financial future, you’ll need to be actively involved and use teachable moments. Here are some additional tips for parents and guardians overseeing a minor’s bank account:

• Incorporate bank stops into your routine: Make visiting the bank or ATM with your child a regular habit. This might mean depositing money together on the way home from school or while running errands.
• Set savings goals: Help your child set specific financial goals, whether it’s saving for a new toy, a video game or a bigger item, such as a first car. Then, break these goals into smaller, manageable targets so your child can see their progress over time.
• Provide incentives: Consider offering incentives to encourage saving. For example, you could match a portion of your child’s deposits. Doing so not only boosts the amount in savings but also teaches your child about the power of compound growth. You could also tie deposits to chores or academic achievements.
• Review bank statements together: When bank statements arrive, go over them with your child to help them understand where their money is going and whether they're on track to meet their goals. Use this as an opportunity to teach them about interest, budgeting and other money management skills.