Teaching Your Kids the Value of Saving: Opening Their First Savings Account

The value of saving is something that every parent should teach their children at a young age. But why so early? The principle of ‘the sooner, the better’ is crucial when financial education is involved. Early lessons in financial literacy give your kids the tools and resources they need to become financially secure in the future.

Opening a savings account in your child’s name could be the first important step towards introducing them to the banking system.

What is a savings account for kids/children/minors? 

A savings account for minors is for individuals below the age of 18. These accounts help them learn about managing money, compound interest, budgeting, investments, and achieving saving goals. They offer kid-friendly features such as lower fees, easy access, interactive banking tools, and educational resources.

The Indus Young Saver Account by IndusInd Bank has been designed exclusively designed for kids. It offers features customised to young savers, like nominal fees, a personalised chequebook with a debit card, and valuable educational tools.

You can operate the Indus Young Saver Account as a joint or custodial account:

• Children aged 10 years or above can manage the account themselves.
• In case of an “Under Guardian” account, the parent will manage the bank activities.

Open a savings account with IndusInd Bank today! Give your kids a customised savings account and help them become financially responsible.

Choosing the best saving account for kids and teens | What to look for?

Let’s look at what makes a child savings account best for young savers:

5. Interest rates: High interest rates can make saving more rewarding for kids by offering more growth on their deposits. It can help them prioritise prudent saving over unnecessary spending.
6. Educational tools: Many savings accounts offer educational resources and tools to teach kids about money management in an engaging manner.
7. User-friendly online and mobile banking: Digital banking platforms help kids pay online, check their balance, transfer funds, use budgeting tools, book fixed deposits, and perform various activities. Such online convenience can help them develop good financial habits that last a lifetime.
8. Spending limit feature: An account that lets you set limits is crucial for teaching kids financial discipline. It helps them learn budgeting, avoid overspending, and prioritise needs over wants.
9. Rewards: Choose a savings account for minors that offers rewards. Rewards, such as discounts, certificates, or access to educational workshops, can inspire kids to work more enthusiastically towards their saving goals.

How to teach your kids the value of saving through a savings account | Tips

Here is how you can use a bank account to teach your kids the value of savings:

Plan for your children’s future with a savings account

The experiences kids have with money in childhood shape their behaviour as adults. So, open a minor savings account today and invest in your child’s future. As they grow, so will their knowledge about saving, spending, budgeting, and investing.

As parents or guardians, your involvement also matters. Research well to choose the best savings account for kids, promote regular saving habits, teach them smart banking practices, and supervise their progress. Start this journey now and watch your kids.

Disclaimer: This article contains sponsored marketing content. It is intended for promotional purposes and should not be considered as an endorsement or recommendation by our website. Readers are encouraged to conduct their own research and exercise their own judgment before making any decisions based on the information provided in this article.