Modupe Gbadeyanka
As kids move away from the conventional piggy bank to explore the bank, here are some key points to get them ready to open their first bank account.
Keeping money in the bank is generally safer than keeping it at home: it is consider safer to store money in the banks.
Banks usually have security guards, and governments also typically insure customers’ funds up to a specific amount.
You don’t lose your money when you deposit it: kids need to know that the bank is like the piggy bank on a much bigger scale. They still keep ownership of the money they put in the bank and that bank tellers and related workers will look after the money for them.
Banks offer multiple ways to work with money: Kids can work with their money in lots of different ways at a bank.
Probably, the most common options are savings and current accounts. Savings accounts are ideal even for the youngest children, but they are really exceptional for teaching long-term financial planning.
Parents also put money aside for their children in fixed deposit accounts. Kids also should know that education and other loans are available
Banking does not mean you have to go to a bank: In the past, people had to go to a physical location in order to complete the majority of transactions.
Now, teens are able to perform the bulk of banking tasks electronically through the Internet. An increasing number of banks are completely online.
Banks often do charge fees: Many banks offer great accounts for kids that are completely free, particularly in the area of savings accounts.
Depending on which institution, however, fees quickly can add up, ranging from ATM, overdraft, wire transfer, monthly maintenance and even balance inquiry fees.
