How To Open A Bank Account For A Child

18 Dec

At Broken Hill Bank, we believe that teaching children about money management is crucial for their future financial success. Opening a savings account for your kids is an excellent way to start this journey. Let's explore how you can set your children on the path to smart saving and good financial habits.

Overview

Why Open a Savings Account for Your Child?
Our Kids Savings Account Options
How to Open a Bank Account for a Child
Transitioning Between Accounts
Making the Most of Your Child's Savings Account

Why Open a Savings Account for Your Child?

Financial literacy starts early. When children learn to save, budget, and understand the value of money, they develop crucial life skills.

Financial Literacy: A savings account introduces children to basic financial concepts, helping them understand the value of money and how interest works.
Goal Setting: Having their own account encourages children to set savings goals, whether it's for a new toy, a family holiday, or their future education.
Responsibility: Managing a savings account teaches children about financial responsibility and the importance of budgeting.
Future Planning: Starting to save early can help children prepare for future expenses, such as university costs or buying their first car.

Our youth and kids savings accounts are designed to make this learning process engaging, rewarding, and fun.

Our Kids Savings Account Options

At Broken Hill Bank, we offer two tailored savings accounts for young Australians:

Busy Bee Account (Ages 0-11)

Perfect for the littlest savers, our Busy Bee account is an exciting introduction to the world of finance. Key features include:

Deposit-only account
No account fees
Attractive interest rate
Monthly deposit rewards (after six consecutive months)
Perfect for teaching the value of saving

Super Youth Saver Account (Ages 12-17)

As kids transition into their teenage years, our Super Youth Saver account provides more independence:

Attractive interest rate
No account fees
Online banking access
Linked transaction account with a Visa debit card
Tools to set and track savings goals

How to Open a Bank Account for a Child

To open a bank account for a child, parents or legal guardians must first choose between two age-specific accounts: the Busy Bee Account (0-11 years) or the Super Youth Saver Account (12-17 years). The process requires filling out an online form, visiting the branch with your child, and providing necessary identification documents.

A child’s identification could be their birth certificate or passport if they have one.

Here's a detailed step-by-step guide to how it works:

For Busy Bee Account (0-11 years)

Parents or legal guardians must open the account
Complete the join us form on our website

This initiates the process and provides us with essential information.

Visit our branch at 2 Chloride Street, Broken Hill NSW 2880

Bring your child and the required documents:

Your child's birth certificate
Some form of identification of their parent/legal guardian

Meet with our team

Our team will guide you through the account opening process and answer any questions you may have about the terms and conditions of the account.

Set up the account

We'll create the account and provide all necessary information. For Busy Bee accounts, parents or guardians will manage the account.

For Super Youth Saver Account (12-17 years)

Your child can open the account independently

If your child already has a Busy Bee account it will automatically transition to a Super Youth Saver account when they turn 12.

Complete the join us form on our website

This initiates the process and provides us with essential information.

Visit our branch at 2 Chloride Street, Broken Hill NSW 2880

Your child will need to bring the following documents:

Government-issued identification, like a passport or birth certificate

Meet with our team

Our team will guide your child through the account opening process and answer any questions they may have about the terms and conditions of the account.

Set up the account

We'll create the account and provide all necessary information. For Super Youth Saver accounts, children aged 12 and above can manage their own account.

Transitioning Between Accounts

As your child grows, their banking needs will change. At Broken Hill Bank, we've made this transition seamless:

When a Busy Bee account holder turns 12, their account will automatically be converted to a Super Youth Saver account.
When a Super Youth Saver account holder turns 18, their account will be transitioned to an eCall Account, our adult savings account option.

Making the Most of Your Child's Savings Account

Once you’ve opened your child’s savings account, take a look at these tips to help your child make the most of their new account:

Set Savings Goals: Work with your child to establish both short-term and long-term savings goals. This could be saving for a special toy, a family trip, or even starting a fund for their future education.
Regular Deposits: Encourage your child to make consistent deposits, even if it’s just a small portion of their pocket money. This builds good saving habits and takes advantage of compound interest.
Track Progress: Use our online tools to help your child visualise their progress towards savings goals. This can be a great motivator!
Teach About Interest: Explain how interest works and show your child how their money grows over time when left in the account.
Reward Milestones: Consider offering small rewards when your child’s account balance reaches certain savings milestones to keep them motivated.

Ready to Get Started?

At Broken Hill Bank, we're passionate about more than just banking. We're committed to fostering financial wisdom from an early age, helping young Australians develop the skills and confidence to manage money effectively.

By opening a savings account for your child, you're not just providing them with a place to keep their pocket money; you're giving them the tools and knowledge they need to become financially savvy adults.

We understand that every family's financial situation is unique, which is why we offer personalised support and guidance. Our team is always here to answer your questions and help you get the most out of your child's savings account.

To begin, simply fill out our online join us form or visit our branch at 2 Chloride Street, Broken Hill. Our friendly staff will guide you through the process and help you choose the best account for your child's needs. Remember, it's never too early to start teaching your children about money.

FAQ

What are the age requirements for opening a savings account for my child?

To open a savings account for your child at Broken Hill Bank, the age requirements are as follows:

Busy Bee Account: Available for children aged 0-11 years. Only parents or legal guardians can open this account on behalf of the child.
Super Youth Saver Account: Designed for children aged 12-17 years. Children in this age group can open and manage their own accounts independently.

Once a child turns 12, their Busy Bee account will be automatically converted to a Super Youth Saver account.

What documents do I need to open a savings account for my child?

To open a savings account for your child at Broken Hill Bank, you will need the following documents:

For the Busy Bee Account (ages 0-11):

A copy of your child's birth certificate.
Identification from the parent or legal guardian.

For the Super Youth Saver Account (ages 12-17):

A copy of your child's birth certificate

Make sure to bring these documents when you visit our branch to complete the account opening process.

Are there any fees associated with a child's savings account?

No, there are no fees associated with a child's savings account at Broken Hill Bank. Both the Busy Bee Account and the Super Youth Saver Account are fee-free, allowing children to save without incurring charges.