Best bank account for teenagers
Are you looking for a bank account for 11 to 18-year-olds? Latest Deals is here to help you find the best bank account for teenagers.
Best bank account for teenagers
One of the best things you can do for your kids is to teach them how to manage money at a young age. A bank account for teenagers can be an excellent tool to help you do that. Your kids will have enough freedom to learn about money while you are still in control.
These accounts are very similar to any other bank account, where you can pay money, make withdrawals and pay for things online or in-store. You are the one that chooses what type of card your kid will get, whether that’s a cash card that only allows withdrawals, or a debit card, that allows withdrawals as well as the ability to make payments in shops physically and online.
The main difference is that a bank account for teenagers doesn't offer overdrafts (or credit cards), so your kids won't be able to get into debt. When they have spent the money in the account, that’s it. This can help them learn how to budget to ensure they always have enough money when they need it and not spend everything at once.
In addition, if your kid is under 16 years old, you will need to accompany them to open a bank account. If they are over 16 years old, they can open one on their own. In both cases, proof of Ids and addresses will be required. Even if you open a bank account for teenagers online, most of them still need you to visit a branch to present some documents in person. Learn here how to open a bank account.
These accounts can be managed online via mobile banking apps or their banks' official websites. They can also be managed in person by visiting the nearest branch and over the phone. Depending on the account, the parents will have more or less control. Lastly, they can be opened with zero or very low deposits, usually free of charges or fees.
How do bank accounts for teenagers work?
They are just like "adult" bank accounts, but they don't come with overdrafts or credit checks. Usually, to open and use a bank account for teenagers, your kid needs to be over 11 years old. These accounts come with cards that allow them to withdraw money at ATMs and pay at shops and online shops.
Important things to know about the best bank accounts for teenagers:
- These accounts are free of monthly charges, and most high-street banks offer them.
- The parental control differs between these accounts. Some of them will allow you to control how much money your kid can spend and where they can spend it.
- If the card is lost or stolen, it's crucial to call the bank ASAP to deactivate the card. (It's important to tell this to your kid and let them know how to reach out to the bank in this case.)
- Most of these bank accounts will come with FSCS protection of up to £85,000 per financial institution. (It's important to check if the FSCS protects them before opening an account.)
- Most of these bank accounts will allow your kid to save money and earn interest over their savings. This interest is usually paid monthly.
Advantages of bank account for teenagers
There are some advantages when it comes to bank accounts for teenagers. Below we have listed some of them:
- Freedom: Your kid won't need to ask you for money whenever they want to buy something. You can make one monthly deposit into their account.
- Education: Your kid will need to learn how to manage their money to make it last all month. They also will be able to access online and mobile banking.
- Security: Your kid's money will be better protected in a bank account than as cash in their wallets.
- Debt-free: Your kid won't have access to any credit product, including overdrafts and credit cards.
- Independence: Your kids will be able to set up direct debits and standing orders and pay for bills like their cellphones.
What features can you get with bank accounts for teenagers?
If you're looking for a bank account for teenagers, there's a variety of features you can expect to see. Below we have listed some of them:
- Receive money into the account
- Pay by debit card in person, online or by phone
- Withdraw money at ATMs
- Set up automatic payments
- Manage the account online via the bank's website or mobile app
- Earn interest on your balance
- Pay by Apple Pay, Google Pay and Samsung Pay
- Daily withdrawal limits
- Access to cashback schemes
- Exclusive discounts
- Account tracking with text and email alerts (in some cases for both parents and teens)
How do you choose the best bank accounts for teenagers?
There are some essential points to keep in mind when you are going to choose one of the best bank accounts for teenagers:
How much interest do they pay?
If you are looking to teach your kid how to save money, getting a bank account for teenagers that pay a higher interest is better.
Is there any reward?
Some accounts come with rewards, such as exclusive cashback schemes and discounts.
Is the customer service kid-friendly?
An important point to keep in mind is how accessible the customer service is for kids. If your kid loses or gets their bank card stolen, they will need to be able to reach out to the bank. You must check with the bank first how that works and if it's accessible for your kid to do it independently.
How manageable is parental control?
If you want to have more control over your kid's banking activities, you need to get an account that offers that.
Do you prefer a traditional bank or a digital bank?
Most bank accounts for teenagers are offered by traditional banks such as Barclays, HSBC, NatWest, Nationwide, Halifax, Lloyds, TSB and Santander. But you can also get bank accounts for teenagers with challenger banks such as Monzo and Starling Bank. Learn more about challenger banks, also known as digital banks.
IMPORTANT NOTE: Ask your kid what they want. Usually, it's essential to feel like belonging during their teen years, and they want what their friends have. So it's important to talk to them about these bank accounts for teenagers and what their friends are using. You can also talk to other parents to ask for recommendations.
Best bank account for teenagers
Below you can see a selection of some of the most popular bank accounts for teenagers. It's essential to keep in mind that the best bank account for your kid is the one that works best for you and them.
Starling Bank Kite account
This account is aimed at kids aged from six to sixteen. The Starling Bank Kite account is built into your own personal Starling account, so you can see and control what your kids are spending. It will cost £2 per month, and you can also limit where the card can be used. Learn more about the Starling Bank Kite account here.
Starling Bank Teen account
Starling Bank offers a teen account for kids aged 16 or 17 years old with a Mastercard debit card to make payments. This account doesn't need to be associated with an adult Starling account. The most relevant feature of this account is that it comes with savings and paid interest. Learn more about the Starling Bank Teen account here.
HyperJar is free to use and needs to be linked to an adult account. You can set this account up for kids aged 6 to 17 years old. With this account, you can create jars of money that your kids can access with their cards. You can also apply spending caps to block them from spending everything at once. The disadvantage is that the money cannot be withdrawn from an ATM with the card, so your kid will be only able to use the card for shopping in stores and online. Learn more about HyperJar here.
Santander 123 Mini
Santander 123 Mini is a current account available for kids aged 11 to 17 years old. With this account, your kids will be able to save and be paid interest. The more they save, the better the interest rate will be. With this account, you can either get a cash card or a debit card. An advantage of this account is that there is a 15% cashback scheme with partnered retailers. Learn more about the Santander 123 Mini here.
TSB Under 19s (Best interest rate)
TSE Under 19s is a current account available for kids aged 11 to 18 years old. With this account, your kids will also be able to save and be paid interest. The biggest advantage of this account is that it comes with a discount for driving lessons and courses when your kid turns 18. It also works with Apple Pay for kids over the age of 13 and with Google Pay for kids over 16. Interest paid: 2.5% up to £2,500. Learn more about the TSB Under 19s here.
Lloyds Bank Under 19s
Lloyds Bank Under 19s is a current account available for kids aged 11 to 17 years old. With this account, you can also choose what type of card your kid will have access to, and it also comes with a Save the Change option. Once your kid turns 18, they can have access to a 15% cashback scheme. Interest paid: 0.5% up to £2,500. Learn more about the Lloyds Bank Under 19s here.
Halifax Expresscash is a current account available for kids aged 11 to 17 years old. This account comes with a Visa debit card. With this account, your kids will also be able to save and be paid interest. Interest paid: 0.5% up to £2,500. Learn more about the Halifax Expresscash here.
Nationwide FlexOne is a current account available for kids aged 11 to 17 years old. With this account, your kid can have either a cash card or a Visa debit card. They will be allowed to use Apple Pay, Google Pay and Samsung Pay with this account. Interest paid: 0.1% up to £1,000. Learn more about the Nationwide FlexOne here.
NatWest Adapt Bank Account (Good interest rate)
NatWest Adapt Bank account is a current account available for kids aged 11 to 17 years old. This account comes with a Visa debit card. The most significant advantage of this account is that it allows your kid to earn 1% interest on any credit balance in the account, which is calculated daily and paid monthly. Learn more about the NatWest Adapt Bank account here.
HSBC MyAccount is a current account available for kids aged 11 to 17 years old. With this account, you also have the option to open a Savings Account, and your kid will get a Visa debit card. Learn more about the HSBC MyAccount here.
Barclays BarclayPlus is a current account available for kids aged 11 to 15 years old. The account comes with a cash card or a Visa debit card, which Barclays allows you to personalise with a photo. Interest paid: 0.1% up to £1,000, 0.6% above. Learn more about the Barclays BarclayPlus here.
Monzo 16 - 17 account
The Monzon 16 - 17 account is designed for teenagers aged 16 or 17 years old. It offers some of the same benefits as an adult Monzo account, but with some restrictions. Learn more about the Monzo 16 -17 account here.