As a parent, you play a significant role in building a solid financial future for your child. One of the first major steps toward independence is opening a checking account—a practical tool that teaches budgeting, responsibility, and smart money habits. Luckily, credit unions like Elements Financial offer accounts and resources to support every stage of their journey! Use this article as a quick guide to help your child set up their first banking account with confidence.

When Is Your Child Ready?

While there isn’t a one-size-fits-all answer for when your child should open their first checking account, it’s crucial that they grasp the basic concepts of money, such as earning, spending, and saving. These fundamentals will prepare them to handle accounts on their own. There are several reasons a child might be ready for a checking account: 

• They’ve started their first job. 
• They have specific financial goals.
• They’re managing an allowance.

Every household is different. Think back to when you opened your first checking account. What do you wish you had known? As a parent, you know your child best. Having an open conversation with them is a great way to determine when your child is ready.

What Are the Benefits?

A child with their own checking account may seem unnecessary at first, yet today’s banking options are designed to grow with them. Whether your child is entering middle school or high school, about to graduate, or even heading off to college, having a checking account can offer many perks:

1. Hands-on money management: They’ll learn how to keep track of their spending, use online banking tools, and truly understand where their money is going.
2. Convenience and safety: Having a debit card means that your child doesn’t have to carry cash, making their money accessible and more secure. 
3. Early financial responsibility: Learning to manage a checking account early builds financial confidence and strengthens skills like critical thinking and time management.

Need help finding the right starter account?

At Elements, we offer the Student Edge Checking Account tailored to youth, ages 10 to 24. Whether your child is living at home, away at college, or on their own for the first time, this account teaches students and young adults how to manage their money wherever they are. With Student Edge Checking, both you and your child can enjoy even more helpful benefits, like no overdraft fees and no minimum balance. Learn more.

Supporting Your Child

Teaching your child financial literacy doesn’t have to be overwhelming or complicated. In fact, one of the most effective ways to start is by giving them real-world tools – like their own checking account. Before you know it, they’ll be paying bills and managing money on their own.

Now is the perfect time to serve as a guardrail for your child as they navigate their financial responsibilities. Here are some ways you can continue to support your child after they’ve opened their account:

1. Monitor their activity: While full financial independence is the long-term goal, parents should stay involved early on. Consider setting up a joint account with your child so that you can monitor transactions and transfer funds, as needed. 

2. Hold them accountable: You can teach your child everything you know about money, but eventually, they will be making their own financial decisions. Let your child learn from their own choices while they’re young, and be there to guide them when they fall off course. 

3. Keep the conversation going: Financial education is ongoing – even with banking accounts, debit cards, and credit cards, we are all still learning. Encourage your child to ask questions, continue to support them, and celebrate every financial milestone along the way.

Have questions or need trusted advice? Our credit union experts are always here for you. Contact Elements Financial for support in all aspects of your financial life.