Banks and Children: What's The Point?

southerndave

My son is at an age where as parents we believe he should have his own savings account to put his pocket money (which now has to be earned) as well as birthday and xmas gift money into. This is in part to teach him how to manage his money and to learn how banks and finances work and partly to learn the self-discipline required with managing money.

Most parent guides and websites and financial websites all recommend this course of action and certainly as parents we both remember opening the old blue-passbook Post Office accounts with some pride when we were younger.

So everyone it seems is agreed: a simple basic account for children is a GOOD THING.

So my question then is this: WHY is it so DAMN HARD to open such an account?

Nearly every bank we have been into or enquired requires that we make 'an appointment' to see a 'specialist advisor'. Most of these are booked up weeks if not months in advance and most are only open limited office hours, the precise time when most children are AT SCHOOL.

None of the banks and building societies we have visited seem remotely bothered if we opened an account or not. Some were utterly unaware of their own children's banking products. All want reams of ID information, paperwork and forms and the obligatory appointment.

Is all of this really necessary? Is this encouraging children to act wisely with their money? My son and I have come away disappointed and surprised at the lack of help offered, no nearer to opening an account and as a parent I am at a loss as to what to explain to him when he asks why?

So any ideas or opinions? Anyone else experience the same? Is this something for Martin to investigate? IN the meantime he'll keep his money locked up in his piggy bank which is at least grateful for it!

Wilkins

What about a Nationwide Smart Account:

http://www.nationwide.co.uk/products/savings/smart/features-and-benefits

My kids had these and they were easy to open and operate, though that was a few years ago.

butterflymum

Santander 123 Mini Current Account is also easy to open online and pays tiered interest, depending on balance. If you want to retain control, it can be opened as a 123 Mini (in trust). Think for the latter, the adult needs to hold a Santander Current Account too, but not for the former.

See:

http://www.santander.co.uk/csgs/Satellite?appID=abbey.internet.Abbeycom&c=Page&canal=CABBEYCOM&cid=1210609166115&empr=Abbeycomd&leng=en_GB&pagename=Abbeycom%2FPage%2FWC_ACOM_TemplateW2

and

http://www.santander.co.uk/csgs/Satellite?appID=abbey.internet.Abbeycom&c=Page&canal=CABBEYCOM&cid=1324568206368&empr=Abbeycom&leng=en_GB&pagename=Abbeycom%2FPage%2FWC_ACOM_TemplateW2

southerndave

Thanks. Nationwide was our first choice, staff did not know what the kids accounts were and never heard of the Smart account - they had to look it up on their own website and then didn't know how to open one and said we needed to see a special advisor......

The Santander one looks good for teens, but my son is too young for this product.

xylophone

http://www.hsbc.co.uk/1/2/current-accounts/under-18-bank-account

From age 7.

flynnf

hi there i also had the same problem opening accounts for my two kids, it was easily solved though when i rang looking to open these accounts after being told i could not have an appointments for weeks i told the adviser i had 25000 to put in their accounts to which the reply was hold on a second to see if any one was available, two accounts opened that afternoon with 100 pounds in each with the promise to transfer the rest of the funds at a future date which i keep forgetting to do. that was with the halifax who pays 3%

daveyjp

Walked into Skipton BS, seen immediately, left 20 minutes later with an opened a child savings account.

CKhalvashi

My DD's have accounts with both TBC Bank (Georgia) and HSBC (UK), and both have been absolutely briliant.

HSBC was done through our Premier/Commercial manager, but generally with them, you can just walk in and someone will see you ASAP.

CK

LittleMissGiggles123

I recently opened an account for my 13 year old for the same reason as you, to pay pocket money etc so she can budget herself each month.


I simply applied online (Santander). I then received emails from them requesting I send photocopies of ID for myself & for my daughter.


Less than a week after sending the ID I received confirmation that the account was set up & active.


My daughter received all information through the post & we've set it up now so she can login online to check her account balance etc.


She even has a bank card to withdraw cash or purchase items using the card.

nick1966

I have been looking a a Santander mini 123 (in trust) for my 8 year old. Has anyone any experience of opening one and is it as good as it looks?