Opening a savings account to save for children is one way that parents teach financial responsibility to their family. Children can better understand financial matters later in life by learning the value of saving.
The following tips will help you set up an account to start saving for your child.
Teaching your child the value of saving money is an important lesson to start on day one. In fact, children as young as three years old understand the concepts of saving, spending and sharing. Research shows that opening a savings account to save for a child can create benefits later in life too.
First, it is important to understand the different types of savings accounts that are available for children. Laws on accounts for minors vary from state to state.
An example of a savings account option available for children is the Uniform Transfers to Minor Act (UTMA) account. A child can make deposits with this account but only the custodian can make withdrawals.
Regardless of which type of account you choose to open, your children will benefit from learning to manage money through their savings account.
Opening an account to save for your child's future is easier than you might think. With Synchrony Bank, you can start saving in just a few clicks.
The deposit products from Synchrony Bank are secure and the FDIC insures our customers up to $250,000, per depositor, per insured bank, for each ownership category. Our online tools make managing money easier than ever, so you can bank on your terms.
Find Synchrony Bank online or call 1-844-345-5789 to open an account to save for your child today.
*ANNUAL PERCENTAGE YIELD (APY): All APYs are accurate as of .
APYs are subject to change at any time without notice. Offers apply to personal accounts only. Fees may reduce earnings. For Money Market and High Yield Savings Accounts, the rate may change after the account is opened. For CDs, a minimum of $2,000 is required to open a CD and must be deposited in a single transaction. A penalty may be imposed for early withdrawals. After maturity, if you choose to roll over your CD, you will earn the base rate of interest in effect at that time. The APY shown for CDs and IRA CDs is for a 60-month CD with a balance of at least $25,000. Click here for all CD rates and terms offered.