From Allowance to Accounts:

Preparing for your financial future is one of the most important things to learn when you’re younger. Continue reading to learn how you can educate your younger friends and family.

Why Should You Start Young?

Research suggests that financial education may be related to lower debt, higher savings, and higher credit scores. It also suggests that financial education could be linked to positive outcomes later in life, such as less debt and higher savings rates.

Teaching your children about money can give them a head start financially and help them prepare for their future.

How Do I Get My Child to Pay Attention?

Discuss the relationship between work and income.

Don’t be afraid to talk about how the money you earn comes from the work you do each day. Consider discussing with your child the impact that your earnings can have, such as choosing where to live or even something as simple as choosing which brand to purchase.

Help your child start their own small business, such as a lemonade stand or babysitting service, to teach them real-life financial skills. You can take it one step further and help your child set up a budget guide to show them where all their money is going.

Research age-appropriate resources.

There are lots of age-friendly finance books that teach all about the basics of earning, spending, saving, and borrowing. They explain these concepts in a kid-friendly way to keep them informed but entertained. Check out your local library for suggestions!

At Education First Credit Union, we offer a free online program with your membership, called Banzai. Banzai is a free, interactive tool that guides you through various financial topics and scenarios, digging deeper into how you can manage your money in smart and savvy ways. There are several different course options for all ages, including a Banzai Junior Course and a Banzai Teen Course.

Inform them of the dangers of scams

Make sure your child is aware of the financial dangers out there. It’s important for them to be able to recognize the difference between a scam and a real company. Showing them examples of scams on platforms they use daily will help them connect the reality of how common scams are.

Where Should I Start?

The best way to start is by opening a savings account for your child. At Education First, we have two different accounts: the Teen Advantage Club and the ABC Advantage Club.

The Teen Advantage Club

The Teen Advantage Club is specially designed for members between the ages of 13 and 17. To be a member of the Teen Advantage Club, you must first open a Primary Savings Account with a minimum opening deposit of $5, and then you have to deposit at least $1 into the Teen account. It's that easy!

For members between the ages of 16 and 17, we feel you are ready to take on more responsibility. (With a qualifying parent or legal guardian) The Account has some added features for you:

• ATM card for withdrawals only
• Shared Branching access
• Checking Account (with qualified co-signer)
• Annual Scholarship Competition

ABC Advantage Club

Our ABC Savings Account is designed for our young savers. Kids can be an ABC Advantage Club member until their 13th birthday. Here is how it works:

• The child must be a credit union member with a minimum of $5.00 in the Primary Savings Account.
• Members can earn Apple Bucks that can be used to “purchase” gifts.

Click here to learn more about these accounts.