Most parents want to ensure their children have the best of everything. One way to do this is by helping the child build a solid financial foundation. In fact, this is something that should be at the top of any parent’s “to-do” list.
One of the best ways to help a child start on the path to financial stability is by teaching them how important it is to save money. To do this, consider opening your child a savings account from a quality local credit union, such as WECU. There are more than a few reasons to do this, with some of the top reasons found here.
Help Your Kids Understand the Basics of Money and Saving
Teaching a child the concept of money is no easy process. It is even more difficult in the modern, digital world. After all, most parents will pay bills online, deposit their checks using a mobile app, and use debit or credit cards for purchases. When a parent has a child fill up their piggy bank and then take it to the bank to be deposited, they are creating a teachable moment that will resonate with them for many years. Local credit unions that value financial education like WECU, take special care to offer programs specifically for kids, like their new First Step savings and checking accounts.
Teach Children How to Let Their Money Grow
Most kids are going to get excited when they begin to see their money growing in their bank account over time. This provides a rewarding and positive experience. It can also help a child see that there is no need to spend money just because they have it. They can learn to save up for a purchase that is important to them.
WECU’s First Step program makes it fun for kids to save money by offering unique incentives. First Step Checking members get access to an exclusive online community where you can unlock new and exciting challenges, earn points, and redeem them for gift cards at their favorite spots. This type of positive reinforcement is invaluable when trying to teach a child financial literacy and all the benefits that this offers. You can learn more about how to set up a First Step account and the perks of this program by making an appointment with WECU in person, by phone, or online.
Prepare for Financial Independence
As a child grows their savings account, they will learn that they do not have to rely on their parents or other adults to buy them everything they want or need. This is a valuable lesson that will prepare children for financial independence in adulthood. Also, when a child uses their own money for buying things or to save up for bigger items, they will learn the value of hardwork, patience, and dedication as they earn their way to their goal.
Currently, WECU is offering APY rates of 2.5% on the first $500 for First Step savings accounts along with 2.5% on the initial $250 for First Step checking accounts. Learn more about the program terms and conditions by visiting wecu.com/FirstStep. When it comes to learning about money, it is something that parents need to invest in early in their child’s life. This will help ensure they know how to manage money and why it is so important. Keep this in mind and use the tips here to see why opening a savings account for a child can be so beneficial.