4 Best Teen Checking Accounts of 2020

Pays interest? Yes. Alliant’s teen checking account, available to kids ages 13 to 17, pays a competitive 0.45% annual percentage yield.

 

Requirements to earn interest: To get this rate, you have to enroll in free electronic statements and receive at least one electronic deposit a month of any size; it can include a transfer from a non-Alliant bank or credit union.

 

Overdraft policy: There is a $25 nonsufficient funds fee for each overdraft, even if you have more than one in a day. Some banks cap the number of daily charges.

 

ATMs: Alliant has over 80,000 surcharge-free ATMs nationwide.

 

Features: This account has a debit card for teens, no monthly fee or minimum deposit, and mobile banking, including check deposit.

 

How to open an account: The account must be held jointly with a parent or guardian who is an Alliant member. Membership is easy, however; new members can support Alliant’s partner charity, and Alliant will make a one-time donation of $5 to the charity on your behalf, which makes you eligible to apply if you don’t otherwise meet the broad requirements. Once one person gains membership, immediate family members are eligible to join.

Pays interest? Yes. Capital One 360’s Money account comes with a 0.20%  APY.

 

Requirements to earn interest: None. The account earns interest on all balances.

 

Overdraft policy: Capital One’s account disclosure doesn’t list any overdraft fees and touts that it has zero fees in general. Transactions that overdraw the account can be declined.

 

ATMs: The bank has over 39,000 free ATMs as part of the Capital One and Allpoint ATM networks.

 

Features: The Money account offers a teen debit card and mobile app with the ability to deposit checks. There are no monthly fees or minimum deposits, and teens can sign up for text alerts and emails.

 

The online-only bank makes it easy for parents and their teenagers to track spending habits and work toward savings goals.

 

How to open an account: Each account must have an adult co-owner. Once a teen turns 18, he or she can roll over the balance into a regular Capital One 360 checking account.

 

The bank also offers a Kids Savings Account with a decent APY of 0.50%.

Pays Interest? No.

 

Overdraft policy: Wells Fargo charges a $15 nonsufficient fund fee per item. However, no more than two overdraft and/or returned item fees are charged per day. If you’re enrolled in overdraft protection with a linked savings account, Wells Fargo charges $12.50 per transfer.

 

ATMs: 13,000 nationwide.

 

Features: The teen checking account has online tools to pay bills, send money and check balances, as well as mobile alerts. Parents can review spending and withdrawals.

 

How to open an account: The Wells Fargo Teen Checking Account is available for ages 13 to 17 (in Alabama, ages 13 to 18). It must be opened with an adult co-owner, and it requires a $25 minimum deposit.

 

» Looking for something for a younger crowd? Browse the best savings accounts for kids

Pays Interest? No.

 

Overdraft policy: Golden 1 Credit Union charges $29.50 per overdraft, with a limit of six overdraft fees per day.

 

Options: A parent or legal guardian who is a Golden 1 member needs to sign as a joint owner until the child reaches age 18. Golden 1 CU has three checking accounts for minors:

• New Generation Checking has low ATM withdrawal limits that are based on age, so 13- to 17-year-olds who are just getting started with personal finance are less likely to go overboard with spending.
• Freedom Checking lets account holders make deposits and withdrawals without the presence of a parent or guardian. This option is for students who are 16 or 17 and maintain a B average or higher.
• Student Checking provides college students 17 and older access to over 30,000 Golden 1 and Co-op ATMs nationwide. After five years, this account converts automatically to a Golden 1 free checking account.

 

ATMs: 30,000 Golden 1 and Co-op ATMs nationwide.

 

Features: Offers a teen debit card, online and mobile banking and a free first box of checks. Checking accounts have no monthly fees or minimum deposits.

 

How to open an account: Must have a parent or legal guardian who is a member sign as a joint owner until the child reaches age 18. You can be eligible to become a member if you live or work in California or belong to a select employee group.