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Some of the best bank accounts for teenagers

Some of the best bank accounts for teenagers

Whether you’re a young Australian looking for a bank account for their first job, or a parent hoping to teach their teenager financial literacy, it’s worth comparing your options when searching for a teen bank account.

Bank accounts for those under the age of 18 typically tend to be marketed towards children, with school programs like Dollarmites usually the first thing you find.

But as teenagers can apply for their first jobs as young as 14 and 9 months in New South Wales, and as young as 13 in Queensland, you may be in the market for a more sophisticated bank account.

There are a range of bank accounts available for teenagers. Let’s view some of the options available, and discover how to compare your options.

Bank accounts for teenagers on RateCity.com.au database

ProviderBank AccountMin.ageMax. ageMax. Interest rate
Bank FirstFirst Access

18

0.2%

Bank of MelbourneComplete Freedom for Students

14

21

0%

BankSAComplete Freedom for Students

14

21

0%

Community First Credit UnionStudent Starter

17

24

0%

IMB BankEveryday Unlimited Kick Start Account

13

30

0%

INGOrange Everyday Youth

15

17

0%

Newcastle Permanent Building SocietyEveryday Account (Under 25)

24

0.01%

P&N BankStudent Account

16

25

0.05%

QBANKTeen On-Call

13

17

0%

Queensland Country BankLearners & Earners All Access account

18

23

0.01%

Regional Australia BankeFree

14

25

0%

Regional Australia BankYouth Account

18

0.05%

St.George BankComplete Freedom for Students

14

21

0%

Suncorp BankEveryday Options-Student

18

0.01%

The CapricornianYouth Access Account

16

1.5%

WestpacChoice - Under 21's

21

0%

Woolworths Team BankBU (Being You) Account

18

0%

Source: RateCity.com.au. Data accurate as of 21/03/22.

How to compare bank accounts for teenagers

In terms of financial products on the market, bank accounts are some of the most straightforward out there. However, there are still ways that you may pay more in fees or other costs, so it’s worth comparing your options before you open an account.

  • Compare age limits

Bank accounts targeted to teens or children will always have a maximum age limit for applicants and in some instances, they may also carry a minimum age limit.

The bank accounts with minimum age limits may be designed to specifically target teenagers, as opposed to anyone under 18-21 years old. These accounts may see teenage applicants to pay fewer (or higher) fees than the providers’ other bank accounts.

If a provider has a minimum age limit for its bank account, it’s worth comparing the different “youth” accounts offered by a said provider to see how they differ.

  • Compare fees

As mentioned above, bank accounts may charge several fees to their teenage customers. This can include:

  • Account-keeping fees
  • ATM withdrawal fees
  • Direct debit dishonour fees
  • Over limit fees
  • Cheque deposit fees

If you’re looking for a more affordable option that won’t eat into your nest egg, it may be worth prioritising bank accounts that do not charge some or all of these fees.

  • Compare rates

Some bank accounts for teens may come with interest rates for their balances. These may carry conditions, such as meeting minimum deposit amounts or not dipping into the funds.

Generally speaking, the interest rates (if any) offered on bank accounts will not be as high as those offered on traditional savings accounts for teenagers. If you are interested in earning a return on your pocket money or savings, it may be worth comparing savings account options instead.

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This article was reviewed by Personal Finance Editor Georgia Brown before it was published as part of RateCity's Fact Check process.

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