Yes, but your bank will require a parent or guardian to co-own the account

Most banks allow you to open a high yield savings account at 17, but they will not let you do it alone. You will need a parent or guardian to be a joint owner on the account. This means they can see the balance, make deposits and withdrawals, and manage the account alongside you — though many banks let you set it up so only you can withdraw your own money once you turn 18.

The reason banks require this is legal: at 17, you cannot sign a binding contract on your own in most states. A savings account is a contract between you and the bank, so the bank needs an adult to co-sign it. Once you turn 18, you can convert the account to your name alone, or open a separate account that is entirely yours.

High yield savings accounts at 17 work the same way they do for adults — your money earns interest at a rate higher than a regular savings account. The rate changes based on what the Federal Reserve does with interest rates, so the amount you earn will go up and down over time.

Key Takeaways

  • You can open a high yield savings account at 17 if a parent or guardian becomes a joint account owner with you.
  • The adult on the account can see your balance and make transactions, though some banks let you restrict their access once you turn 18.
  • Online banks and traditional banks both offer high yield savings accounts to minors, but the process and restrictions vary by institution.
  • You will need to bring a parent or guardian to the bank in person, or they will need to verify their identity online if the bank allows remote account opening.
  • When you turn 18, you can remove the adult from the account or move your money to an account in your name alone.

Which banks let minors open high yield savings accounts

Online banks are more likely to offer high yield savings accounts to minors than traditional brick-and-mortar banks. Banks like Marcus by Goldman Sachs, Ally Bank, and American Express Personal Savings all allow minors to open accounts with a parent or guardian. These online banks typically have higher interest rates than traditional banks because they have lower overhead costs.

Traditional banks — the kind with physical branches — often have high yield savings options for minors too, but they may call them by different names or have different rules. Some require you to visit a branch in person with your parent or guardian. Others let you open the account online if your parent verifies their identity through the bank's website or app.

Credit unions, which are member-owned financial institutions, also offer savings accounts to minors. Credit unions sometimes have lower interest rates than online banks, but they may offer other benefits like lower fees or easier access to a real person if you have questions.

What documents you and your parent will need

You will need to bring a government-issued photo ID — usually a state ID, driver's license, or passport. Your parent or guardian will need the same thing. Some banks also ask for a Social Security number for both of you, which they use to verify your identity and check your credit history (though having no credit history will not stop you from opening the account).

If you are opening the account online, the bank may ask you to take a photo of your ID and upload it, or to verify your identity through a video call. Your parent will do the same. The process usually takes a few minutes, though the bank may take a day or two to confirm everything before the account is officially open.

Some banks ask for proof of address, like a utility bill or lease in your parent's name. A few ask whether the account is for a minor and may request a birth certificate or Social Security card as proof. Call the bank before you go in or start the online process to ask exactly what they need.

How much money you can deposit and withdraw

There is no legal limit on how much money you can deposit into a high yield savings account at 17. However, banks have their own rules. Some banks set a minimum opening deposit — often $25 to $100 — and some set a maximum balance, though this is rare for savings accounts.

Withdrawals work the same way. You can withdraw your money whenever you want, though some high yield savings accounts limit how many withdrawals you can make per month without a fee. Federal rules used to require this, but those rules changed in 2020, so check with your specific bank about their withdrawal policy.

If your parent is a joint owner, they can also withdraw money from the account. Some banks let you set permissions so that only you can withdraw funds once you turn 18, but you will need to ask about this when you open the account.

What happens to the account when you turn 18

When you turn 18, you have choices. You can keep the account as it is, with your parent still as a joint owner. You can ask the bank to remove your parent from the account, making it yours alone. Or you can open a new account in your name only and move the money there.

Most banks make this process straightforward — you can usually do it online or by calling customer service. Some banks require you to visit a branch in person. There is no fee to remove a joint owner or to convert the account to your name alone.

If you want to keep your parent on the account after you turn 18, that is fine. Some people do this because they trust their parent to help manage their money, or because the account has benefits that require a joint owner. The choice is yours once you are legally an adult.

Why a high yield savings account makes sense at 17

Opening a high yield savings account at 17 means your money starts earning interest right away. If you have $1,000 in a regular savings account earning almost no interest, and you move it to a high yield account, the difference adds up over months and years. The exact amount depends on the interest rate the bank is offering, which changes based on what the Federal Reserve does.

Starting early also builds a habit. If you get used to putting money into savings and watching it grow, you are more likely to keep saving as an adult. You will also see how interest works in real time, which is harder to understand from reading about it.

High yield savings accounts are also safe. The Federal Deposit Insurance Corporation (FDIC) insures deposits up to $250,000 per person per bank, so your money is protected even if the bank fails. This makes them much safer than keeping cash under your mattress or in a regular checking account.

Frequently Asked Questions

Can I open a high yield savings account without telling my parent?

No. You will need a parent or guardian to be a joint owner on the account, and they will need to provide their own ID and sign or verify their identity. The bank will not open the account without this step, and your parent will receive statements and notifications about the account.

What if my parent wants to close the account or take the money?

Because your parent is a joint owner, they have the legal right to withdraw money or close the account. This is a risk of having a joint account. If you are worried about this, talk to your parent about setting boundaries before you open the account. Once you turn 18, you can remove them and move the money to an account in your name alone.

Do I need a credit card or credit history to open a high yield savings account?

No. Banks do not require you to have a credit card or any credit history to open a savings account. They may check your credit report, but a lack of credit history will not stop them from opening the account for you.

Will opening a high yield savings account affect my credit score?

No. Opening a savings account does not affect your credit score. Credit scores are based on borrowing and repaying money, not on saving. Savings accounts are not reported to credit bureaus.

Can I use a high yield savings account as a checking account?

Most high yield savings accounts do not come with a debit card or checkbook, so you cannot use them for everyday purchases the way you would a checking account. Some banks offer both a high yield savings account and a checking account together. If you need to spend money regularly, you may want both accounts — one for saving and one for spending.