You can open a savings account for your child at most banks and credit unions, and the process takes about 15 minutes

A savings account for a child works the same way as an adult account — money goes in, earns a small amount of interest, and stays there until you withdraw it. The main difference is that you (the parent or guardian) control the account until your child reaches the age of majority, which is 18 in most states. You'll need to bring your child's Social Security number, a form of ID for yourself, and proof of your address. Some banks let you open the account online; others require you to visit a branch in person.

The bank will ask whether you want a custodial account (where you have full control) or a joint account (where your child's name appears alongside yours). For young children, custodial is more common. You'll choose how much to deposit to start — many banks have no minimum, though some require $25 or $100. That's it. Your child now has a place to save.

Key Takeaways

  • You need your child's Social Security number, your ID, and proof of your address to open an account at a bank or credit union.
  • Custodial accounts give you full control until your child turns 18; joint accounts let your child see the balance and sometimes make withdrawals.
  • Many banks have no minimum opening deposit, though some require $25 to $100.
  • Online banks often pay higher interest rates than brick-and-mortar banks, but your child won't have a debit card or the ability to visit a branch.
  • Once your child is a teenager, you can add them as an authorized user so they learn to manage money while you keep oversight.

What documents you'll need to bring

Bring your own government-issued ID (a driver's license or passport) and a recent utility bill, lease, or mortgage statement showing your current address. The bank needs these to verify who you are. You'll also need your child's Social Security number — the bank will ask for it even if your child is an infant. If you don't have your child's Social Security number yet, you can get one from the Social Security Administration office in your area, or request one when you register the birth at the hospital.

Some banks also ask for your child's birth certificate, though not all do. Call ahead to ask what the specific branch needs. If you're opening the account online, you'll upload images of these documents instead of bringing them in person.

Custodial accounts versus joint accounts

A custodial account is held in your child's name, but you are the custodian — you control all the money and all the decisions about it until your child turns 18. At that point, the account becomes theirs completely, and you lose access. Custodial accounts are the standard choice for young children because they teach saving without giving a child access to the money before they're ready.

A joint account has both your name and your child's name on it. You both can withdraw money, and your child can see the balance. Joint accounts work better for teenagers who are learning to manage money — they can make small withdrawals with your permission, and they see how interest accumulates. The downside is that your child can legally withdraw all the money without your permission once they're old enough to understand the account (usually around age 13 or 14, depending on the bank). Joint accounts also affect your child's credit if the account goes negative, though most savings accounts don't.

Ask the bank which option they recommend for your child's age. Most will suggest custodial for children under 13 and joint for teenagers.

Where to open the account: banks versus credit unions

Banks and credit unions both offer savings accounts for children, and the process is nearly identical. The main differences are in interest rates and fees. Large national banks (like Chase, Bank of America, or Wells Fargo) usually pay very low interest — sometimes 0.01% or less — but they have branches everywhere and online banking is straightforward. Credit unions often pay higher interest rates and charge fewer fees, but you have to be a member, which usually means living or working in a certain area or belonging to a particular group.

Online banks (like Ally, Marcus, or Discover) typically pay the highest interest rates on savings accounts — sometimes 4% or higher — but they have no physical branches, so you can't walk in with cash or talk to someone face-to-face. Your child also won't get a debit card. Online banks work well if you're comfortable managing everything by computer or phone, and if you don't need to deposit cash regularly.

For a child's first account, many families choose a local bank or credit union because it's easier to explain how banking works when you can visit a branch together, and because your child can deposit money in person as they get older.

Interest rates and why they matter for a child's account

Interest is money the bank pays you for letting them use your money. A savings account earning 4% per year will grow twice as fast as one earning 0.01% — the difference adds up over time, especially if you're saving for years. For a child's account, the interest rate matters less than it does for an adult's emergency fund, because the amounts are usually smaller. But if you're saving for college or a long-term goal, choosing a bank that pays decent interest can add hundreds of dollars over 10 or 15 years.

Interest rates change constantly, so don't choose a bank based on today's rate alone. Instead, pick a bank that's straightforward to use and has a reasonable rate, knowing that rates will shift. You can always move the money later if a better option appears.

Setting up the account online versus in person

Many banks let you open a child's account entirely online — you upload photos of your ID and your child's Social Security number, choose a password, and you're done within an hour. Other banks require at least one visit to a branch so they can verify your ID in person. A few banks require both you and your child to come in together, though this is less common for young children.

Online opening is faster, but in-person opening gives you a chance to ask questions and to bring your child along so they understand what's happening. If your child is old enough to understand, visiting the bank together and letting them see their account opened can make saving feel real and exciting.

What happens when your child turns 18

If you opened a custodial account, it automatically converts to a regular account in your child's name when they turn 18. You lose access at that moment — you can no longer see the balance or make withdrawals. The bank will send your child paperwork explaining this, usually a few weeks before the birthday. Your child should know this is coming so they're not surprised.

If you opened a joint account, nothing changes automatically. You both keep access unless one of you asks the bank to remove the other person's name. Many families have a conversation around age 18 about whether to keep the account joint or split it into separate accounts.

Frequently Asked Questions

Can I open a savings account for my child if I don't have a Social Security number myself?

Yes. You'll need an Individual Taxpayer Identification Number (ITIN) instead of a Social Security number. Bring your ITIN documentation and your ID to the bank. Some banks are more familiar with ITINs than others, so call ahead to confirm they can open an account for you.

Do I need to bring my child with me to open the account?

No. You can open a custodial account without your child present. Many parents open accounts for infants and toddlers without bringing them to the bank. If you want your child to be part of the experience, you can bring them, but it's not required.

What's the difference between a savings account and a money market account for my child?

A money market account usually pays slightly higher interest than a savings account, but it requires a larger opening deposit (often $2,500 or more) and limits how many withdrawals you can make per month. For a child's account, a regular savings account is simpler and more flexible.

Can my child have their own debit card for a savings account?

Most banks don't issue debit cards for children's savings accounts — the card would be in your name as the custodian. Some banks offer teen checking accounts with debit cards, which is different from a savings account. Ask the bank what options they have if you want your teenager to have a card.

What if the bank closes or goes out of business?

The Federal Deposit Insurance Corporation (FDIC) insures deposits up to $250,000 per account holder per bank. Your child's savings account is covered, so even if the bank fails, your money is protected. Credit unions have similar protection through the National Credit Union Administration (NCUA).