Learning to properly manage your money as a young person can be hugely beneficial by giving you valuable skills for later on in life, as well as getting a head start on those savings and knowing where to put your money in order to get the most back from it! So here’s what you need to know…
Many banks and building societies will let children open current accounts from the age of 11, for example the Nationwide Flex One account, although some are restricted to those aged 16 or over. Many banks will let 16-year-olds apply independently but for children under 16, a parent or guardian will usually have to open the account in-branch with them.
Children’s bank accounts don’t have overdraft facilities, so this can be a safe way to learn the basics of financial management before moving on to an adult account. They also generally earn a small amount of interest and don’t have monthly fees attached – nothing to complain about there! These are all debit/ cash accounts. To get a credit card, you must be 18 or over.
A couple of tips…
> If you’re a student, use your student ID to get discounts!
> Start saving now –time is on your side! If you get into the habit of saving a certain amount of money each month now, it will quickly add up and if its earning interest this will be further increased.
> ALWAYS ALWAYS ALWAYS keep your passwords and pin number secret
For more helpful tips and advice go to: https://www.nomoredebts.org/budgeting/budgeting-tips/money-management-for-teens