Bank Of America Introduces Account That Supports Parents To Teach Kids Financial Skills

Bank of America (BoA) has unveiled a new solution to support parents in helping their children start their financial journey. The bank’s SafeBalance Banking® for Family Banking offers parents tools and resources to teach their children healthy money habits in a secure digital environment. According to the bank, this account aims to simplify learning how to manage money for families.

Mary Hines Droesch, Head of Consumer, Business, and Wealth Management Banking at Bank of America, said many parents have trouble finding the right tools to teach their children about money. She explained that it is hard for parents to help their kids learn good habits like saving and spending wisely.

Family Banking Helps Kids Learn Basic Money Management

Hines noted that Family Banking gives children a basic way to learn how to handle their money. She noted that it allows parents to watch over their children’s spending and guide them so they can become better at managing money and grow independent in the future.

According to a recent Bank of America survey, 90% of parents feel it’s important to teach their kids about money, and 61% start talking about it before age 10. The survey revealed that introducing money topics at an early stage helps kids understand finances better.

Holly O’Neill, the President of Retail Banking at Bank of America, said Family Banking is designed for the entire family, giving parents the ease and safety they need. She noted that it also offers tools to teach children about money, helping them build a solid financial future.

BoA’s Platform Enables Parents To Easily Open Family Banking Account

Parents can open a Family Banking account through Bank of America’s online or mobile banking platforms. Parents can monitor their child’s spending and supervise the account. Features include a simple digital setup, financial literacy tools, a child’s first debit card, and flexible parental controls, Bank of America added.

Other features noted by the company include waiving monthly maintenance fees for children under 25 and the option for parents to add their child as an account owner when they are ready. According to the bank, this allows the account to grow with the child’s needs over time.

Family Banking has launched in some states, like Connecticut, Maine, and Rhode Island. Bank of America said the service will spread to more states in the next three months, with full access across the country by December. The account is meant for parents with kids under 16.

SafeBalance Banking, first launched in 2014, is now celebrating its 10th anniversary. Bank of America said the account was designed to help people manage their daily financial needs without overdraft fees.

The bank added that by August this year, SafeBalance Banking had nearly 7 million accounts, with over 3 million held by young people.