A current account for kids? That’s what the Nationwide Building Society has launched today. But before you raise your hands in horror, consider the benefits, for there are some.
The key benefit, as far as I’m concerned, is that it comes with a good deal of financial education behind it which is easily available online and through a phone app for teens and young adults.
Teaching children about the value of money is incredibly important, I believe, and is a subject I plan to return to. That’s especially in light of the growing amount of good resources available out there.
Teaching the next generation about how to use and respect money can help them avoid making the same mistakes as we did. I’m thinking particularly of the temptation of easy credit which most of my generation seems to have fallen foul of at some stage in their life.
I’m a parent of two teenage boys, so feel these issues very keenly, but we should all be aware of the importance of teaching kids about finances and the importance of budgeting.
Back to the Nationwide account. Its new FlexOne launched today actually seems a decent deal, not least due to the fact that it’s completely fee-free. That means no charges for withdrawing cash - even overseas - or making payments.
There’s also a linked instant access savings account which pays a relatively generous interest of 3.5 per cent.
There’s a Twitter handle - @YourFlexOne - so that youngsters can ask questions 24 hours a day, and there’ll also be special deals, such as 25 per cent off at Vue Cinemas for a year for two people.
That’s attractive enough in itself but as a parent my eyes are drawn to the promise of “a range of interactive and enjoyable educational support and tools”.
All kids accounts should come with an educational element, so well done the Nationwide for taking that notion seriously.
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