In today’s technology driven world, online and mobile banking tools have shifted the ways that we teach our teens about money management.
When it comes to preparing your teens to open their first checking account, here are a few tips to help them manage and keep them engaged:
Mobile and Online Banking
Today’s teens are more likely to adopt their own combination of mobile and online banking for managing their money. Fortunately, mobile and online banking tools make it easier than ever to teach teens how to responsibly monitor their accounts.
Real Time Awareness: The days of waiting for a monthly statement to arrive in the mail in order to balance the checkbooks are over. Today, thanks to mobile and online banking, we can track every deposit and payment in real-time and balance our checkbooks on the go. Teach your teen to keep an eye on their spending and always be aware of their balance and the outstanding payments that haven’t yet been processed through their account. Because teens tend to be tech-savvy and familiar with app-based applications, this is something most of them will find natural.
Text Alerts: Most mobile banking apps, including Alabama ONE’s include the option to set text alerts to notify you of a low balance or large withdrawal to your account. This is a great way for teens to stay on top of their accounts, even when it may not be on top of their minds.
Use Financial Resources to Teach Saving and Money Management: There are lots of great apps out there to help manage money, set savings goals, and learn about financial wellness. These services are great for getting teens organized and used to a routine when it comes to planning and tracking their spending. At Alabama ONE we offer KOFE (Knowledge of Financial Education) a free online resource that provides a variety of learning tools designed to broaden your knowledge of key money topics such as: budgeting, managing credit, and saving.
Debit cards offer convenience without the hassle of cash or checks, but it’s important that your teens understand how they work.
Transaction Times: Teach your teens that debit card payments come out of their checking account balance, and sometimes those transactions can take a few days to clear their account.
Security: It is critical to make your teens aware of the risks, and teach them to keep their PIN and card number private, and as secure as possible.
Alabama ONE App: At Alabama ONE we offer the Alabama ONE mobile app to manage your checking account, allowing you to set spending limits on debit card transactions and receive text alerts on your mobile device.
So when it comes to teaching your teen about money in a technology-driven world, Alabama ONE has you covered! Our new Next Step Teen Account offers tech savvy features for your tech-savvy teen. It’s easy to use and fast to set up. Open your account today!