Bank of America introduced a new solution to assist parents in guiding their children as they start their financial journey. SafeBalance Banking for Family Banking is a bank account designed to provide parents with tools and resources to help children develop healthy financial habits and manage their money through a secure and convenient digital platform.
“For many parents, it can be hard to find the right financial tools and resources that can also instill positive financial habits in their children,” said Mary Hines Droesch, Head of Product for Consumer, Business and Wealth Management Banking and Lending at Bank of America. “Family Banking offers the foundation young people need for managing money, with support for parents seeking to help their children on the path to financial health and independence.”
A recent Bank of America survey found 90% of parents believe they bear responsibility in teaching their children financial literacy and 61% start talking to their kids about money by the age of 10.
“Designed with the whole family in mind, Family Banking offers the convenience and safety features parents seek, along with knowledge-building tools that will help set their children up for a strong financial future,” said Holly O’Neill, President of Retail Banking at Bank of America.
Family Banking can be opened via Bank of America online banking or the mobile banking app and allows parents to maintain oversight of their child’s spending and supervise the account. Key features include:
- Intuitive digital experience:Â Allows a parent to open and add a child to an account, and offers an age-appropriate banking experience
- Financial literacy resources: Easy-to-understand Better Money Habits educational resources help parents have personal finance conversations with a child
- Child’s first debit card:Â When a child is ready for their first experience managing money or budgeting, parents can give them access to a physical or digital debit card
- Flexible parental controls:Â Daily spending limits, card lock/unlock features and real-time alerts act as guardrails and help teach responsible financial management
- Monthly maintenance fees waived: SafeBalance Banking® for Family Banking has no monthly maintenance fees while the child is under age 25
- Account ‘Graduation’:Â As a child’s needs become more advanced, parents can add them as an owner to the account when they determine a child is ready
Family Banking launched in select states (Connecticut, Maine, Rhode Island), with access expanded to additional states over the next three months, leading up to nationwide availability in December. The solution allows parents to open a banking account for their child and will expand to include other enhancements next year. The account is geared toward parents with children under the age of 16.
10 Years of SafeBalance Banking
Initially offered in 2014, SafeBalance Banking is celebrating its 10-year anniversary. This convenient, easy-to-use account has no overdraft fees and was designed to help clients manage their day-to-day finances. As of August 2024, SafeBalance Banking has grown to nearly 7 million accounts — including more than 3 million accounts held by youth and young adults. SafeBalance now represents nearly two-thirds of all new consumer banking accounts opened at Bank of America.
To learn more about Bank of America’s Family Banking resources for parents and their children, visit the website here.
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