Best Banks for Families with Kids

These banks keep fees and balance requirements to a minimum, making them suitable for parents and children alike.

teen worker in juice bar
(Image credit: Getty Images)

Ally Bank

Why it won: With high interest rates, minimal fees and no minimum deposit or balance requirements, Ally’s bank accounts are friendly for all age groups. 

Standout accounts: The free Interest Checking account reimburses up to $10 monthly in out-of-network ATM fees, and the 18-month High Yield CD recently offered a 4.8% rate. 

All of the deposit accounts from online bank Ally Bank are free of monthly fees and minimum-balance requirements, making them accessible for students or young adults who may not have significant funds to deposit. Children younger than 18 can’t open an Ally bank account, but parents or guardians can open custodial accounts on behalf of minors and transfer the accounts to them when they reach the age of majority (typically 18 or 21, depending on the state). 

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Ally’s Interest Checking account yields 0.25% on balances of $15,000 or more or 0.1% on smaller balances. The Savings Account recently yielded 3.85%, and the Money Market Account offered a 4.15% rate. Besides its High Yield CDs, Ally also offers a No-Penalty CD, which charges no penalty for early withdrawals and recently yielded 4.25% with an 11-month term.

Capital One

Why it won: Capital One offers dedicated accounts for kids and teens with tools to help parents manage the accounts—and adults have some appealing options, too.

Standout account: The free MONEY Teen Checking account requires no minimum balance or monthly fee. 

Where it is: Accounts are internet-based, but Capital One has nearly 300 branches in several eastern and southern states and Washington, D.C. 

Available to children and teens age 8 and older, MONEY Teen Checking allows kids the freedom to use a debit card and manage the account with online tools. But as joint account holders, parents can monitor the account online and set limits on debit card purchases and ATM withdrawals. The free Kids Savings Account yields 0.3%. 

For adults, the free 360 Checking account is worth a look, offering a 0.1% yield and free access to more than 70,000 in-network ATMs. The no-fee 360 Performance Savings account recently yielded 3.9%, and 360 CDs offered rates as high as 4.75% for an 18-month or two-year maturity.  

Lisa Gerstner
Editor, Kiplinger Personal Finance magazine

Lisa has been the editor of Kiplinger Personal Finance since June 2023. Previously, she spent more than a decade reporting and writing for the magazine on a variety of topics, including credit, banking and retirement. She has shared her expertise as a guest on the Today Show, CNN, Fox, NPR, Cheddar and many other media outlets around the nation. Lisa graduated from Ball State University and received the school’s “Graduate of the Last Decade” award in 2014. A military spouse, she has moved around the U.S. and currently lives in the Philadelphia area with her husband and two sons.