Savings Account for 2 Year Old

[cmorris]

I counted out most of my 2 yo's money that was in his piggy banks. He has ~$120 (some bills, mostly coins). He loves saving his money and now that he has over $100, I'd like to open a savings account for him.

 

Here is the ideal situation:

No fees

No required deposits

Decent Interest Rate

 

I plan to keep putting his money in there, and later contributing to it. Since he is a minor, I want it to be solely in my name. That way, when he is older, he can't waste the money on something stupid.

 

So...where is the best place? I'm thinking Emigrant Direct American Dream Savings Account. It sounds like what I want, but there doesn't appear to be a lot of information on their site.

 

Suggestions? Thanks!

[Hwkdrvr]

One or two members of this board have had problems with Emigrant. Having said that, I have an ING Direct account setup for my 13year old daughter. I contribute two times a month and it is growing steadily. I hope to give her a little "starting out life" cash. Do a little research and I am sure you will not be disappointed with your choice. Good luck!

 

 

M.

[genseeker]

ING does have all you are looking for in the account. You do have to have a checking account to link the savings account to in order to make deposits and do withdrawls. Best thing I like about ING is it takes a few days to get the $$ out, unlike using a local bank. That way I am less likely to try and blow it on something stupid I can live without.

[Caglehead]

I agree with the ING account. They have a good interest rate, no fees, no minimum, etc. I also have a referral I can give you which would give you an extra $25 toward the account. Just email me at luvthmcwbys@yahoo.com

[nicnac]

I started an acct for my son a week before he was born...I use ING for his acct too. I have a certain amount taken out of my checking acct every payday that goes into his savings.

[cmorris]

The consensus seems to be for ING--I'll go with that. I'll need to go to CoinStar and get his change in bills and then deposit it in my checking account. So, probably by the end of the week, or next week, I'll start him an account.

 

And Caglehead, expect an email from me shortly! I have family visiting, so it'll be a couple days. Thank you so much!

[Caglehead]

Great!

[Athena53]

I'll need to go to CoinStar and get his change in bills and then deposit it in my checking account. 

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Coinstar takes 7.5% off the top! Go to the stationery section of a drugstore and buy coin wrappers. The bank where you have your checking account should be willing to accept your wrapped coins as a deposit.

 

Coin wrappers are a good idea anyway- I periodically throw my loose change in them and I have about $100 in my closet that I need to take to the bank.

[cmorris]

I'll need to go to CoinStar and get his change in bills and then deposit it in my checking account. 

<{POST_SNAPBACK}>

 

Coinstar takes 7.5% off the top! Go to the stationery section of a drugstore and buy coin wrappers. The bank where you have your checking account should be willing to accept your wrapped coins as a deposit.

 

Coin wrappers are a good idea anyway- I periodically throw my loose change in them and I have about $100 in my closet that I need to take to the bank.

<{POST_SNAPBACK}>

 

I didn't know it was THAT much! Thanks for informing me!

[headabovewater]

The consensus seems to be for ING--I'll go with that.  I'll need to go to CoinStar and get his change in bills and then deposit it in my checking account. 

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I third (or fourth) the motion for ING. It's nice and safe there and they have a great interest rate for basic savings accounts. As far as coinstar, I used to love it until I found the FREE coin machine thingy at Commerce bank (you don't have to be a member to use it.) Do you have a Commerce Bank near you? If so you could save the service charge that Coin Start charges. Good for you for starting a savings account for your child--I think that's wonderful!

[genseeker]

Most banks will give customers coin wrappers for free. I get all mine that way.

[cmorris]

I don't have a Commerce Bank in my state, but I'll give BofA a call about coin wrappers. Thanks everyone!

[sloozy8]

Here in San Antonio, the coinstar takes 10% right off the top. When I tried to go to B of A (Yes, I am a customer) they told me to go to the coinstar because they won't accept coins (they even restrict the amount of rolled coins they will accept). Luckily, I went to my other bank and they did it for free.

 

The irony of it is coins are a legal currency and for a bank to refuse loose coins chaps me.

[cmorris]

It would be easier for me if banks would accept lose change, but with 2 piggy banks full of coins, I totally understand. I also understand about banks restricting rolled coins, as odd as it sounds. Here's why:

 

Not everyone is honest. When I was 15, I worked at a small grocery store. Some people came in and asked to get cash for rolled coins. I agreed (store policy). Later, when I needed changed, I opened a roll of dimes--it was full of pennies. They had stuck a few dimes on each end, so I wouldn't notice.

 

People might also not put in all of the coins in the coin wrappers. Banks don't want to lose money, regardless of the amount.

 

It's an inconvenience, but it's one I understand.

[lbjones]

It would be easier for me if banks would accept lose change, but with 2 piggy banks full of coins, I totally understand.  I also understand about banks restricting rolled coins, as odd as it sounds.  Here's why:

 

Not everyone is honest.  When I was 15, I worked at a small grocery store.  Some people came in and asked to get cash for rolled coins.  I agreed (store policy).  Later, when I needed changed, I opened a roll of dimes--it was full of pennies.  They had stuck a few dimes on each end, so I wouldn't notice. 

 

People might also not put in all of the coins in the coin wrappers.  Banks don't want to lose money, regardless of the amount.

 

It's an inconvenience, but it's one I understand.

<{POST_SNAPBACK}>

 

You don't think banks count the coins?? I think they take the rolls, put them into a bag, and mark the amount. If the amount doesn't match up, your account will be adjusted.

 

BofA accepts rolled coins from me, but the most I ever turned in was about $50.

 

Once many years ago BofA accepted a bag full of lose coins. They took the bag, asked me how much I "thought" was in there, and then credited my account. The deposit was sent to some central location, counted, and then my account was adjusted (upward) to reflect the actual amount.

[GetOutOfDebt]

My bank (Compass Bank) has a big machine you just dump your coins in when you want to make a deposit. You then take the receipt it gives you, take it to the clerk at the counter, and your account is credited the amount you put in the machine. No money is taken out by the bank...

[dstsoror1991]

My son is 17 months and has had a checking account (no interest not to have to report to IRS) with BankOne since 1 month old. My husband and my name are joint owners on that account with him. We opened him an INGDirect account (hubby and I each have our own) linked directly to his checking account with my name as the custodial parent.

 

I also deposit any Upromise and Babymint monies into his account. Hands up to INGDirect.

 

Coinstar charges 8.5% here. I purchased an automatic coin counter, along with wrappers. BankOne has no problems accepting rolled coins.

[cmorris]

I have UPromise, but there is hardly anything in it--maybe a dollar. But it is free money!

[sassyd]

The consensus seems to be for ING--I'll go with that.  I'll need to go to CoinStar and get his change in bills and then deposit it in my checking account.  So, probably by the end of the week, or next week, I'll start him an account.

 

And Caglehead, expect an email from me shortly!  I have family visiting, so it'll be a couple days.  Thank you so much!

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IMO... don't use coinstar...last time I checked...they take 7% of the coins... many banks will count it for you... you can go to your bank, deposit the coins and then write a check to ING.

 

Also, check out credit unions... my savings account is at 2% a year... no fees, $5 min balance...

[lbjones]

Also,  check out credit unions... my savings account is at 2% a year... no fees, $5 min balance...

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ING is 3%, no fees, $1 min.

 

I love my CU, but they just can't match that.

[sassyd]

that is good... too bad I don't have enough $$$ in my savings account for it to matter :-)

 

Some day...

[lbjones]

that is good... too bad I don't have enough $$$ in my savings account for it to matter :-)

 

Some day...

<{POST_SNAPBACK}>

 

If you get one of those $25 referals, you can make $25 for the price of $1. It's a start.

[Caglehead]

Just wanted to make sure you got the referral eamil - I'm not sure if they expire after a certain amount of time - if it does, let me know and I'll issue another...I have plenty! LOL

[cmorris]

Yes, I got it. Thank you. I still have to get to the bank. I've been busy interviewing for a job. I actually got one today on the spot!

[dstsoror1991]

I have UPromise, but there is hardly anything in it--maybe a dollar.  But it is free money!

<{POST_SNAPBACK}>

 

 

I got my first $100 check from them (they only cash out every quarter). I now have $223 in my Babymint account. There are some merchants in Babymint that gives more percentage back than Upromise. Example Ross-Simons gives 7% with Babymint and only 4% with Upromise. I also have both credit cards (Citibank Upromise and MBNA Babymint) which also contributes an additional 1% of all purchases.