US bank Chase has announced the launch of a new checking (current) account, Chase First Banking. The account has no monthly fees and is designed to help parents teach kids and teens about the importance of money management through the Chase Mobile app. Parents and children can manage allowances, complete and check off chores, monitor spending, and save towards a goal.
Most kids learn about money when out shopping with their families. But as more transactions happen digitally, children can lose touch with real-time discussions on the value of money and how to think about purchases.
“Families are juggling so many more responsibilities today than ever before,” said Allison Beer, Head of Digital for Consumer & Community Banking at JPMorgan Chase. “To help, we’ve made it easy for parents to manage kids’ allowances, keep track of chores and teach important financial skills from within the Chase Mobile app.”
Chase First Banking accounts have three features— Earn, Spend and Save. For adults, as the owner of the account, the Earn tab allows them to set allowances and assign chores, including how much kids will receive and when they need to be completed. They can set the amount kids can spend and at what types of stores from the Spend tab and receive alerts when spending happens. They also have exclusive control over moving funds from Save once kids complete a goal. For extra peace of mind, they also can turn features on and off, lock their kid’s debit card, and cancel and adjust chores or allowances.
Each child gets their own personal debit card that can be used only based on the spending limits set by their parents. From their own Chase Mobile app, Earn lets them see what chores they have been assigned, check them off when completed, and see when their allowance is paid. Spend helps them know how much they have and where they can make purchases. Save helps them work toward a financial goal and alerts their parents when it’s been achieved.
“Having this account is like having a financial health learner’s permit: kids can learn how to manage money, and parents have the ability to guide their experience safely and in real-time,” said Kavita Kamdar, Head of Chase First Banking, JPMorgan Chase.
Exclusively for Chase retail deposit account customers, Chase First Banking accounts can be opened for free by parents, adult family members and legal guardians through their Chase Mobile app and was built in collaboration with Greenlight. The bank also offers checking and savings accounts for high school and college-aged youth.