FNB’s fee-free youth account

Should children be charged for banking? Is fee-free banking possible?

While children may deposit their pocket money into a bank account, the amount attracts deductions for monthly account fees, deposit and withdrawal fees, and, with some accounts, transaction fees.

While teaching children about banking and budgeting is critical, it’s a hard reality for children to face when half their pocket money is eroded by fees.

READ MORE: Kids say the darndest things – about money. How can you help them?

The FNBy Account

The FNBy account is available to anyone aged 24 years or under. Children aged under 18 years can bank without any monthly account fee, while those between the ages of 18 and 24 will pay R12 per month.

Some banking fees will apply irrespective of age, depending on how the account is used. Paying with a card (or swiping) is free for all customers, as is a subscription to the FNB banking app and the bank’s inContact service. However, bank fees will accumulate for cash withdrawals and deposits. These fees include:

A full breakdown of the pricing structure. 

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Swiping the card and avoiding transactions that will accumulate banking fees, such as cash withdrawals and deposits, will allow your child’s savings to accumulate. If you want to deposit money into your child’s account, an electronic transfer will avoid them paying a fee per R100, which will apply if the deposit is made in cash.

While it seems like some banks are moving in the right direction by removing monthly fees from their youth account offerings, more could be done to make these accounts more affordable for children.

Tip: You can compare bank accounts. Compare bank accounts now