Why You Need A Child Savings Account11th May, 2017
“Mungu akileta mtoto, analeta na sahani yake,” the lyrics to one of Sauti Sol’s biggest hit songs which sparked controversy and ignited abortion conversation – a delicate topic among Kenyan circles. As opposed to what many may wish for, having children encompasses a different sense of responsibility and financial stability is a critical aspect to consider when children are born.
One of the things parents find difficult is to teach children the value of money. We work very hard to make a living and want to give our children everything they ask for. You have to teach them from when they are young how to put money away. You give them a cubby kit which we provide for every Cub Account opened at KCB. When they wash the car or make their beds they get some money in a reward programme that they put away. If they then want a toy, they can symbolically pay for it. They don’t have to exactly pay for a whole item but instead make a contribution from their savings. The key is not to reward them instantly but teach them how to save and delay gratification; make them the best possible versions of themselves.
Let us explore the various opportunities accompanied with opening a savings account for your children and hopefully at the end, you will consider its endorsement.
Introduces the savings concept to your children early – Involving our children in saving at a young age will allow them to familiarize themselves with the concept of saving at an advanced age. This will in turn teach them to take responsibility and manage their money under your supervision.
Provide a platform of similar interest for children – children who are saving on the same platform are also able to interact and make friends during the member functions that are held multiple times during the year. These interactions encourage children to practice good saving habits as they grow up alongside their friends and generally develop a positive influence on financial management.
Peace of mind – Through the child saving account, parents will now be able to enjoy better peace of mind, knowing that their children are on the journey towards financial security. In this unpredictable world allparents’ desire is to cater for their children’s needs even in the unfortunate circumstance of their demise.
No minimum balance – unlike other savings accounts that have a capped minimum balance to accrue interest, child savings accounts do not have an operating minimum balance to attract interest. This means that you are at liberty to deposit as much or (as little) money to the account as you are able to.
Promotes Creation of Wealth – The savings account can serve as a supplement to other aggressive investing strategies. This will take away any worry that your child may miss out on potential opportunities that will contribute to their development.
An important fact we should have in mind is, securing your child’s future is among the greatest gifts a parent can offer their child and through opening a savings account for your child you will have already began the first step in a journey towards financial refuge.
Find out how to open an account here https://ke.kcbbankgroup.com/home/accounts/savings/cub-account
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