Kids to manage their own money online
Published: 19 June 2017
Commonwealth Banked has rolled out a new app which will help children as young as five manage their own money online.
News Corp revealed parents will pay to have ‘big brother’ monitor their children as they handle their finances electronically.
The move comes in a response to the concern many children don’t understand how finances work.
Currently, Commonwealth Bank already has a Youthsaver account designed for children under the age of 14 while its Dollarmites Club helps kids reach their savings goals.
The bank’s new Youth App is seemingly an extension of the two is available to all youth CBA customers who have access to an Apple device.
According to reports the app was trialled by 2000 children in 2016 and proved a success among both kids and their parents, with 79 percent of adults saying the app would improve their child’s money skills.
The app is designed to allow children to see their balance go up and down. They can also transfer money within their own accounts.
Accounts can be linked to a bank card so they can make withdrawals, however, users cannot transfer money to any other source.
Parents can also log on to the app to watch over their children, if they are also CBA customers.
“The parents can see their child’s account on their own adult banking app so they have full visibility of the account and transfers that are happening,’’ CBA's head of school banking and youth, Veronica Howarth, said.
“We found kids have varied understanding of financial literacy and the concept, so a nine-year-old brother might have a much better understanding than his 11-year-old sister.
“It depends on each child.”