SmartyPig: A Fun Way for the Children to Save Online
There are many ways you can teach children how to save money, but why not implement technology to make learning about savings fun? Smartypig is an online application sponsored by Compass Bank that encourages individuals to build their savings. How can using this website help encourage children to save money?
1. Helps to Set Goals – When you set up an account at SmartyPig.com, you can set goals for virtually anything you want. This could be a numerical value or titled with a certain object the children would like to buy. Each time money is put into this specific goal, a percentage of the goal is displayed. This number is the actual percentage of the goal as it is completed. Children can then see just how close to the goal they are. Multiple goals can be set up for a number of wants and needs. You could essentially create a separate goal for each child in the household. Since SmartyPig is online, the children can check their balances anywhere as long as you have a computer or device that has Internet access.
2. Yields High Interest Rates – Currently, you are hard pressed to find any bank that offers more than 0.92-percent interest. SmartyPig provides users with a solid one-percent rate for all accounts created. This means that your children could save money while earning one of the highest interest rates for a savings account available. Although it’s unlikely that they’ll become rich off of this one-percent, it is still a great return for any account.
3. It’s Secured and Safe – Funds deposited into the account are held by BBVA Compass. As such, the funds are FDIC insured for the maximum amount allowed by law. This means that the children’s money is as safe with SmartyPig as it would be with any other banking method. If you control the login and password information, you don’t have to worry about your children accidentally doing something with the money or changing various settings.
4. Provides an Easy Way to Pay for Chores and Allowances – Instead of handing out cash for allowances or completed chores, place the money in a goal of the child’s choosing. This empowers the child to make a decision about what to purchase in the future. Even if the goal is for a video game, at least he or she will learn the value of saving up for something to buy. He or she will accomplish the goal on his or her own.
5. Allows for Transfer to Debit – SmartyPig.com provides a debit card that works like any other loadable card. Money can be withdrawn at any time or loaded onto the card in order to provide a method to spend. Even though the money is technically the children’s, you can have complete control over where and how it is spent. This could be a great method to save up for children to go Christmas shopping without them tapping your own bank account for various presents.
These are just a few of the highlights that you could experience while using SmartyPig. Periodically, you and the children can gather around the computer monitor and watch as the accounts slowly grow. As the goals near completion, the children can learn what it means to save up for something worthwhile.
With over 20 years of experience in the nanny world as an award-winning nanny, agency director, and parenting author, Michelle LaRowe is considered a leading industry expert. A mom herself, she loves to educate parents and nannies on the importance of quality in-home childcare. Find out more by visiting @eNannySource on Twitter.