Student: Teen & College Age
Learn to manage money and prepare for the cost of higher education
You may still rely on financial help from your parents or other family members, but it’s not too early to start cultivating sound money-management habits. Many financially sound adults accomplished their goals through careful financial planning that began when they were students.
How can you start on the path to sound money management?
|1.||Become a “Star Saver”|
Learning to save money in your teens and college years is an excellent habit that will train you be a good money manager for the rest of your life. Set goals for your money and start saving NOW. If you have no immediate goals, your goal can be to have a “money cushion” for when that important need for cash occurs.
Union Bank offers saving accounts specifically designed for students:
When you are 18, you may open a savings account on your own, either online or at the bank. Younger students may open checking accounts with the co-signature of a parent, and you need to do this together inside the bank.
|2.||Start a Checking Account|
A checking account provides a means to learn how to responsibly handle cash, make smart financial decisions and keep track of your spending records. Whether you use a debit card or paper checks, your checking account can help you manage your budget, including paying your bills on time and balancing your checkbook. With these good habits, you can start building a good credit reputation NOW.
When you are 18, you may open a checking account on your own, either online or at the bank. Younger students may open checking accounts with the co-signature of a parent, and you need to do this together inside the bank.
|3.||Plan in Advance for College|
It’s never too early for pre-college students and their families to identify and earmark the financial resources they have available to fund a college education—whether from savings, loans, grants, scholarships or work income.
Here are some sources to help you and your parents plan how you will finance a higher education:
- College Savings Plans - There are several options to help you fund the cost of a higher education. It’s OK to start small, but start now with a college savings plan that both you and your parents can contribute to:
- Federal Financial Aid for Higher Education (FAFSA) – All college applicants and their parents or guardians should become familiar with the most recent FAFSA guidelines and deadlines which can be found at http://www.fafsa.ed.gov/. Applications for federal student aid may also be available from your high school counselors, public library or college financial aid office.
For help determining the best accounts and products for sound and productive money management during your Student Lifestage, please contact us.