Articles

Opening a Bank Account

Are you starting your first job? Going to college soon? Or just wanting more financial independence? If so, it sounds like it’s time to open your own bank account. Here’s what you need to know to get started.

Checking vs. Savings
You may have heard of checking and savings accounts, but what makes them different?

A checking account is often used for everyday transactions, like buying groceries, putting gas in the car, and so on. Checking accounts come with a debit card and checks. A debit card takes money directly from your checking account when you pay for something or when you withdraw money from an ATM. A check is a physical piece of paper that allows money to be withdrawn from your checking account.

A savings account is an account you utilize for saving larger amounts of money, like an emergency or vacation fund. Typically, you do not use the funds in a savings account for everyday purchases, like you do with a checking account. This is because savings accounts usually have a higher interest rate – so keeping money in this type of account overtime actually earns you more money back.

How interest rates works: Let’s say that you have $100 in your savings one month and your interest rate is 1% (that means 1% of $100 is $1).For that month the bank/credit union will add an extra free $1 to your account. If the same 1% interest rate applies but you have $1,000 in your account, then you receive $10 in interest that month. This means that the more money you have in your account, the more free money you can receive.

Finding a Bank or Credit Union That Fits Your Life
Before you open an account, research the differences in banks and credit unions near you. For example, there may be a regional credit union that has several branches in your area or there may be a bank with branches across the country. If you go to school in a different state, it might be worth opening an account that you can access in person at home and at school. If you plan to only receive money through checks or electronic deposits, you can also look into online banks.

Know What Types of Accounts Exist
Another part of what may help you decide where you open an account is knowing the various types of accounts different banks and credit unions offer.

For example, some institutions offer a student checking account, which usually waives monthly maintenance fees for high school and college students. Things to consider: some accounts have a monthly fee if your balance is below a certain amount. Another thing to think about is that many institutions also have interest rates for checking accounts, so you may be able to receive a small amount of additional money through this type of account, as well as through a savings account.

Opening an Account if You Are 17 or Younger
If you are 17 or younger, you will need an adult to open the account for you. This is known as a custodial account, and while it is owned by “the minor” (ie YOU), it is managed by the adult until you turn 18. This means that both you and the adult can take money out of the account, therefore you should ask a responsible and trustworthy adult to open this type of account.

Applying for an Account
When you have decided where to bank and what type of account (or accounts) to open, you will need to apply. You can typically apply online or in person.

During the application process you will need to provide your legal name, your contact information, your social security number, and oftentimes a proof of address (for example, a piece of mail that has your name on it or a copy of your license or state ID or Tribal ID with your current address). Some institutions require a small initial deposit to open the new account.

To be certain of what information you will need to provide, contact the bank or credit union you want to open an account with.

Additional Resources:

Author: Originally from Oklahoma, Summer Lewis is a Muscogee and Seminole woman working in Tribal public health in Northern California. She is preparing to start her first semester of her Master’s program at the University of California-Berkeley’s School of Public Health and enjoys baking, beading, and being outdoors.

How to Prioritize Your Schoolwork

Whether you are in high school, college, or graduate school, time management...

How to Get a Job in High School

Do you need to find a job? Are you unsure of where...

Diné Origin Of Living 102 Winters

According to Diné origin stories on aging, the lifespan of the Navajo...

Your College Survival Guide

Ahh, college! It’s an exciting time for self-exploration, meeting new people, and...

How to Succeed in Your Career

Career success is important because your career impacts many aspects of your...

Vote Indian Vote

Students from Salish Kootenai College, Pablo, Montana promote the Native American Vote.

18 Things You Should Know How to Do Before You Turn 18

Turning 18 is an important event, marking our transition into adulthood. However,...

Preparing for Your Driver’s Test

Getting your driver’s license is an exciting and life-changing experience! There is...

Money, Money, Money

  Sean Robinson is a young male struggling to live on his...

Stocking Your Pantry: A Guide to Pantry Necessities

Whether you’re new to cooking or just moved into your own place,...

Financial Aid – Getting Money for College

Going to college can be expensive, but financial aid and scholarships can...

Becoming Independent

Sean Robinson is a young male struggling to live on his own....

I Don’t Have Health Insurance – Now What?

There are plenty of reasons why you might not have health insurance....

Tips for Saving

So, you’re thinking about getting that car you’ve been eyeing, or you...

College Advice

Stephanie Spearing (Southern Cheyenne from Oklahoma) gives advice about financial aid and...

Getting a Career in STEM

The fields of science, technology, engineering, and mathematics (or STEM) are incredibly...

When and How to Quit a Job

If you have a job, you’ve probably dreaded going in at least...

College Advice

James Dakota (Sauk-Suiattle), a student at Northwest Indian College, shares what he’s...

How to Navigate Health Insurance

Medical visits and procedures, like x-rays, can be expensive. That is why...

How to Pick the Right College For You

Deciding to go to college is a big decision and one that...

College Advice

Jeannette (Blackfeet Nation), a student at Portland State University, shares how she...

How to Lease Your First Apartment

6 Tips for Renting Your First Apartment  On the lookout for your...

How to Expand Your Networks

Have you ever heard the saying, “It doesn’t matter what you know,...

Do Grades Matter?

Do my grades matter when I’m a freshman? Erika, Yankton Sioux, talks...

Native Women Just Can’t Anymore

Sex can be fun and empowering. However, some of us – especially...

Shutting Down Slut Shamers

Enjoying sex or openly expressing your sexuality doesn’t make you a “slut.”...

Drugs & Alcohol – Teen Panel

This is a video featuring two youth who share their stories about...

Here’s What You Should Know About Body Sovereignty

You may have heard that Tribal Nations have sovereignty. This means that...

Wearing Contact Lenses

So, you’ve made the switch from wearing glasses to the ease of...

Get To Where You Want To Be

Sometimes you need to inspire others to get where they want to...

Becoming a Savvy Saver

Learning to save early on can lead to a healthy financial life....

Applying and Interviewing for Jobs

When applying for a job, you might be asked to provide your...

Healthy Lifestyle

Born an athlete or not, everyone can become healthy and fit. If...

Being a Young Caregiver

A caregiver is someone who provides support at home for parents, brothers...

Don’t be a Victim of Identity Theft

Identity theft is when someone’s identifying information (like their name, social security...

Impact of Drug Use On Your Life

Two youth share their stories about their past drug and alcohol use....

Homelessness

Homelessness is when you don’t have a safe and reliable home to...

Investing

Investing can help you to achieve your long-term financial goals, such as...

Maintaining A Balance

One thing Kristie has always maintained in her life is balance physically,...

Investment Options

Diversify. Most people have heard the saying, “don’t put all your eggs...

Looking for Work After Graduation

Whether you’re changing jobs or looking for your first job, finding work...

Rez Life

In every boy’s life there are choices that he faces.

Starting a New Job

Starting your new job can be exciting, but it can also be...

You and Your Credit

Credit is borrowing money with the promise that you will pay it...

A Career in the STEM Field

Are you thinking about a career in the STEM (Science, Technology, Engineering,...

Write a Resume That Will Make You Shine

Writing a resume that makes you stand out doesn’t have to be...

Why It’s Important to Vote

Did you know Indians could still not vote in New Mexico and...

The National Native American Youth Initiative

Preparing Future Native Physicians and Researchers For many students, summer is a...

Ill Mind of Ghost Dog: The Beginning

Hello my fellow Native and non-Native brethren’s. My name is Thomas Lee...

I’m not Native American, but I am Indigenous Australian and I just got rejected from a job because my skintone apparently scares away customers. What do I do??

see answer

Find Us

Follow Us

Enter Phone Number to Subscribe:

Msg & Data Rates May Apply.
Text STOP to opt out. No purchase necessary.
Expect 4 msgs/mo.Terms and Conditions

Menu