Open a MoneyZONE Account together
Involve your children in the process as much as you can, right from the start. Do it together at any Bank of South Pacific branch.
Try and find a way to make regular monthly deposits
This is important. Your children will see the savings balance growing on each monthly statement. They will also see how interest is earned on their MoneyZONE account.
Making these regular deposits however small will instil in your child a culture of savings that will come in handy in their adulthood.
Treat the savings as 'their' money
Most children feel great when they are contributing and being recognised and rewarded for their efforts. So, if you can, get them to bank in a portion of their 'pocket money' each month, and let them see the account balance grow.
You could also provide opportunities to earn extra money by giving them odd jobs around home such as wash cars, clean windows, mow lawns, sweep leaves, walk a dog, baby sit kids etc.
Set long-term and short-term goals
Having a major long-term goal is a terrific idea, but sometimes the goal can seem a long way off and the progress feels slow.
To help children stay motivated, a useful idea is to set a very short-term, highly achievable savings goal, and have this in place with a longer-term goal. Achieving a short-term goal helps to keeps them enthusiastic and committed. They also start learning about setting savings priorities.
Use the monthly statement as an opportunity to discuss progress
You could encourage your children to use their calculator and check the statement calculations and perhaps, from time to time, reset the savings goals and the planned contributions. Don't forget to keep all the statements in a safe place. Children like to be able to look back and see the progress they've made.
Teach them to bank a 'windfall'
It's also a good idea to establish the idea that unexpected cash gifts or extra earning should go straight into their savings account. Even if the money is spent soon after. It's still a very good habit to encourage your children to put it into the bank first, 'while they think about what they will do with it'. © ASB Bank Limited 2001.
For more information, please call our BSP Customer Contact Centre on 132 888 or (679) 3214 300 or send your query through the Contact Us page.