Opening A Savings Account For Someone Else

Alternatively choose a bank that.

Opening a savings account for someone else.

You ll need a social security number to qualify for an account when you open a savings account for someone else. Visit the bank where you currently have your savings account to open an account for someone else. Alternatively if they re only a savings bank and not a payment provide. Using your own bank where you already have accounts would be a convenient place to open your child s account.

But as with anything there are pros and cons. Whether you re opening an account for your child grandchild or someone else you will need the following information for yourself and the beneficiary. You even can change the person the plan is intended for known as the beneficiary and in many cases you can roll funds from one person s plan into another person s plan with no tax penalty. Although opening a savings account for someone else is a thoughtful idea it s not always possible.

Open a learning quest 529 college savings account. This is a good idea for several reasons. These require banks to obtain positive identification on anybody opening a bank account with them. Many parents open savings accounts for their children to save for big ticket items such as a car home and even college.

A health savings account hsa is an account for individuals with high deductible health plans to save for medical expenses that those plans do not cover. A custodial account can certainly be a good choice for this type of extra savings and a good way to teach the kids about investing. Depends on the country. You can open a tax advantaged college savings plan known as a 529 plan for essentially anyone including yourself a friend or relative.

Although parents can open a savings account in their child s name without the child s permission you typically can t open an account for just anyone. You already have an established relationship with the bank. Here are some things to consider before you open the accounts. You re in control for a while.

Contact financial institutions to inquire about opening a savings account. You can t open a bank account for another adult unless you have power of attorney for example but you can add her to your savings account with her consent.