Youth Venture

A checking account allows you to keep your money in a bank, to write checks, and to withdraw cash.

Can I set up a checking account if I am under 18?

You may be able to set up a checking account if you are under 18. Although some provinces require individuals to be over 18 when setting up a checking account, banks have no uniform policies about checking accounts for minors. Some banks allow minors to set up their own account, some allow minors to set up checking if a parent or guardian is the co-signer on the account, and some banks don’t allow anyone under 18 to open a checking account. Since this varies by bank and province, it’s a good idea to call your local bank to find out more about their policies.

What if I can't set up an account in my province because I am under 18?

Many banks allow minors to set up an account if an adult co-signs on the account. Co-signing allows both parties access to the account and makes both parties liable for any late fees, overdraft fees, or fraudulent activity. If you co-sign on an account with an adult, it is a good idea to make sure that both parties understand their responsibilities. For instance, the adult co-signer may agree not to take funds out of the account without permission while the team agrees to pay any fees that might occur.

What type of checking account should I get?

Ask a bank’s customer service agent about the different types of checking accounts they provide, and the costs and regulations associated with the accounts. If you are a student, you may qualify for a Student Checking Account. A Student Checking Account typically saves money in the long run because there are no monthly service fees and no minimum balance requirements for the account.

What do you need to set up a checking account?

When you go to a bank or credit union for the first time to open an account, you will need to bring identification and funds to deposit. Initial deposits can be in the form of cash or check. Most banks require one form of photo identification (i.e. driver's license or passport) and a secondary form of identification. The minimum amount of money you will need to open your account varies by bank, so again it's best to call ahead or look online for “minimum initial deposit” requirements.

What’s the next step?

When you open your checking account, you will complete signature cards that will remain on file at the bank. These cards are used to make sure the signature on all checks, withdrawal slips, and deposit slips is yours. At this time, you will also order your checks. Usually, the bank provides some starter checks to use until you receive your personalized checks. Your first set of checks will typically cost $10.00 to $25.00 and can be automatically taken out of your first deposit.

Do I need identification to write a check?

You may need to show identification when you present a check to a cashier. If you don’t have a driver’s license, it’s a good idea to get an ID card issued by your province.

Common Banking Terms:

ATM: Automated Teller Machine. This machine uses a computer that verifies your account information and PIN (Personal Identification Number) and will dispense or deposit funds per your request.

Balance: The amount of money that you have in a specified account.

Check Register: Your check register is a tool for keeping track of your account balance. A check register is like a diary where you write down what money went in and out of your account.

Check Card: A card that you can use like a credit card to pay for things directly from your checking account.

Credit Union: A credit union is a member-owned, not-for-profit, cooperative financial institution owned and operated by its members.

Deposit: A check or cash that is put into your Venture’s checking account.

Endorse: To sign the back of your check before cashing or depositing it, as proof that you are the person the check was written out to.

Monthly Statement: At the end of each month, you'll receive a statement of your account's activity (what went in and what came out) from the previous month. You can use the statement to balance your account by comparing it to your check register records. After all transactions have been recorded in both places, the balances should match. If they don't match, use your saved receipts to find the error.

Overdraw: To write a check for more money than what you have in your account. Usually there is a fee (known as NSF / Non-Sufficient Funds) from your financial institution associated with overdrawing your account.

Withdrawal: To take money out of your checking account. To make a withdrawal is the opposite of making a deposit.

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