Finance
Chevron Financial Credit Union/Spectrum Credit Union MySavings Youth Account Review
For teens looking for a place to park their savings, the account offered by Chevron Financial Credit Union and Spectrum Credit Union offers a great solution they will be able to use for years to come.
The MySavings Youth Account, which can be opened with either credit union, pays one of the highest interest rates found on under-18 savings accounts. It’s also one of the few kid accounts your child will be able to keep into young-adulthood. These advantages make it Buy Side from WSJ’s top choice for a savings account for teens.
Chevron Federal Credit Union MySavings Youth Account
Still, parents should know when helping their kid set up the account that its premium payout rate only applies to the first $1,000 saved. The account can also be paired with a debit card, which, depending on your child’s budgeting skills, may be an asset or concern.
What does the savings account offer?
The MySavings Youth Account, found at both Chevron Financial Credit Union and its other brand Spectrum Credit Union, pays a stellar 7% return—one of the best interest rates available on child-focused accounts. The account’s lack of monthly fees or minimum balance requirements means teens don’t need to worry about costs eating into those earnings either.
A big caveat is that the top rate only applies to the first $1,000 saved. Any amount in the account beyond that threshold earns a much more modest 0.75%. Still, given that interest rates on other leading childrens’ accounts are in the 2% to 3% range, your child can still come out ahead, even if they have well more than $1,000 saved.
The account’s other big advantage: It can be opened and used until age 22, while most other youth accounts require the owner to be under 18 or, in some cases, even younger. This could spare your kid the awkwardness of needing to switch accounts on their birthday or while dealing with big transitions like moving out on their own or starting postsecondary school.
Additionally, kids 13 and older can pair the account with a debit card, making it easier for them to quickly access their funds whenever needed. This utilitarian feature isn’t common among the majority of kids savings account options Buy Side reviewed, further setting Chevron and Spectrum’s apart.
Parents will need to become a member of either credit union before their child can start an account. If you’re an employee of Chevron Corporation or Bechtel Corporation; or live, work, worship, or attend school in San Francisco or Frederick County, Md., you may already be eligible to join. Anyone else can first become a member of one of their partner organizations, like the Financial Fitness Association for $8, to gain entry.
Who benefits most from this account?
The account’s longevity, high-interest return, and ability to be paired with a debit card all make it a solid choice for responsible teens looking to grow and use their savings easily.
More ambitious savers may do better, however, with other accounts that offer a relatively generous interest rate across their entire balance, such as Buy Side from WSJ’s best overall kids savings account pick, Capital One’s Kids Savings Account.
How we picked
To pick Buy Side from WSJ’s Best Savings Accounts for Kids and Teens, we looked at 90 bank and credit union options available to those under the age of 18 that required little to no minimum opening deposit, charged no monthly service or maintenance fees, and paid interest on small balances. We favored accounts that offered high interest rates, easy setup for parents, and additional perks such as birthday gifts or educational tools.
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The advice, recommendations or rankings expressed in this article are those of the Buy Side from WSJ editorial team, and have not been reviewed or endorsed by our commercial partners.