Which of these 2 ways to manage child's money please?

[curiouscat]

I'm thinking of getting ds 13 a bank account to put in birthday money etc, it wouldn't need to get much interest and I want him to be able to access it. What age is reasonable to do this? I want to know please

a. Shall I open an account and let him have a chip and pin card to make own withdrawals (he can't go overdrawn on this sort of account but learns responsibility) or

b. Some friends use 'bank of mum and dad' ie we don't go through a bank but just keep a ledger of ds's money so he can see how much he has, and we pay out to him when he wants access although his money would be included in our household stuff. (saves junk mail, filing his statements, losing cards etc)

All advice welcome thank you very much. I don't want details of which bank or savings rates, just in principle how to best to set it up.

I would do (a)

I would do A too. Might teach him money management.....mumbles something about doing that with her son.

I'd probably go with option a) as well. If you SO a fixed allowance into it each month and give him sole responsibility for a few things like mobile top-ups, maybe clothing, buying birthday presents etc. then he'd appreciate what things cost and get a handle on budgeting at the same time.

and as to reasonable age - both my ds have had an account since age 5, not with a cash card obviously. birthday and christmas money that they don't want to spend immediately go in there, as does ds1's accumulated pocket money (ds2 doesn't manage to accumulate!).

We did option a) for ds1 when he was 12.5
It's been brilliant. I don't need to worry about finding cash for bus fares and lunches any more. He just gets a payment every month and has to manage everything himself.

We don't pay for anything any more (part of the deal). Except for when we are out as a family for day trips or holidays or whatever and would pay for them anyway. [We buy his clothes and school stuff, but things like cinema, phone top ups, snacks and treats are his responsibility now.]

He hasn't whined or nagged us for cash and has never run out. He's actually very canny with his money now.

This summer I will do the same for ds2.