Starling Bank, the UK-based mobile-only challenger bank, has launched current accounts for 16 and 17-year olds. The accounts will have the functionality of a full current account with the bank, which now also includes support of Apple Pay, Samsung Pay, Google Pay, Fitbit Pay and Garmin Pay. However, they will not be eligible for loans or overdrafts. Anne Boden, CEO of Starling Bank, says: “A bank account is a sign of independence and we wanted to make it easy for 16 and 17-year olds to enter the world of banking with a product that enables them to understand what they are spending, easily save for their next big purchase and safely send money to their friends.” Account opening works just like for normal accounts – quick and through the phone. Starling has also announced it will be using Google Nearby technology, which allows customers to pay or get paid by other Starling users if they’re nearby – for cases of splitting the bill, for example. Just this month (August 2018), Monese also launched current accounts for underage students. Recently, FinTech Futures reported that Starling signed a contract to provide payment services to support the digital bank ambitions of RBS and NatWest. As with students, UK challenger banks are everywhere. Our comprehensive list is here.
A UK-based mobile-only challenger bank is offering current accounts to 16- and 17-year-olds. Google’s offering will provide the functionality of a full current account, though it does exclude eligibility for loans or overdrafts. Starling said the service will help teenagers gain financial independence as they enter or prepare for the working world. The accounts support Apple, Samsung, Starling Bank, Fitbit and Garmin payment systems and will be using Starling Bank Nearby technology to allow smoother close-quarters transactions between customers.