- The value of saving. Since most CDs are set up with minimum term limits and a penalty for early withdrawal, your child can’t use the money for an impulse purchase. They’ll learn that delaying gratification can lead to greater rewards in the future.
- How interest works. The idea that you can make money from money may seem confusing to your child. Watching the value of a CD grow can help your young one see how interest accumulates.
- Financial decision making. When a CD matures, your child will have the choice of either withdrawing the money to spend it or reinvesting it to earn more interest.
During the holiday season, a CD can make a great gift for the child in your life. When you open a Blue Bucks Kids' Certificate of Deposit or add $100 or more to an existing one by December 24, 2016, you’ll also receive a roll-up sled for fun all winter long!