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2025 youth account trend report

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As we step into 2025, credit unions face a pivotal moment. The next generation of savers—Generation Alpha, born between 2010 and 2024—is growing up with unique habits, preferences, and expectations that financial institutions must address now to build lasting relationships.

Generation Alpha is already the largest generation in history, expected to reach 2 billion people worldwide by the end of 2024. Raised in a fully digital world and shaped by millennial parents, they are tech-savvy, privacy-conscious, and value a mix of both digital and hands-on learning. Engaging Gen Alpha now is not just about building loyalty with kids—it’s about connecting with their parents and families, too.

For credit unions, this presents a tremendous opportunity. By combining digital tools, offline resources, and trust-focused strategies, financial institutions can meet the expectations of this generation and build lasting relationships.

Here are 4 key trends for youth accounts in 2025 and what credit unions must do to adapt.

1. Digital tools for a tech-savvy generation

Gen Alpha doesn’t remember a world without smartphones, apps, and voice assistants. As a result, their families are increasingly seeking interactive, digital-first tools to teach kids about money.

Research shows:

  • Searches for chore and allowance apps have increased 65% year-over-year.
  • 64% of millennial parents report that they actively use technology to teach their kids financial literacy.

These digital tools are essential for fostering financial independence, helping kids understand earning, saving, and goal-setting in ways that feel natural to them. For credit unions, incorporating branded, kid-focused digital tools into their youth programs allows them to stay relevant to both Gen Alpha and their millennial parents.

Offering digital resources—like chore and allowance apps, savings trackers, and goal-setting tools—also positions credit unions as forward-thinking institutions that care about building financial habits for the next generation.

2. A return to offline experiences

Despite their digital fluency, Gen Alpha and their families are rediscovering the value of offline activities. According to the 2024 Kids and Media Report:

  • Post-pandemic, there’s been a 12% rise in kids spending time with friends offline.
  • Kids’ weekly screen time has dropped by an average of 6%, reflecting families’ desire for balance.

Parents are increasingly seeking ways to connect with their kids through hands-on, screen-free activities. For financial institutions, this presents a unique opportunity to pair youth accounts with tangible resources like printable activities, seasonal planners, and offline challenges that families can do together.

Whether it’s a budgeting worksheet or a savings goal tracker, these resources foster real-world financial habits while strengthening family bonds. A thoughtful combination of digital and offline tools can help credit unions stand out and engage families across multiple touchpoints. The key becomes colorful materials that capture attention and imagination.

3. Privacy first: Building trust with families

Gen Alpha is growing up in an age of heightened privacy concerns. With millennial parents highly attuned to online safety, trust is critical for any product or program designed for kids.

A 2024 Family Privacy Survey revealed:

  • 86% of parents are wary of apps that collect too much personal information about their children.
  • 91% say they are more likely to trust tools that prioritize data security and transparency.

To engage this privacy-conscious generation, financial institutions must provide youth account tools that collect only essential information and clearly communicate how data is used. Respecting family privacy builds confidence and differentiates credit unions as trusted partners.

Simple steps—like using only a child’s first name, nickname, and year of birth (instead of full birthdays)—can make all the difference in earning parents’ trust.

4. Multi-channel engagement: Meeting families everywhere

Gen Alpha consumes content across multiple platforms, from YouTube videos and podcasts to hands-on school programs. To stay relevant, credit unions need a multi-channel approach that reaches families online, offline, and in their communities.

School-based financial education programs are particularly impactful. Research from the National Financial Educators Council shows that:

  • 72% of parents believe schools play a key role in teaching kids about money.
  • Kids who receive structured financial education are more likely to open savings accounts and develop strong financial habits early on.

Partnering with schools to provide classroom-based financial literacy programs helps credit unions connect with families in a trusted environment while reinforcing their role as community leaders. Supporting teachers with engaging, ready-to-use tools can solidify your credit union’s reputation as a champion of financial wellness.

Why credit unions must act now

Gen Alpha represents the future of financial services. Studies show that 95% of kids are more likely to stay loyal to brands that provide positive experiences early in life. For credit unions, the opportunity to engage this generation—and their parents—will only grow.

However, waiting too long carries risks. Financial institutions that fail to adapt to Gen Alpha’s expectations will fall behind as competitors step up to meet the demand for digital tools, hands-on activities, and privacy-first solutions. By acting now, credit unions can lay the groundwork for lifelong relationships with families and position themselves as leaders in youth financial education.

How My First Nest Egg can help

My First Nest Egg provides a comprehensive solution to help financial institutions stay ahead in engaging the next generation. From our patented chore and allowance app, designed with privacy in mind, to our turnkey monthly campaigns featuring printables and social media content, we offer everything needed to inspire financial confidence in kids and connect with their families. By investing in these tools, you’re not just meeting today’s needs—you’re building lasting relationships with families and laying the foundation for lifelong customer loyalty. And as the first members of Generation Beta arrive on January 1, 2025, there’s no better time to prepare for the future.

Nicolle Hood

Nicolle Hood

My First Nest Egg