Nubank (NYSE: NU) announced to all its eligible customers the possibility of “opening an account with a debit card for those under 18 years of age.”
The novelty, which passed through an initial phase of testing which started in June and has already “registered a 42% increase in demand since then, provides access for people aged 12 to 17 years after the consent of a responsible parent who is a Nubank customer in Brazil.”
The expansion of the Nubank account for minors also “includes the possibility of using Caixinhas (Money Boxes), a resource created to store money in an organized, uncomplicated and personalized way.”
At this first moment, minors will “have access to Caixinhas with an investment option with a yield of 100% of the CDI from the first business day after the application.”
They are “organized by editable goals, like taking a trip, creating an emergency fund, or even, for example, buying a video game.” Launched in July, more than 4 million Caixinhas “have already been created by 2.8 million people.”
In line with Nubank’s values of autonomy and financial education, Caixinhas “are a great differentiator to start saving money, tracking income and making plans for the future.”
According to internal data, Nubank discovered that “having an account for their children between the ages of 12 and 17 would be valuable for 61% of parents.” In the initial testing phase, the company also “verified that young people have a 20% higher engagement than the older customers, showing their interest in financial inclusion.”
Usability is “consistent in a scenario where cash is less and less used.” With the support of parents and the simple and safe experience, the goal is “to help in the beginning of a financial journey.”
To ensure safety and parental control during the process, the flow begins with the parents through Nubank’s own app, “who provide the initial registration data and first information.”
With an active account, young people now “have access to the main features of the Nubank account, such as mobile recharge, Pix, fee-free transfers to any account, online debit purchases and withdrawals from ATMs across the country.”
Nubank closed Q3 of 2022 “with more than BRL 106 billion entrusted between deposits in the digital account and investments.”