Opening a bank account with your kids is an important part of their financial education.

You’re giving your kids an allowance – if not click here for great allowance guidelines — and teaching them to spend and save. But if they’re hoarding cash in their closets then they’re missing a big part of the lesson. Banks are the safest place to keep your money. They pay interest and are insured, so even if the business goes bust you’re covered for up $250,00o.

But picking a bank, well, they’re not all created equally. When going in to open an account, teach your kids to ask the following questions.

1) Can I take money out whenever I want?

2) Is there a maximum number of checks I can write each month without incurring a charge?

3) Is there a charge for each check I write?

4) How much interest – if any – will I get and how often. (To compare rates around the nation go to bankrate.com)

5) Is this bank a member of the Federal Deposit Insurance Corporation – the organization that protects the money in your checking and savings accounts, certificates of deposit and IRA accounts up to $250,000.

6) Is there a monthly fee?

7) What are other account fees, such as for maintenance, withdrawals, or minimum balance rules? Can you take money directly from my account for those fees?

8) Are there holds on checks, or, is there a waiting period for a check to clear before you can draw money from the account?

9) Are there fees for using the debit card?

10) What are overdraft fees and bounced check penalties? (Certainly, you’ll explain to your child it’s his or her  responsibility to know your account balance, but you want your child to know the penalties for financial slips.)