UTMA Savings
Give a child in your life a head start. A UTMA Savings account lets you set money aside for their future, and while you manage it as custodian,¹ the money belongs to the child and transfers to them at the age of majority.²
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What is a UTMA Savings account?
A UTMA Savings account is a custodial savings account created under the Uniform Transfer to Minors Act that lets an adult custodian save for a child, with the money owned by the child, taxed generally at the child's lower tax rate,³ and accessible to them once they reach the age of majority.
- Earn up to 0.60% APY³
- Earns quarterly dividends on balances of $5.00 or more
- No limit to the number or amount of contributions4
- Open a savings account for a child regardless of relationship
- 24/7 access within Digital Banking
- Federally insured by NCUA up to $250,000 per depositor
- Open by phone or at any branch
Why open a UTMA Savings account?
Saving early gives a child room to grow into their goals. A UTMA Savings account makes it easy to build that foundation while keeping the funds protected until they're ready. Here's why families choose to open a custodial savings account with Advia:
- Save for a child's future, from education to a first home
- Keep the money protected until the child reaches the age of majority²
- Contribute as your budget allows, with no limit on deposits
- Give any minor a head start, regardless of your relationship to them
- Watch savings grow with quarterly dividends
- Manage everything easily through Digital Banking
- Save with confidence, knowing your funds are NCUA-insured
Is a UTMA Savings account right for your family?
A UTMA Savings account sets aside longer-term funds that transfer to a child at the age of majority, while our Piggy Bank Savings and Bonus Bills Savings accounts help kids and teens learn everyday money habits. Here's a quick comparison:
|
01 Money Market Col 1
|
UTMA Savings (custodial)
|
Youth Savings (Piggy Bank / Bonus Bills)
|
|---|---|---|
| Best for |
Setting aside a child's future funds (education, housing) |
Helping a child or teen learn to save |
| Access to funds |
Child gains access at the age of majority |
Everyday access with parental guidance |
| Who owns the money |
The child; managed by an adult custodian |
The child, jointly with a parent/guardian |
| Ages |
Any minor |
Piggy Bank ages 0–12 |
| Contributions |
No limit on number or amount |
Regular deposits, plus a birthday match on youth accounts |
| Debit card / Checking |
Not offered |
Available on Bonus Bills with a joint account |
| Deposit insurance |
NCUA-insured up to $250,000 |
NCUA-insured up to $250,000 |
Not sure which fits? Many families use both — one for long-term funds and one for hands-on learning.
How a UTMA Savings account works:
Getting started takes just a few minutes.
One adult custodian opens and manages the account³
Name the minor by designating the child the account is for, regardless of your relationship
Contribute over time by adding funds whenever your budget allows, with no deposit limits
The funds transfer to the child when they reach the age of majority (determined by your state of residence)²
See how a child's savings can grow over time.
Small, regular deposits really add up over the years a child is growing. Use our calculator to see how steady saving — even a little each month — can build toward education, a first car, or a head start on adulthood. Your deposit, timeline, and rate of return all play a part.
Start saving for a child's future today.
Open a UTMA Savings account and give a child in your life a protected head start. Whether you're saving for education, travel, or their first big step into adulthood, we're here to help you set it up in minutes.
Frequently Asked Questions
A UTMA account is a custodial account created under the Uniform Transfer to Minors Act. It lets an adult custodian save and manage money on behalf of a child, with the funds owned by the child and transferred to them at the age of majority.
Both are custodial accounts that let an adult hold assets for a minor, but they differ in the types of assets they can hold and some state-level rules. A UGMA (Uniform Gifts to Minors Act) account and a UTMA (Uniform Transfer to Minors Act) account are closely related, and the right choice can depend on your goals.
Because the money in a UTMA account is owned by the child, earnings are generally taxed at the child's tax rate, which is typically lower than the tax rate for adults. Tax situations vary, so we recommend consulting a qualified tax advisor about your specific circumstances.
You can open a UTMA Savings account over the phone or at any Advia branch. One adult custodian opens and manages the account, and you'll designate the minor it's for. Appointment of a successor custodian is strongly encouraged.
The child gains access when they reach the age of majority, which is determined by your state of residence. Until then, only the custodian is authorized to transact on the account.
Looking for more ways to save for the kids in your life?
A UTMA Savings account is a great way to set aside a child's future funds. Depending on your goal, one of these might be a better fit — or a nice complement:
- Piggy Bank Savings (Ages 0–12) — Help your youngest kids learn smart money habits, with no monthly fees and a fun birthday savings match
- Bonus Bills Savings (Ages 13–17) — Built for teens, with cash rewards for birthday-month deposits and full Digital Banking access with parental guidance
- Regular Savings — The foundational share savings account that establishes your Advia membership
- Money Market Savings — Progressive rates that grow as your balance does, for larger or longer-term balances
Have questions about opening a UTMA Savings account for a child? We're here to help.
- Must designate one adult custodian. Appointment of a Successor Custodian is strongly encouraged.
- The age of majority, which is determined by the State of residence, is 21 for Illinois and Wisconsin and 18 – 21 for Michigan. For Michigan residents, the specific age of majority for a minor will be designated at the time the account is established with us.
- Annual Percentage Yield; subject to change. Dividends will be compounded and credited quarterly. For example, the beginning date of the first dividend period of the calendar year is January 1, and the ending date of such dividend period is March 31. All other dividend periods follow the same pattern of dates. The dividend declaration date is the last day of the dividend period and for the example above is March 31. If an account is closed before dividends are credited, accrued dividends will not be paid. A minimum average daily balance of $5.00 is required to earn dividends in the UTMA account.
- There are no limitations on the type or number of transactions on this account. However, only the custodian is authorized to transact on this account until the minor reaches the age of majority. Checking Accounts, Certificates, and Debit Cards are not offered for this account designation.