The account pays a variable rate of interest, which current stands at 2.5 percent AER/2.47 percent gross. This rate applies on balances up to £2,500.
It can only be opened by making an appointment at one’s local branch.
For those aged between 11 and 15, a parent or guardian must be present, both when an account is opened and when additional services are applied for.
On its website, TSB said of the account: “If you’re between 11 and 18, we can help you get clever with your precious cash.
“We’ve made it easier than ever to look after your money and take it with you wherever you go – so you can leave your piggy bank behind for good.”
HSBC is also offering a 2.5 percent AER (2.47 percent gross) interest rate on children’s savings.
This is via the Children’s Savings Account, which is open to anyone aged seven to 17.
Savers can start to save in the account with £10.
Balances of up to £3,000 will currently earn the interest rate of 2.5 percent AER.
Meanwhile, if the balance exceeds £3,000, any portion above this limit earns 0.25 percent AER (0.25 percent gross).
Balances up to £3,000 will still earn the higher rate of interest.
The interest rate is variable, meaning the bank can change the interest rate offered on the account, in line with the terms and conditions.
HSBC explains the interest earned is paid monthly.
Meanwhile, Santander is offering a three percent interest rate via the 1|2|3 Mini Current Account.
It pays three percent AER/2.96 percent gross (Variable) on the entire balance once the balance is £1,500 up to a £2,000.
The interest is offered at three different rates according to three account balance thresholds.
Up to £999.99, balances earn one percent AER/gross (variable on the entire balance).
Once the balance is £1,000 up to £1,499.99, Santander pays two percent AER/1.98 percent gross (variable) on the entire balance.
Once the balance is £1,500 up to £2,000, the three percent AER/2.96 percent gross (variable) on the entire balance.