Tech giants are eyeing a new generation of customers: children aged 6 to 12. Cash App, owned by Jack Dorsey’s Block, is expanding its youth-focused services, allowing parents to manage financial accounts for their young ones. These accounts offer debit cards and earn up to 3.25% interest, all in an effort to instill financial responsibility early on.

The move reflects a broader trend of introducing fintech concepts to younger audiences. Critics wonder if teaching kids about savings too early is the key to a brighter future or just setting them up for confusion.

‘Cash App has seen a desire among parents to bring their children into our experience earlier,’ said Kristen Anderson, group product lead at Cash App. Meanwhile, Owen Jennings, head of business at Block, highlighted that they already have 5 million monthly active teen users.

With children aged 13 and over potentially graduating to independent accounts, the step towards full financial autonomy is only a few years away. Critics argue such services could either foster or hinder sound financial habits, depending on how parents guide their kids through these platforms.