Cash App targets younger users with new offering for kids aged 6 to 12

Tech companies continue to search for new customer segments, and Cash App, the fintech platform owned by Block and founded by Jack Dorsey, is now focusing on an even younger demographic: children.

The company, which already offers financial services for teenagers, said this week that it is expanding its youth-focused products to build long-term engagement with Gen Alpha and the next generation of adolescents in the U.S.

The new program allows parents to create financial accounts for children between the ages of six and 12. Children will not have direct access to the Cash App platform. Instead, the accounts will be fully controlled by parents and guardians, who can deposit funds, track spending, and monitor usage. Children will receive a debit card linked to the account, which they can use for everyday purchases.

The accounts can also receive peer-to-peer (P2P) payments from a limited group of approved contacts, such as grandparents. In addition, they will be eligible to earn up to 3.25% interest, according to the company.

The goal, according to Kristen Anderson, group product lead for Core Networks at Cash App, is to help children build early financial awareness. “Cash App has been serving teen accounts for several years, and we’ve seen through our customer base that there is just this desire to be able to bring kids into the experience earlier,” Anderson said

She said the new feature is designed to help children learn about savings and financial goals, alongside Cash App’s “allowance” feature, which enables parents to schedule automatic transfers into their child’s account.

The announcement also introduces a pathway for users to transition into full Cash App accounts once they turn 13, subject to parental approval. At that stage, users gain access to a wider set of features, including buying and selling bitcoin and trading stocks. These services remain under parental oversight through a “sponsored account” system until the user turns 18.

Cash App already reports around 5 million monthly active teen users, according to Owen Jennings, executive officer and head of business at Block.

The move places Cash App alongside a growing number of fintech platforms targeting younger users. One notable example is MrBeast’s involvement in financial services company Step, which has faced regulatory scrutiny over its offerings to users under 18. Supporters of such platforms argue that they help improve financial literacy, while critics warn that they may have unintended consequences for spending behaviour and financial habits.