a convertible toy wagon includes a plastic body with side walls that define a passenger space and a bottom portion that defines a storage compartment . horizontal seating surfaces are located fore and aft of the opening of the storage compartment . seatbacks are pivotally attached to the wagon body and close to cover the horizontal seating surfaces and the storage compartment . a handle is pivotally attached to the front of the wagon body by a handle bracket that includes a pair of arms and an arcuate locking surface positioned therebetween . a ridge is formed on a cylindrical lower portion of the handle and interacts with the locking surface of the handle bracket so that the handle may be locked into an upright position .