In learning about finance, it never hurts to start at an early age. Especially if it means your children will stop pestering you for the latest fads or expensive, sugary foods once they understand how money works and that your wallet is not on auto-refill.
So, how about some hands-on financial training for your kid? Meet the world of children’s debit cards.
Giving your child a debit card is the same as giving him or her his or her own debit card.
There are a variety of debit cards for kids on the market, each with its own set of features designed specifically for them to learn and practice the fundamentals of money management as they spend, save, and use their money.
Debit cards for kids can assist parents by allowing them to keep track of their children’s money and where and how they spend it.
Each card has its own set of advantages and disadvantages, as well as distinct fees and features.
Let’s look at some key points before we go into reviewing some of the best debit cards for kids to become money savvy.
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Why A Debit Card For A Kid?
Debit cards for children are cards that are specifically developed for children. They work in the same way as conventional debit cards, but they have unique features that distinguish them from the adult version.
For starters, a children’s debit card provides parental oversight. Parents can transfer a predetermined amount of money to their child, check the card balance, and watch how they use the money.
Parents might also establish spending limits for their children. All of this makes a debit card for kids an effective tool for teaching the youngster about money while parents maintain a close eye on the account and what is going on.
The kids practice earning and spending money in a safe environment that yet allows them to accomplish things on their own, such as determining where to spend their money, calculating how much money they have left, saving for objectives, and learning crucial money management tips and how- to’s.
Furthermore, it is safer for a child to have a debit card in his pocket than it is for him to carry cash. They may track and cancel a debit card, however cash is gone forever if stolen or misplaced.
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What Are The Components On Debit Cards For Kids And What Are Those Things To Look Out For?
Although a kid’s debit card functions in the same way as a regular debit card to spend, the way they created it and the perks it offers set it apart.
In the best way possible, unusual.
When purchasing a debit card for your children, there are a few things to keep in mind.
Parental control would be the most crucial factor. This includes how much allowance you choose to transfer to your child’s cards, how much money you choose to load onto their prepaid card, and what you can do with the money once it’s on their card, such as setting precise spending restrictions, analyzing their spending habits, and so on.
The key benefit of a children’s debit card is parental control.
Another key point is that many cards have excellent mobile apps that make them simple to use and kid-friendly.
Some of them feature games, quizzes, and information aimed at educating the child about money, which is the goal when we give our children their own debit cards.
There are two types of cards for card fees: debit cards and prepaid cards. Only a few debit cards carry yearly or monthly user fees, although all prepaid cards have them.
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Debit Card vs Prepaid Card
Kids’ credit cards come in two forms: debit and prepaid.
They link a debit card to a bank account, allowing access to the account by the parents. There are usually no annual or monthly fees associated with debit cards.
A prepaid card is one that has a predetermined amount of money loaded onto it. Until it’s time to reload, it’s the maximum amount of money that you can swipe. As a result, the child can only use the items on the card. User fees are common in prepaid cards.
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What Are The Best Debit Cards For Kids To Become A Money Savvy?
Here is a list of them:
#1. Greenlight Debit Card
A family subscription of five accounts costs $4.99 a month.
There is no minimum age requirement for this card.
The Greenlight Debit Card, which was launched in 2014 and now has over a million members, is all the rage. Because it features everything you’d want in a kids debit card, it’s known as the greatest overall kids debit card.
For starters, this card allows the youngster to save money, spend it, earn money, donate to charity, and even invest his money if you upgrade the plan.
For the Greenlight card, there are three options. The first two allow the child to invest in equities. Upgrade the plan to $7.98 per month to gain a card that the child can use to invest in.
Although there is no interest in the card, parents can teach their children about it by building up fake interest they pay. This hobby business also educates the child about money management.
It’s cool that a child learns to save money in order to have savings or for a large purchase. It’s a crucial financial management skill.
The Greenlight card has a higher transfer limit than many other cards, allowing parents to transfer more money to their children’s cards at once.
With no minimum age requirement, this card is open to all kids who want to go on a fun learning adventure while also being able to manage their allowance well.
Use the smartphone app to get the most out of your Greenlight card. The software uses state-of-the-art encryption to keep it safe from spending categories that aren’t appropriate for children.
Parents or children can use the app to build a list of chores for their children to complete, as well as they complete the rewards they will receive once the job.
As the youngster completes duties, they may reward him or her with money or a special bonus. It’s a fun method to get your child to make his bed and finish his homework!
Parents can set up automatic allowance payments and pay directly to their children’s accounts. They might schedule these once a week or once a month.
Even better, parents can send transfers right away. Imagine your son contacting you from the candy store to tell you he’s out of money. If you feel like treating him, you can do it on the spur of the moment by sending him a petty cash. The delights!
Parents can set up fast notifications every time their child uses the card, which adds to parental control. This enables parents to keep a close eye on their children’s purchasing habits.
The youngster can also keep track of their spending and save on their own. The Greenlight Debit card is a mastercard, thus you can use it at a place that accepts mastercards.
A $4.99 family subscription includes 5 child accounts. Then there’s no charge for the first set of replacement cards. For a price of $9.99, the youngsters can have fun customizing each of their cards.
A disadvantage is that the customer service is not the best.
2. Chase First Banking
There is no monthly cost.
This card is appropriate for children aged 6 to 17.
The Chase First Banking card is a new kid’s card on the market that is powered by Greenlight, which means it has all the benefits of Greenlight without the fees! The youngster must be a Chase user to be eligible for this best checking account debit card.
They give the youngster the opportunity to assign tasks, manage their allowance, and set several savings objectives. Parents can set ATM withdrawal limitations and spending limits on certain categories, as well as set up notification alerts with comprehensive parental control.
By requesting money, children might receive quick transfers from their parents. There are no foreign transaction fees with this card.
3. BusyKid Visa Prepaid Spend Debit Card
The annual charge is $19.99, with additional cards costing $7.99 each.
This card is suitable for children aged 5 to 16 years old.
The BusyKid Visa is another fantastic card. Because this is a prepaid card, they must load it with funds and then recharged when the funds deplete.
The BusyKid visa teaches children how to save money, spend it, transfer it, donate to charity, and invest it. Unlike the Greenlight card, the BusyKid visa allows you to invest for free. Real firms, such as Stockpile, are available for children to invest in.
This card is less expensive than the Greenlight, costing a little over a dollar and a half every month.
Parents can arrange allowance transfers for specific times and rates for chore lists, paying their children automatically as they complete tasks. Parents must also approve every purchase before the youngster may proceed with it, which is a pleasant feature.
The BusyKid’s customer service is excellent, which is a plus. They accept the card everywhere. They also accept Visa cards online.
4. FamZoo Prepaid Mastercard
$5.99 per month with a one-month trial, or $3.99 per month if you pay for a year in advance.
There is no minimum age requirement for this card.
FamZoo has been around since 2006 and they note it for its various features that teach kids about money management. The adults act as bankers, while the children act as account holders. This makes this card both entertaining and informative, and creates a virtual bank for the entire family to take part in.
To begin, a chores list, you can establish a monetary reward system. Furthermore, they give parents the opportunity to set up improvised stocks so that their children can practice investing without taking actual risks.
The parents can then set up a payroll system, send transfers, make loans, and set up savings interest. Parents can also set up automatic transfers of allowances to their children.
When they deny a purchase on the card, they reveal the reason for the refusal. This card contains an optional IOU account that maintains track of money owed to the child by the parents.
There are no costs for reloading the card, making the FamZoo the finest prepaid card that is also free to reload. The card has no international transaction fees, which is ideal for vacations or school trips overseas. Transactions at ATMs are also free.
The first four cards are free, after which any further cards will cost $2.
There is no minimum age requirement for FamZoo, but a child under the age of 13 must have a parent as the legal cardholder. In fact, this card requires at least one parent to be the account holder for all children, regardless of age.
5. GoHenry
$3.99 per month
This card is appropriate for children aged 6 to 18 years old.
They created GoHenry in 2012 and have already surpassed one million customers. This card is well-known for its excellent customer support, which is available via live chat or email 24 hours a day, seven days a week.
Kids can personalize their card with their own photo, and they can use the card virtually anywhere, including online, in-store, and at ATMs. The youngster can review all of their transactions using the mobile app. A nice safety feature is that they can automatically decline any purchase that might send the card into overdraft.
Get this: if you set up a chores list with automated money rewards for chores completed, you’ll get a free card trial.
6. Current
This includes a one-month free trial in the annual fee of $36.
This card’s age is: Designed for teenagers
They derived this card’s name from the card’s symbol–Current. This is simply innovative. They founded Current in 2015 and they aimed it at teenagers but is accessible to people of all ages. It is sharp and technologically sophisticated. Direct deposits are simple and quick, and the user can set up fingerprint and facial identification to speed up transactions.
The child can earn money by completing a chore list or asking their parents for money. Besides that, the child learns how to save money, spend it, and donate to charity. The card has no interest in it.
Parental control comes into play when parents have the option to establish spending restrictions and ban transactions with specific businesses.
You can easily ban the merchant if you don’t want your adolescent to enter a local district store.
He can still enter the business, but he won’t be able to use the card to make purchases.
Let’s talk about parental authority.
Additionally, Current does not allow for overdrafts.
The child can have his or her own account or one with his or her parents.
7. Copper
There is no monthly cost.
This card’s age is: Teenagers will enjoy this.
The Copper card, which has over 130,000 users and has been around since 2019, is linked to a bank account. This, along with a few other advantages, makes Copper a better choice for teenagers than for the younger siblings.
Parents can set up automatic transfers that deposit money into their child’s bank account regularly. Besides the lack of a user charge, there are no late fines or overdraft fees, and there is no fraud liability.
The child can improve his or her financial literacy by using the mobile app. There are financial articles and information, as well as quizzes for the user to take. The person who uses it can use this card wherever they accept the mastercard and can also review their spending and savings on the app.
8. Akimbo Prepaid Mastercard
For up to four cards per account, there is no monthly fee.
This card’s age is: Recommended for older children.
They link the parent’s account and the child’s account on the Akimbo. This provides the child power over his debit card while yet allowing the parents to make the final decision. The parents receive notices every time they use the card because they are the account managers.
That’s all there is to a kid’s debit card in terms of features, but the kid gets one and the parent has control over it, so it’s a basic kids’ debit card.
There is a $2 fee for each withdrawal made at an ATM.
9. Capital One MONEY Teen Checking
There is no monthly cost.
This card is suitable for children aged 8 and up.
In learning everything there is to know about earning interest, the Capital One MONEY card comes out on top. The child can create various and many goals using the smartphone app.
Saving money for a new bike is an example of a goal. They display each goal in its own box, and the youngster can keep track of how much money they have set aside to achieve each one.
The card is easily accessible to parents, and they do not require a Capital One account to use it; all they need is a personal bank account of any kind. Parents get their own login to the mobile app, which allows them to keep track of their child’s actions, set up alarms, and lock the card at any moment.
Because there are no expenses associated with the card, children are free to use it, keep track of their balances and goals, and stay out of harm’s way while their parents monitor them.
10. American Express Serve Prepaid Card
$6.95 per month for up to four cards on one account.
For this card, you must be at least 18 years old.
The Amex card offers larger spending limitations than most other cards because it is for teens aged 18 and up. The daily withdrawal limit is $750, with a monthly expenditure limit of $15,000 per month.
Although I believe these figures are too mature for even 18-year-olds, this card proves to be an excellent tool for educating teens about money and how to practice proper money management.
It’s a prepaid card with no minimum monthly balance and no reload fees.
If the youngster has their own Amex account, there are no costs for transfers. Parents can even link their American Express accounts to make transfers even easier.
The American Express Serve Prepaid card gives a teen the freedom to spend money as they want while still being protected by their parents. There are no resources or information on learning about money on this card.
11. BlueBird Prepaid Debit Card
Monthly price of $0 for up to four cards on one account, each with its own login.
For this card, you must be at least 13 years old.
Because this Amex card has been around since 1850, you may be certain of its reliability, as it is still in use in 2021. BlueBird is an excellent American Express card with excellent customer service available 24 hours a day, 7 days a week. They can use it anywhere they accept American Express cards. This card provides users with roadside help.
There is no yearly fee, however, you must purchase the card for $5. You can, however, avoid the $5 fee by applying for the card online:)
BlueBird isn’t just for kids, but it includes some features that parents may use to get control over their child’s card. Parents can establish daily spending limitations and even prevent their children from making particular purchases or using ATMs.
At any point, parents can use the mobile app to freeze the card account. The BlueBird card stems from the 1800s, a time when parents had complete authority over their children.
12. Alliant Credit Union Free Teen Checking
They charge a monthly fee.
For this card, you must be between the ages of 13 and 17.
As soon as the child enrolls in e-statements and makes a monthly contribution to their bank account, the Alliant card will teach them genuine financial skills. After completing those two steps, customers can create their own budget and receive interest in their funds.
Parents have influence over their children’s spending by setting limitations on ATM withdrawals and regular spending. Parents can also deposit funds into their children’s accounts.
The Alliant card is a Visa card with no fees and no minimum balance requirement, as well as access to many ATMs. They rate the Alliant mobile app 5 out of 5 stars.
13. Mazoola
There is no monthly cost.
People of all ages can use this card.
Mazoola is a wonderful kids’ debit card since it is the greatest free debit card with no fees. Kids can establish chore lists with monetary prizes for doing chores, receive allowance, make savings goals, and send money between themselves.
As they track their funds on the Mazoola mobile app, the youngsters will learn to save.
14. Jassby
There is no monthly cost.
This card is suitable for people of all ages.
On the child’s phone, the Jassby is a virtual debit card. The parents can activate and deactivate the card at any moment, making it ideal for families with many children.
Because the Jassby Family Finance app can pay many children’s allowances without transfer fees, it brings this closer to home.
The card will stay free if the child pays on time every month. If the youngster misses a payment in a month, the cost is $2.99 for that month.
The child has access to the virtual Jassby mall, which includes Nintendo, Apple, and Starbucks businesses. The Jassby card makes provision for excellent internet security, thus you don’t have to worry about being hacked or staying safe.
15. Mango Prepaid Debit Card
The monthly charge is $5.
People of all ages can use this card.
You can use the Mango card as a virtual card through the app and online, or as a physical card wherever they accept Mastercard.
They charge a $3 fee for ATM withdrawals.
The Mango card requires neither the parents or the user to have a checking account. They can link the card to a Mango savings account created by the child. If the youngster deposits $25 into the account, he or she will be eligible for good APY rates.
Parents can deposit money into their children’s accounts from their own checking accounts, or they can load dollars into the account at partner merchants, such as Walmart or Walgreens.
There is no monthly cost.
16. Step Banking
People of all ages can use this card.
Because it offers both debit and credit card characteristics, the Step Banking card is the finest card for developing credit. The Smart Pay system will assist the child in establishing good credit while ensuring that they do not overdraw the account. Furthermore, because the card has no fraud liability, they will never hold the youngster responsible for unlawful charges.
17. Goalsetter Cashola
There is no monthly cost.
This card is appropriate for children aged 6 to 16.
The Goalsetter Cashola is a prepaid mastercard that allows members to set up automatic savings for certain objectives. The app includes quizzes that the user must complete once a week to brush up on their financial knowledge.
18. Kachinga
The annual charge is $36.
People of all ages can use this card.
The Kachinga is a prepaid mastercard that allows parents to set up automatic transfers to their children and receive real-time notifications when they use this card.
The software also includes financial information so that the user can learn everything there is to know about money. As a result, the user can spend, donate, and give charity. However, the annual cost of $36 is exorbitant.
19. Revolut Junior
The monthly charge is $9.99.
People of all ages can use this card.
The Revolut Junior prepaid card allows the youngster and parents to track and analyze their spending and savings. Parents must have their own Revolut account. Also, the price is high when you multiply $9.99 each card by the number of children in the family.
20. TD Go Prepaid Visa
There is no monthly cost.
People of all ages can use this card.
The TD Prepaid card has no fees; refilling the card costs $1. And if there is no activity for a month, the charge is $2.50. Setting up email alerts for balances and spending on the card allows parents to peek in.
Conclusion
Do debit cards reinforce the message of strong money management skills after all of the learning, practicing, and goal-setting?
All you have to do now is sign up for one on behalf of your son, daughter, or all of your children and see what happens.
References
https://helpmebuildcredit.com/the-top-20-debit-cards-for-kids/
