Perhaps you have been wondering if you should go ahead and get your teen a teen debit card. Our recommendation is definitely yes.
Given the numerous benefits of having one, your kids will surely thank you for it. The main thing you need is to teach them trust and that funds need to be managed well.
Children like to hustle
We all remember the period when we were children, how creative we were, and together we came up with various ways to get a little bit more cash.
The girls would make lemonade, bracelets, and charms, paint and draw while the boys would clean the yard, walk the dogs, mow the grass and deliver newspapers to neighbors.
We’ll cover what we think are the important aspects of this decision and the reasoning behind our recommendation. Sit back, and let’s cover them in a bit more detail.
What exactly is a teen debit card?
It is an international payment card, which is obtained by opening a bank account for your child, most commonly in your national currency.
It can only be used if there’s cash deposited onto it; going into the negatives isn’t an option which makes it very safe.
Adults are given complete authority and insight into spending and transactions made by the kids. You’re the one who sets the amount that they can use based on the amount that you give them. They can’t use more than that, which is a great perk.
The benefits of owning these types of cards
Research has shown that 82% of teens listen to their parents when it comes to money. Kids will divide it in the following way:
- 10% of the monthly amount goes to sharing (within the family), teaching them social sensitivity,
- 15% of the monthly amount goes to savings,
- 78% of the amount goes to consumption.
Immediately establish authority, certain household chores, obligations, and curricular and extracurricular activities that must be completed within the specified period.
Therefore, this is a great thing to get them to better understand responsibilities. Do you work well and on time and you will be adequately rewarded, as it will always be in life.
It’s best for them to learn this from an early age.
Best possible choices
We decided to single out the two best options available, the award-winning Busykid Visa and FamZoo Family.
Busykid Visa Prepaid Card
As for this one, it is one of the best choices, winning all the awards as a perfect money-saving app with benefits for both parties involved. The thing that is unique with it is the ability to always see where and how they are spending money.
Another perk that it has is that you can set tasks to be done in exchange for cashing the application by doing tasks assigned by their parents.
Also, with it, they can learn how to save, spend rationally, donate and invest a certain amount of money.
The necessary monthly fee is from $2 to $5, and the annual one will run you $40. This price also includes five cards.
With FamZoo, the trial is free, but later, you have to pay $6 per family member. It works the same as the previous recommendation in that parents put money into the account, and the card is activated.
Parents can keep track of spending and savings, and another perk is being able to ban transactions for certain things, such as sites you do not want your child to interact with.
The only drawback may be that it can be expensive for larger families. If you choose a cheaper tariff, you have to pay $60 in advance for the next two years.
Now that you’ve learned all the essentials, you’ll be able to choose one that fits your income and capabilities.
It’s the responsibility of adults to teach children how to handle money. You don’t have to be a financial genius.
Just teach them to respect and value money and teach them responsibilities that will surely ensure a bright future for them.
We advise you to offer them rewards if they fulfill all obligations and tasks within the stipulated period. Good luck and have fun.