4 Best Prepaid Cards For Your Teen

Prepaid Cards

Just when the Baby Boomers and Generation X are starting to figure out the Millennials, Generation Z is emerging and making its presence known. Generation Z is more realistic, making their goals optimistic but achievable.  They aspire to become self-made entrepreneurs and being their own bosses. Parents must wet their Gen Z’s feet and introduce money management as early as possible. A website called prepaidcards123.com explains why a prepaid debit card for your teens is a good choice and has compiled the best recommendations to choose from.

1. FamZoo Prepaid Card

On top of the list is the FamZoo card that aims to help teens develop good habits by offering a thoughtful and insightful approach to money- management. For example, parents can link allowance to behaviors they want to reinforce and can even penalize (by charging for incomplete chores) or put their teen’s account on hold.

FamZoo offers convenience through its web-enabled or mobile app controlled system. With as little as $0.63 per card ($2.50 per month for 4 cards with 2 years subscription), parents have the influence to set savings goals, reinforce good behaviors and facilitate instant transfers between family cards.

2. American Express Serve

American Express Serve card, one of the lowest cost prepaid cards, provides three versions of the Serve card—the basic Serve card, Serve FREE Reloads and Serve Cash Back. All three cards allow users to create up to 5 sub-accounts however they differ in their monthly fees. Basic Serve card charges only $1 per month for the principal card while Free Reloads card charges $4.95.  This card on the second spot seems similar to FamZoo as it can also monitor in real-time the actual spending of your teens, can be accessed via internet or mobile phone apps. However, American Express Serve does not allow parents to suspend the use of the said card. It also lacks the budgeting tools, savings targets or incentives that the former offers. Subscribers may also run into a few sellers or stores that, unfortunately, do not accept American Express.

3. Current Prepaid Visa Card

Our next pick has features that will give the 1st on the list a run for its money, however, the lack of free ATM networks and absence of FDIC insurance puts it on third.  Like the first two cards on the list, Current can be accessed conveniently via mobile app and makes monitoring the expenses possible. What makes it unique, however, is the feature that allows parents to block or limit the spending of the teens at particular stores or certain categories.

Current subscription is at $3 per month for the first teen card, however additional cards are billed at $1 each.

4. Akimbo Prepaid Mastercard

Last but not least is this budgeting card for teens known as the Akimbo Prepaid Mastercard.  Same with FamZoo and Current cards that allow the parents to establish automatic transfers and track spending, parents can also move the deposited money back from the teen card.

No monthly fee is required for this card, but it requires a one-time activation fee of $4.95 with only one free subaccount. Subsequent subaccounts also require a $4.95 fee. Because Akimbo does not have a free ATM network, withdrawals are similarly subject to charges. These ATM fees could result in higher costs putting this card in fourth place.

Teens need money, teens use money. As parents, help them handle their money the right way.

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