If your child is already a teenager then you know by now that they want a little bit of financial independence, whether the money they have comes from you or from various little jobs they do around the neighborhood, so today we’re going to take a look at 6 easiest prepaid debit cards to get for teens.
Now, everyone knows that while cash is awesome, having a little plastic card in your pocket can be a bit safer on some occasions. Plus, you get the added benefit of being able to make online purchases which are extremely convenient, especially for the always-connected teenagers. Of course, instead of thinking just what they would buy with these cards, teenagers could be looking into 15 easiest debate topics for high school.
There’s a problem, however, since teenagers can’t really get their hands on a credit card or regular debit cards that are attached to bank accounts. Therefore, prepaid debit cards have become quite popular among those that can’t get a credit card.
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To get things started, we should mention that a prepaid debit card is different than the cards you’re used to. It acts likes a checking or savings account, without the risk of kids running up a debt. In short, you deposit money on the card and then it becomes accessible to your teenager. Depending on the card, they can use it to buy things in brick and mortar stores, online and even to check online on what they’ve spent their money.
The prepaid debit card looks like a regular card, it carries the brand logo and acts like any other card. Your teenager will only be able to use the money that’s been deposited on the card, so they’ll have to be careful with what they have there.
These prepaid debit cards can be purchased at retail stores, and some can be found already loaded with a certain amount, which you’ll obviously have to cover at the register. Alternatively, you can order one online or get one from the bank.
The biggest disadvantage of this type of cards is the number of fees attached to them. While there are many perks to owning such a card, you need to be careful about the various “hidden costs,” those fees that are not that visible at first glance. Some cards will charge you for calling customer service, or when you reload the card, even when you activate it.
In order to create our list, we took a look at ConsumerReports that took a look at the available options and gave out ratings for each based on their value, fees, transparency, convenience, and safety. Since the latter noticed two different types of prepaid debit cards – ones that are used in addition to a bank account and ones that are used as a substitute for a bank account, we decided only to focus on the second type since teenagers are supposed to be the recipients.
6. U.S. Bank Contour Card (Visa)
This particular card is issued by the U.S. Bank and it carries the Visa logo. The card is accepted everywhere the Visa Debit Cards are accepted, which is mostly everywhere since these are the most popular out there. You can use this prepaid debit card to pay bills online directly on merchant websites, but also over the phone and in person.
Free cash withdrawals are available via U.S. Bank and MoneyPass ATMs, which should make things a bit easier for those looking also to have some bills in their pockets.
Deposits made via any U.S. Bank branch are free. Also free are the direct deposits of your payroll or government benefits check. If you sign up online, you can access free text and email alerts and account management tools.
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5. Green Dot Prepaid Visa
Issued by Green Dot Bank, this card is pretty transparent with what you can use it for and how much it’s going to cost you. To start things off, you’re going to be able to use it to shop online, pay bills or for whatever purchases you want to make on a daily basis. The balance can be checked via a mobile phone app, which makes it easy to control. Furthermore, withdrawals can be made via some 22,000 MoneyPass ATMs, and they’re free. Withdrawals from outside this network will be charged so you might want to avoid them if you can.
You can get the card in stores, but there’s going to be a price attached to it, or order it online for free. In order to use the card, you will have to pay $5.95, although you’ll be able to waive this fee if you load at least $1,000 on the card or have 30 qualified purchases posted.
Adding money to the card is free if you pick “direct deposit” of your paycheck or government benefits, but it will cost you an extra $4.95 if you do it via a store.
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4. Prepaid Visa RushCard, RushUnlimited Plan
Issued by The Bancorp Bank, RushCard bears a Visa mark so you can use it as such for whatever you need, be it paying your bills, making online purchases or paying for groceries down the street. The card comes with no monthly fees, although this seems to be a temporary promo involved.
Loading money onto the card can be done via Direct Deposit if you wish, but there’s also the option of adding money via various locations where retailer fees may apply. You can withdraw cash from MoneyPass ATMs for free, but other ATMs may charge separate fees. Considering there are some 23,000 MoneyPass ATMs, you’re bound to find one nearby.
The RushCard prepaid debit card can be used to pay rent, utilities, the insurance and so on, and you may even use it to transfer money to other RushCards, be them yours or your friends’. The card also comes with various tools you can use to help reach financial goals and there’s always customer service available if needed. There’s also a mobile app to help you manage the card account easier.
3. American Express Serve
This card is issued by American Express and it’s one of the 6 easiest prepaid debit cards to get for teens. It comes with a free direct deposit option, as well as free online bill payments. Withdrawals are free from MoneyPass ATMs, so that should be quite convenient when trying to get some cash to have around in your pocket. Withdrawals made outside this chain will cost $2.50 plus other ATM operator fees.
There’s a monthly fee of $1 for the card, but the fee is waived if you pick direct deposits of your paychecks or load the card with $500. Since this is teenagers we’re talking about you’re probably going to end up paying that fee, though. Cash reloads can cost up to $3.95 depending on the retailer you pick for the action.
2. Chase Liquid (Visa)
The Chase Liquid card is quite nice to have. It can be obtained from any Chase Liquid branch, but you’ll have to make sure you have the $25 needed to make the initial load of the card to get it started. There are no fees to open or activate the card, which is obviously a good thing. Loading the card can be done from Chase QuickDeposit or Direct Deposit, or even by transferring funds from eligible accounts and it’s all free.
The prepaid debit card can be used to make online purchases or to pay for everyday goods at your corner shop. Paying bills online can also be done with this card, which is useful when you want to give your kid a few extra responsibilities like taking care of the utilities.
The card comes with a flat monthly service fee of $4.95 which you can waive if you link a checking account.
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1. Bluebird (American Express)
Everyone seems to be in agreement that the best prepaid debit card to have is the Bluebird. That’s because it’s so easy to get and to cheap to hold. Unlike other similar cards, there’s no annual or monthly fee attached to the Bluebird, and no activation fee. The card is free to get if you order it online and will cost under $5 if purchased from various retailers.
Adding funds to the card is free no matter the method you choose, be it as a direct deposit, from an account, online with a debit card, as a mobile check deposit, as a check by mail or with the help of cash or debit card at Walmart.
Cash withdrawals are free at MoneyPass ATMs, but will cost you $2.50 at other ATMs, plus whatever operator fees may apply.
Other services are also free, including sending and receiving money, exchanging money for a foreign currency, replacing the card, keeping the card dormant or calling up customer service.
Overall, it’s easy to see why this is at the top of the list of the 6 easiest prepaid debit cards to get for teens.
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