Jump to content
RESET Forums (homeservershow.com)

Prepaid Credit Cards


ImTheTypeOfGuy
 Share

Recommended Posts

Anyone using a prepaid credit card with their kids? Given it is prepaid, I guess it is more of a debit card. I have an 8 and 10 year old that I would like to give them to. The idea is I would load $X per week or month and they have to maintain a budget and not overspend. As far as requirements, the main thing is I should be able to monitor spending online, be able to add to it any time I wish, and it is free.

 

I found the site www.credit.com that recommends several but I would be more comfortable with a recomendation.

Link to comment
Share on other sites

Why do you want a credit card / debit card? Is this card going to be tied to an online account (like XBox Live)? Otherwise why not just keep a ledger? You could add money at your discretion but anything they spend would be deducted in the ledger. This way you always know what they are spending the money on and have input into the decision making.

 

Really just curious since I also have an 8 year old and we are starting to talk to her about money and budgets.

Link to comment
Share on other sites

I'm a fan of cash. Credit/Debit cards are too abstract IMHO. Kids don't really get the idea of money's worth from a card. Paying for things in cash really brings home the idea that, when your wallet's empty, you can't buy anything.

 

Cash flow is a vital concept, one that even a lot of small businesses don't understand properly. Give them cash and let them learn the value of a dollar.

Link to comment
Share on other sites

We have already worked on managing cash and tracking it. For every dollar they earn, 10% is for tithing, 40% is for savings, 20% is for a big goal (to buy something big), and the rest is for them to spend as they wish. The credit card is to work on managing money they do not have (at least that is what they will be told), they would like to tithe through EFT, and I want to use it for their itunes account instead of my credit card. As you can see their are specific things we want to use it for but it is really just the next progression in money management.

 

Next year (2013) we are going to start investing.

Link to comment
Share on other sites

I'm a fan of cash. Credit/Debit cards are too abstract IMHO. Kids don't really get the idea of money's worth from a card. Paying for things in cash really brings home the idea that, when your wallet's empty, you can't buy anything.

 

Cash flow is a vital concept, one that even a lot of small businesses don't understand properly. Give them cash and let them learn the value of a dollar.

 

Amen

Link to comment
Share on other sites

I usually get one for our grandaughter when she goes on vacation. That way, if she loses it, it gets stolen, etc., I can cancel the card (though the balance usually doesn't last long enough for this to happen). Go to your local bank. Most of them have the kind where you can keep adding to the balance. I don't believe they're free in most cases, however.

Link to comment
Share on other sites

I was just going to suggest your local bank too. If you are a member at a credit union then the fees may be much cheaper. You could also open a checking account that is connected to a debit card. That may not allow you to track the transactions as close as you want though.

Link to comment
Share on other sites

I am not a member of a credit union so that option is out. I wasn't considering banks at this time because of overdraft issues. I want the transaction to be denied when funds are short in the account.

 

I may just try a gift card or one of the cards on www.credit.com. Most of them indicate they are free. Just need to read the fine print.

Link to comment
Share on other sites

Exactly what I am after. Did you have to enter age verification details on your kids. I ask because it says the kids have to be 13 and mine are only 8 and 10.

Link to comment
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
 Share

×
×
  • Create New...