Best Prepaid Debit Cards for Teens In 2024

Do you want to help your teen or college student learn money management? There are various Best Prepaid Debit Cards for Teens to track their spending, set limits, and transfer money. 

When your children are still living under your roof, you can teach them the money skills they will need to become financially successful. Your teenager may not feel comfortable accessing a bank account until they develop some good financial habits. 

Your teen can easily spend more money than they have with Prepaid Debit Cards for Teens. The following facts about prepaid debit cards will help you decide whether to give one to your teen.

The given article will provide you with all the information about the Best Prepaid Debit Cards for Teens with various benefits.

Without wasting any more time, let’s dive right into the journey.

What Are Prepaid Debit Cards?

The only money you can spend on prepaid debit cards is the money you have loaded on the card. A prepaid card does not link directly to a bank account. The great thing about prepaid cards is that you can’t overdraft them, so they’re a great option for people who are just learning about money.

A prepaid card also offers the convenience of an account number. The cards can, therefore, be used by teens for online purchases.

The cost of Prepaid Debit Cards for Teens is one of their drawbacks. A cash transfer to a card typically costs a few dollars per month, plus there may be a “cash loading fee.” All of the cards we recommend have some unavoidable fees.

Can A Teen Get A Debit Card?

Teens can get their debit card, but it’s usually only approved by parents or guardians over 18. An adult can provide a debit card to a young adult over 13 who is over 18, but under 18 kids cannot open checking accounts in their names.

Prepaid Debit Cards for Teens is typically linked to a joint bank account that is accessible by both parents and teens. Most teen debit cards are simply prepaid cards that parents load with funds. Teenagers and their parents can sometimes share a checking account, and both can add, withdraw and transfer funds. The direct deposit option may be available for both types of accounts.

When parents or guardians give their teens debit cards, they usually have complete control over their teens’ spending accounts and how much money they can spend. They can usually monitor spending and freeze a debit card if necessary. There are teen debit cards with more robust apps that allow parents to pay for chores, schedule allowances, reward savings, and limit spending.

Top Best Prepaid Debit Cards For Teens

Greenlight Prepaid Card

There are more than 2 million parents and kids who use Greenlight’s card and app, making it one of the most popular teen debit cards. On the front of the MasterCard debit card, teens can upload a selfie.

The card is controlled by an app that gives parents complete control. You can tie chores to allowances in the app. It is possible for parents to set up automatic allowances on a weekly or monthly basis. Whenever the card is used, they will receive real-time notifications. The cards can also be used to transfer funds instantly.

The Features

• There is no charge for the first month. It’s easy to cancel.
• The package includes debit cards for up to five children
• There is no minimum age requirement. A minimum balance is not required
• There are no transaction fees, international fees, or overdraft fees
• The monthly fee is only $4.99.
• The management of chores
• Auto-adjustment of allowances
• Kids’ cards can be transferred instantly
• A real-time transaction alert system
• Spending controls based on store location

BusyKid

The BusyKid debit card is ideal if you have multiple children. You can subscribe to the account and get prepaid cards for as many kids as you want for as low as $4 per month (billed annually at $48). It simplifies the process of paying your kids’ allowances and managing their chores.

The app can easily assign chores and allowance amounts for completed tasks. There is no need to keep track of multiple task lists or cash allowances.

There is a little lack of parental controls with BusyKid. The transfer of money from savings to spending requires parental approval. The only problem is that there is no way to set spending limits for specific stores or categories.

The Features

• A set of chores and allowances based on age
• Real stock can be invested in
• Make a charitable donation
• Bonuses can be paid out by parents
• Transaction controls by parents
• Allowances without chores
• Savings matching between parents and children

Current

The Current card is the best for teens ages 13 and up. Teenagers can earn some financial freedom with the help of a card under the supervision of their parents. Teens can create savings goals and set up saving round-ups, and there are no monthly fees. Also included are chore and allowance tracking and strong parental controls.

Teenagers can also negotiate chore compensation, an advantage that is unique to the program. The Teen Banking account does not charge fees, and parents can control spending through Current’s app. 

The Features

• Direct deposit makes getting paid faster
• A free checking account for individuals
• Up to $100 in free overdraft protection
• Visa debit cards are available for teens
• Receive notifications when a card is used
• Teens are taught financial responsibility through this program
• Spending limits are set by parents
• It is possible for parents to block specific merchants
• Deposits are free

FamZoo

The FamZoo prepaid card offers unique features that help teach families money management skills. This app offers tools for spending, saving, and budgeting money but no educational content.

Informal loans have an interesting feature. The money you lend your teen can be repaid with interest. Your child’s savings account can also earn interest like a high-interest savings account.

You set the interest amount for both features. Your kids will learn a lot about compound interest in this activity. A higher interest rate makes it clear how quickly interest can accumulate.

The Features

• Allowances that are automated
• A reward for chores
• Savings or donations withheld
• Missed work penalties
• Savings interest paid by parents
• The expense-sharing system
• Contributions matching
• The budget
• The loan process

GoHenry

The gamified educational feature Money Missions, which followed national financial education guidelines and was developed in collaboration with teachers, enabled GoHenry to win the award for best financial literacy game. The site has quizzes, videos, and interactive lessons on topics such as investing, saving, interest, and borrowing. It costs $4.99/month for one kid and $9.98/month for four kids between 6 and 18 years old.

The app allows parents to assign chores, set custom limits for online and in-store spending, and send funds directly to their children’s cards. Those with more than one child will be charged $9.98 per month for this option. A second parent can be added to the GoHenry parent account, but only the primary parent can send money.

The Features

• Paying kids’ allowances has never been easier
• Controls by parents
• The program is aimed at kids ages 6 to 18
• The first month is free, and each subsequent month is $4.99. There is a $9.98 monthly fee for families with four kids.
• You can cancel at any time
• Alerts for real-time transactions
• Goal-setting

How To Choose Best Prepaid Debit Cards for Teens?

If you are comparing Prepaid Debit Cards for Teens, consider the following factors:

Specifications

If your loved one travels abroad, look for Prepaid Debit Cards for Teens with low overseas spending fees. When they get their first job, they should look for one that supports direct deposits. Choosing an allowance payment method that allows recurring payments and chores is a good idea.

Charges

 There are a lot of miscellaneous fees associated with Prepaid Debit Cards for Teens. To avoid as many fees as possible, make sure you both read the terms and conditions of each prepaid card.

Optional Reloads

 Some prepaid cards offer more reloading options than others. Look for a card that supports methods of depositing funds, such as direct deposits, cash, bank transfers, mobile cheque deposits, etc, that your teenager will use to access their account.

Reloading Time

Your teen’s account will appear in loaded funds after a certain amount of time has passed. A debit card or in-person add-on usually takes place instantly, whereas a bank transfer could take three business days.

Daily Transaction Limit

 It is common for Prepaid Debit Cards for Teens to have a daily withdrawal limit on cash withdrawals. Be sure your teenager knows these restrictions, especially if they’re traveling and need cash on the go.

Payment Network

 Most Prepaid Debit Cards for Teens are issued by Visa or Mastercard, both of which are widely accepted in stores, on the internet, and at cash registers.

Required Documents For Best Prepaid Debit Cards for Teens

You can open a Prepaid Debit Cards for Teens the same way you open a regular checking account. It shouldn’t take long for you to create an account online.

Make sure you have all your personal information on hand before you begin. Your account might require the following:

• Your full name
• Contact information
• The email address
• Name of address
• Birthdate
• Social Security number
• The driver’s license
• Children’s information

It may not be necessary for you to provide as much information about your child. You will need to provide your own personal information.

Application Process For Best Prepaid Debit Cards For Teens

The following steps will guide you through the application process once you have decided on a Prepaid Debit Cards for Teens:

• Your child’s spending needs should be taken into consideration when choosing a debit card.
• Fill out the application securely on the card issuer’s website by providing your name, date of birth, address, email, and phone number.
• Educate your child about the importance of managing money responsibly. Discuss the amount of money they can expect to receive regularly and set ground rules to ensure their funds are allocated responsibly.

Things To Consider Before Applying for Best Prepaid Debit Cards for Teens

Parental Control System

Parental controls are available on all of these apps, including automatic allowance payments, locking debit cards, or even checking your kid’s balance. There are some features that allow you to control what types of purchases your kids can make, limit their spending, and reward them for completing certain tasks. The amount of control you can exert over your child’s finances will vary depending on the app, but most allow you to keep track of their spending and savings and help them manage their money as needed. 

Educators Resources

There are many cards here that provide access to educational resources for you and your children. It is possible to teach your children valuable skills such as budgeting, saving, spending, and even investing. The resources on some cards are broken down by age and financial literacy categories, such as spending, saving, and credit. 

Age

Some debit cards are designed for kids with minimum age limits, but you can sign up a child until he or she is 17 years old; they can open an account for themselves when they turn 18. To get a Prepaid Debit Cards for Teens, you must confirm whether they are at least the right age and if it is the right time to get one.

Qualifications

A shared bank account and personal information are required for many debit cards designed for children. To manage their kid’s account and transfer money, parents must also provide information and download the app. 

It will usually include a simple identification such as an email address, phone number, address, date of birth, and possibly a parent’s and child’s Social Security number.

Expenditures

The spending and withdrawal limits on some Prepaid Debit Cards for Teens can be set by the parents. Your child shouldn’t spend more than the limits on the debit card. 

Knowing The Bank

Depending on your preferred bank, you may be able to find Prepaid Debit Cards for Teens. An established relationship with a financial institution can make it easier to obtain new products or good terms.

Pros and Cons Of Best Prepaid Debit Cards For Teens

Pros

• At a young age, kids begin to form financial habits. The sooner they get on the right track, the better. Children can benefit from educational apps on many Prepaid Debit Cards for Teens.
• It is easy to lose or steal cash. When you realize your prepaid debit card is missing, you can freeze it immediately. Then, you don’t have to worry about your money getting into the wrong hands. It’s also more convenient to use in the store. The register doesn’t require you to count cash.
• As opposed to regular debit cards, prepaid cards usually do not require a minimum age. Prepaid cards can be obtained by young children as long as their parents or guardians are present.
• For a child to manage his or her own money, a prepaid debit card is available. In terms of financial confidence, it works wonders for kids.
• Several Prepaid Debit Cards for Teens come with mobile apps that offer investment services. The best time to start investing is as early as possible. It is possible for kids to start buying fractional shares of stocks if they use the right platform.
• When your child is still pretty young, you’ll probably want to monitor their spending. Parental controls are available on many prepaid debit cards. Account alerts for all spending activity allow you to set spending limits, block merchants, and block spending.
• The prepaid card must be loaded before use, so there’s no risk of going into debt. Your card can only be used for the amount that is currently on it. As a result, you cannot overdraw your account.

Cons

• If you want to add cash to the card, you can bring it to a retail store. Each time you reload cash, you typically pay $3 to $5.
• Ensure that your prepaid debit card supports cash deposits if you need to make a cash deposit.
• Although there are free prepaid debit cards, many have higher monthly fees than regular debit cards. Other fees, such as ATM fees and cash reload fees, should also be kept in mind.
• Your prepaid card could cost more than you think because of these extra fees. Before you open a credit card, make sure you understand all the fees involved.
• Money can be accessed much more easily with prepaid debit cards for teens. Depending on how you look at it, this could be good or bad. Your kid probably shouldn’t get a card if he or she isn’t ready for responsible spending. In most cases, however, parental controls are flexible.
• The amount of freedom your child has can be adjusted, at least until they are capable of managing their money on their own.
• The prepaid card you use will not contribute to your credit history because it is not a credit card. A prepaid card’s activity is not reported to any of the credit bureaus.

Can You Build Credit With a Prepaid Card?

It is not possible to build a credit history using Prepaid Debit Cards for Teens. The reason is that you are not borrowing money, but you can explore the Top 5 Best Prepaid Credit Cards To Build Credit even if you’ve bad credit.

An issuer of a debit card funds your purchases, while the issuer of a credit card funds your purchases for you. Credit histories are records of how you manage your credit lines and loans, specifically how you repay your debts.

As with debit cards, prepaid cards only allow you to spend the money you have in your account. It won’t show up on your credit report, and you won’t have an associated credit line.

Consider adding your teen as an authorized user on a secured credit card to help them develop a credit score before they reach adulthood. The credit line on these cards is typically matched by the refundable security deposit you make when applying for the card.

Are Prepaid Debit Cards for Teens A Good Way To Teach Them About Spending?

A prepaid debit card can be an incredible way for teens (especially young teens) to learn about money management. Teenagers can budget for clothing and school supplies by receiving a set amount of money from their parents at the beginning of the academic year. 

Teenagers can choose how to spend the fun money they are given by their parents. Parents can help their teens plan for the future by reviewing spending and paying attention to overdraft fees with prepaid cards because they make it easy to review transactions.

FAQ

Conclusion

All in all, Teens have many options when it comes to reloadable and prepaid debit cards for teens.

There are some that offer a lot of bells and whistles, and there are others that are more basic. Kids can learn more about finances through the best investing apps for kids and teens and build the foundation for their future financial goals.