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Debit card

Are reloadable debit cards safe to use?

By Debit card

Reloadable debit cards, or prepaid debit cards as they are widely known as, are emerging as a great alternative for cash as they are safer than carrying cash and offer more convenience. Offline or online transactions with these cards are as secure as using standard credit and debit cards; as they offer all the important security measures such as remote card blocking & theft protection facilities to safeguard you from the threat of unauthorized transactions.

Pre-approved vendors where you can use the card

 SpendSafe offers parents further peace of mind as they allow you to pre-approve a list of vendors where your child can use their prepaid debit card; an additional convenience which cash can’t offer. Parents or legal guardians can choose to reload their child’s Spendsafe card via the mobile application. Reloadable debit cards have thus also become a popular gifting option for kids since they work just like gift cards and also allow your young ones to learn about important money management skills. Such platforms also allow you the facility to track and monitor your child’s spending and understand their spending patterns.

No risk of debt accumulation with a prepaid debit card

The Spendsafe kids debit cards also offer security acting as a safety net for your financial future as you can only use the amount loaded on to it; safeguarding you from the risk of accruing huge amounts of credit card debt and ending up with a bad credit rating. Parents have begun to give their young ones prepaid debit cards instead of making them an authorised user of their personal credit cards to protect their own credit ratings as well as allow their children to become financially responsible and judicious right from a young age. 

Protecting your financial information

A huge benefit of opting for our Spendsafe kids debit cards is that it protects you from data-theft since a prepaid debit card isn’t linked to your bank account, thereby securing sensitive information from potentially getting exposed. If your child loses the card or accidentally shares details about it online then the card can be locked immediately. If someone does try to use the card fraudulently they will only be able to access the amount loaded in the card – not your entire bank account.

Learn more about SpendSafe and our prepaid debit cards for kids.

How do debit cards for kids work?

By Debit card

If you are a parent or a guardian who wants their child to inculcate sound financial habits right from a young age, then a debit card offers an intriguing and secure way of introducing your young one to the world of finance. Most major banks have begun to offer debit cards for kids as young as 14 years of age.

How to reload a debit card for kids

A debit card for kids is prepaid in nature, and requires a parent or a legal guardian to pre-load it. Parents can do it simply through our mobile app, their online banking site or even their credit card – there’s no need to pay a visit to the bank branch for this. In essence, these cards work just like any other debit card, and are a lot more secure way of carrying money. Prepaid debit cards come with the same chip-and-pin technology as yours do; and they have a set amount of funds, which makes them safe to use.

Benefits of having a pre-loaded amount on the card

The biggest advantage of using a prepaid debit card is that it allows your child the time to develop sound spending habits over time. Since it functions in a prepaid format there is no way your child can spend beyond the pre-loaded amount, thus making it a safer option than giving your child your personal credit card. Also, allowing your child to have a savings account from a young will help them understand the importance of savings.

Monitor your child’s activity on the app

Apart from offering several safety features and overall convenience, prepaid debit cards also offer parents several other significant advantages. Prepaid debit cards allow you to monitor your child’s spending via your bank’s app. Moreover, you can also set spending limits for them and also choose where they spend the money, thus offering you more accessibility and control than cash. This also allows you to learn about your child’s spending habits and thereby further help them with their spending patterns by advising and guiding them. In recent times, effective platforms such as SpendSafe have emerged, which prevent your kids from making illicit purchases by allowing them to shop only from pre-approved vendors, to further alleviate your stress and offer you enhanced control over your child’s spending.

Spendsafe kids debit card or a prepaid debit card 

Prepaid debit cards for kids are also gaining popularity because of their versatility as these cards can be used for their transactions. These cards function in a similar fashion to gift cards and are thus becoming a popular gifting option. Most prepaid cards offer several other interesting perks such as rewards programs, cash backs and additional discounts at certain outlets.

While choosing an appropriate prepaid debit card for your kid it is important to keep in mind that every bank has its own set of policies with respect to the minimum age of the applicant and interest rates. If you opt in favour of a debit card for your kid, then your bank may charge you basic fees at regular intervals, these fees may skyrocket in comparison to the obvious benefits of adding on a Spendsafe debit card for your kids.

To know more about SpendSafe and our prepaid debit cards, click here.

Best way to control online shopping and in-app purchases

By Debit card, SpendSafe

The biggest reason for choosing a SpendSafe debit card over a bank debit card or ‘prepaid credit card’ is the ability to monitor spending. With regular cards you have to log onto each bank account separately to view transactions and then isolate them from your own; this isn’t even possible with most reloadable cards. 

Best way to control online shopping and in-app purchases?

With the Spendsafe app, encouraging parents to monitor their child’s spending habits on their debit card. We believe it’s truly important for parents to devote time, have conversations about spending habits early and offering their guidance. This is the reason why Spendsafe offers a seamless user experience, for parents with multiple children to fund and access their accounts from one platform. With features like activity monitoring of your child’s debit cards to scheduling allowance payments through the same app, it provides full transparency. Teach your kids to become budgeting pros.

The benefit of using the app is the amount of control you have. If at any point your child accidentally misplaces the debit card, there is an option to lock the card and protect the funds on it. This option may also be useful to prevent children from overspending. You can approve where any money can be spent – physically or digitally. Online shopping, ‘app stores’ and in-app purchases have become one of the most common points of sale for kids these days. Using a combination of SpendSafe parental controls in our app and the on-device parental controls you can determine where children can spend money, and how much. Convenient push notifications by our app straight to your phone keep you informed at all times and save you from the dreaded ‘bill shock’, something that’s become all too common for parents who simply hand over their credit card to children.

Someday your children will thank you for the financial discipline you instilled in them from an early age. By choosing SpendSafe, your child will receive hands on-experience with money. Parents will be able to start an early on educational home lesson on budget spending. By spending their own allowance and chore money, they will realize the value of money. It reduces their urge to spend money on impulse.

Protected and Trusted.

The SpendSafe reloadable card experience has been designed, first and foremost, to be easy to navigate. We want parents and children to be able to transact conveniently, while still maintaining boundaries. Spending limits, pre-approved merchants, alerts warning you if your child tried to use the card somewhere they were not permitted to are just a few ways the safety of your child’s transactions are protected. The payment process is secure so parents have nothing to worry about, the debit card is powered by mastercard and insured by CDIC. With encrypted security software, SpendSafe is looking to eliminate stress from parents’ minds about their kids’ purchases. This leads to trust and open communication between parents and children on whether they are making the right decisions.

What is the right age to get your child a debit card?

By Debit card

Some children are able to handle decision-making skills from an early age, however others may need guidance. It’s better for children to learn from their mistakes under their parent’s control, where slight hiccups can be treated as a lesson. Give your child a head start on learning to be conscious about their money spending and saving habits.

 Why Give Kids a Debit Card?

There comes a time when children need to take a more hands-on role in making purchases at a store. A debit card can be the key method to guiding children to explore the basics of finances. Such as by tracking expenses, monthly spending using their own allowance and chore earnings. As well as understanding the difference between their wants and needs. Eventually, this makes kids interested in the topic of budgeting and finances. By being aware of their own purchase choices they will have a better understanding of what things should cost and the value of looking for items on sale. 

Moving from cash to a debit card to a credit card is a process. It’s not uncommon for a number of kids to lack the knowledge of how to save money. With parents who look after their every purchase, kids move onto becoming teenagers unaware of how much things cost and how to handle money. By choosing to make a digital leap, parents can discuss spending and saving to kids, which leads to them becoming more conscious of their money spending habits. It also gives them the opportunity to grasp the concept from an early age. Financial responsibility has to be taught in order to build a solid foundation of financial knowledge. That way when they are ready to live on their own, they will be able to reach a level of financial wellness. 

What Age to Give Kids a Debit Card?

Ultimately, the choice to give a child a debit card is a personal decision. It is between the parents’ judgement and the child’s maturity. By learning money management skills from a young age, kids are able to move forward in society with the basics of modern banking. They practice simple electronic banking before entering the globalized economy. Our intention at SpendSafe is to introduce a child-friendly debit card to teach kids about budgeting money. Banks will traditionally offer a normal bank account, however SpendSafe kids debit card features work with the whole family. If taught from a young age on proper spending habits, they will make positive long-term life decisions. 

SpendSafe has designed a debit card for kids, managed by parents. There is no hassle when going cashless, it’s even viewed as the easiest method to teach your kids real-world lessons on financial responsibility. With the convenience of one app, parents can manage the money together with their child. Kids may have the freedom to spend, but they will be under parental supervision with features like spending limits. The best method to learn about your child’s spending habits is to see where their allowance or chore earnings are going. Parents are encouraged to be part of this platform, as kids are taught by actions.

Read more about SpendSafe debit card and find out how we help parents introduce children to managing money in the 21st century safely.

spendsafe 5 reasons why your kid will love their new debit card

5 reasons why your kid will love their new debit card

By Debit card

For parents, having the ability to constantly monitor their children’s spending habit is probably the best thing about giving their kids a prepaid debit card.  Although easy transfers and approvals might be the motivation for choosing a prepaid card as parents, that probably would not seem very exciting for your kids. For kids, prepaid debit cards are the gateway not just to financial independence but freedom in general. Here are five reasons why your kid will love their new SpendSafe prepaid debit card.

Buy anything, anywhere – Unlike cash, prepaid debit cards allow kids to shop on any platform be it ecommerce platforms, app stores and at brick-and-mortar shops. This gives kids the ability to purchase a wide selection of items. While physical shops contain products of limited variety, online platforms open up the potential to conduct product research, compare prices, scan for discounts and only then make a purchase.

Easy to reload – Kids, especially teenagers, hate to ask for money from their parents! And what’s even more awkward than asking parents for money is doing it on a regular basis. Thankfully, prepaid debit cards are not just easy to use they are extremely easy to top-up. As our cards can be controlled through an app, parents can directly transfer money to their kids’ accounts at the touch of a button.

Sense of Independence –  More than money, kids love the sense of independence they get when they are free to spend their money whenever and wherever they want.  Most kids start learning about the importance of money from an early age. Owning their own debit card is like a stamp of approval from adults. It makes feel them important and grown up. Knowing that parents trust them with money makes kids feel secure and confident.

Save for bigger items – Using prepaid debit card services such as SpendSafe, kids can deposit all their savings, allowances and chore earnings in a single account that is linked to their cards. Pooling all their resources boosts their saving capabilities so that over time they can afford to make bigger, more expensive purchases without having to ask for money from parents.

Personalized Accessory – Most parents know that ‘status’ is a big concern of teenagers. For them, a prepaid debit card is not just about money, but a valuable social accessory. And there is nothing a young-adult values more than personalizing their prized possessions. Our prepaid debit services allow our customers to personalize their cards. Bearing their own name and customized display, teenagers can now design their newfound financial independence to stand out from the rest.

Want to know reasons you would love a prepaid debit card for your child? Register now and find out more.

spendsafe Need a debit card for your teen Best features you should look for

Need a debit card for your teen? Best features you should look for

By Debit card

In the modern world, most individuals and businesses use some kind of digital payment method or another. To make sure that their kids are active participants in this global online market, more and more parents are opting to get their kids a prepaid debit card. Prepaid debit cards enable youngsters to purchase products online in a well monitored and secure environment. Teenagers are free to spend their money without the risk of carrying cash and parents can finally breathe a sigh of relief as they can assess their child’s spending habits at the click of a button. Here are some features that you can consider if you are planning on getting your kid a prepaid debit card.

Ability to monitor financial transactions – Perhaps the biggest benefit for parents getting children prepaid debit cards is the amount of oversight they can exercise. Using our services, parents can pre-approve shops and set specific limits so that their teenage kids are unable to use their cards elsewhere. Our easy, user friendly interface allows parents to monitor transactions, track spending habits and prevent their children from making unwanted or illicit purchases.

Eliminates risk of carrying cash – Operating completely on a digital interface, prepaid debit cards absolutely wipe out the need for cash and all worries that are associated with it. While lost cash is not replaceable, lost cards are immediately blocked and easily replaced. This would come as huge relief for parents as carrying a lot cash can be a bit risky, especially for teenagers.

Easy transfers between accounts – As the accounts of their parents are linked to theirs teens can easily receive money from parents through dedicated and free app services. Regular reminders ensure that they never miss their monthly allowances.

Limit and pre-approve purchases – A big worry for many parents is the spending habit of their teenage wards. By using our services, parents can pre-approve vendors and shops. This ensures that the card won’t work in any other store other than approved ones. In order to limit spending capabilities, parents can cap budgets on those shops and their kids won’t be able to use more than allowed.

Single interface monitoring – If raising a single teen seems difficult, teaching a bunch of them financial responsibility might seem impossible. Thankfully, our services allow parents to monitor multiple accounts from a single digital user-friendly interface.

With more awareness, cashless transactions are on their way out. Register with SpendSafe to know more on the benefits of our prepaid debit service and how it can empower your child with online financial management.

spendsafe blog manage back to school spending prepaid debit card

Managing back to school expenses with a prepaid debit card

By Debit card

A pre-paid debit card may be just what you need to manage back to school spending this year. Usually this is the time when parents heave a huge sigh of relief, as children return to school. This year that’s not a given, with some schools and universities permitting physical classes and others sticking to online classes.

The start of a new academic year is a time of out of control spending for many parents. For school-going children books, stationery and sneakers are big ticket items, but for college freshmen, get ready to splurge on laptops, online subscriptions and furniture!

The SpendSafe debit card is here to bring order to this madness. Give your child the freedom to spend on things he or she wants, but retain the ability to rein in their excesses. Find out how a prepaid debit card for teens helps you manage back to school spending this year.

How the SpendSafe debit card helps you manage your children’s spending habits

Prevent overspend – Load the card with a finite amount of funds which you can replenish. You can even set limits on the total spend allowed, after which transactions must be approved by you.

Set merchant limits – Worried your kid might spend on games instead of books? Parents can set limits at which stores (and how much) money can be spent.

Save for later – Our prepaid debit card for teens lets them save for big ticket items too. It’s a great way to develop the important like skill of saving.

No credit card shock – Save yourself from the shock of huge credit card bills. Our card lets you see how much is being spent and manage spending in real-time.

Earn extra – Find chores, errands and good behaviour to reward children for. It’s a great way to build some good habits and letting them splurge on things they want.

For most parents who are constantly worried about what their child is spending on, a parent-controlled debit card is a godsend. Large dollops of money and the ‘unlimited’ freedom of a credit card has contributed to many a child discover bad habits. The worst part is parents don’t discover these things till the end of the month, till they finally see their credit card statement. Not so with a prepaid debit card, where you can see how much has been spent.

Using SpendSafe to manage spending

Fun! That’s what we make back to school shopping. Register with SpendSafe to make a list with your kids of all that you need to buy, negotiate spending limits for everything and then let them do the shopping the way they want to.

Portrait of a shocked little girl in hat and skirt

Kids learning the difference between debit and credit cards

By Debit card, Educating

The piggybank is usually how children are introduced to money. The jar becomes heavier and heavier with coins till one day it is broken open to reveal its treasures. Welcome to Savings 101.

Romantic as that sounds, it is a hopelessly out-dated way to teach children how to handle money – unless you want them stuffing their mattress with notes once they grow up. Much better, get a kid’s debit card instead and teach them how to manage ‘plastic’ money from an early age.

Debit cards and credits cards are the two primary means of payment today; and though they look similar they couldn’t be any more different. That’s why first time credit card users are so often lured into a ‘credit trap’, as they struggle to manage the seemingly endless piggybank that it seems to be.

Reminding ourselves of the differences between a debit and credit card

It’s not just kids who need to learn about debit cards vs. credit cards. As adults we have become so accustomed to whipping out the “Visa” or “Mastercard” or “Amex” we too have forgotten that using a credit card is not actually spending our own money. Here’s a quick refresher on the basics of a debit card and credit cards:

Debit cards – Linked directly to a savings or checking account; money is withdrawn directly from the account for transactions; you can spend only as much as is available in the account.

Credit cards – Withdrawals and spending are a ‘borrowing’ against a line of credit; you can spend up to your credit limit; it has no correlation with how much money you have in the bank.

Why kids need to learn the difference between a debit and credit card

For a child learning to distinguish between the two is the first step to financial maturity. For parents, too, it can mean fewer surprises in their credit card bills – though getting a SpendSafe debit card for their 12 year old will achieve the same thing.

Spend what you have – Debit cards let children spend up to what they have and no more. The first “Payment Declined” message may be embarrassing but it teaches them to manage their spending better.

Parents not picking up the tab – A parent’s credit card seems like an endless well of money to a kid. Giving them ‘unlimited’ spending power (when you quietly pay the statement at the end of the month) hurts their ability to weigh-up the value of purchases.

No unexpected fees – Credit cards have fees and interest rates attached to almost everything. Didn’t pay your statement balance? Pay monthly fees. Did you withdraw cash with a credit card – there’s a cash transaction fee for that. Debit cards have far fewer fees and a far more transparent fee structure.

Same convenience – Debit cards and credit cards are accepted at virtually all the same places. In fact, parents can reload the SpendSafe debit card in a pinch so you know your child is never without money.

Educate and empower your child for the financial future of today. Kids’ debit cards offer a safe space for children to learn to spend on their own and manage their own money. With the parental controls we offer, the SpendSafe debit card is even suitable for kids under 12 years old!

 

Try out SpendSafe and register for a personalized debit card for your child today.

Monitor spending | Set spending limits | Reload the card instantly

children don’t need to carry cash

5 reasons why you should get a prepaid card for your kids

By Debit card, Educating

Nowadays parents wish to see their children excel in their professional and personal lives and also become financially independent as soon as they can. In modern times, the higher the person’s financial literacy, the higher their chances of success.

In fact, financial literacy is very important on the personal front too as the cost of living is rising in cities globally; and with that comes the issue of managing your personal & professional finances. The good thing is, you can give your kids a head-start.

Financial literacy doesn’t necessarily mean that you have to pull-out a list of the best business schools in the country or asking your kids to invest your money in the stock market; no, it simply means to familiarize them with the idea of money management, and you can start right from the comfort of your home by getting them a prepaid debit card.

Prepaid debit cards, as the name suggests, require you to pre-load money onto a card. In addition to that, certain platforms such as SpendSafe even allow you to set tasks for your children, thereby developing a strong work ethic in them right from a tender age.

In addition to that, prepaid cards for kids are also a great idea for the following reasons:

  • Offers you convenience and control: With prepaid cards and platforms such as SpendSafe you can monitor your child’s spending activities right from your mobile phone. Moreover, it offers you greater control as you pre-approve where your kids can actually spend the money from a wide array of vendors which include multiplexes, bookstores, restaurants and cafes amongst others.
  • Preparing them for the life ahead: You can also choose to set a list of chores your children can participate in to unlock funds for themselves, thereby laying down early foundations for their professional lives. Moreover, they would become far more responsible with their spending, with the knowledge that they will have to earn their next allowance.
  • Offers your children autonomy: It is a well-established fact that teens dislike being treated like toddlers and on the contrary enjoy having a certain level of autonomy. Despite the fact that prepaid cards for kids offer you greater control over their spending, they also offer them the agency to pick and choose the tasks they would like to undertake to unlock money for their personal use, thereby instilling them with a sense of freedom as well as making them aware of the responsibility of their actions.
  • Protects their financial future: There have been numerous cases of young adults being allowed their own credit cards, eventually landing themselves up in huge debt by spending their credit in a frivolous fashion. Generally, credit card funds are seen as ‘free money’ by youngsters, who have little to no knowledge of the perils of a bad credit score. A bad credit score could make them ineligible for a student, house, and various other types of bank loans. Here, prepaid cards for kids act as a great alternative as sterner withdrawal limits help you in raising individuals with more conscious spending habits.
  • Less risky than cash: Apart from saving you the hassle of fishing out for change every time your kid wants a bar of chocolate or an ice-cream, a prepaid debit card also makes it a safer experience for your child when they are out and about on their own. It eliminates the chances of theft or human error; since you can always forget your cash or misplace your wallet somewhere. A secure PIN prevents anyone from misusing your child’s prepaid debit card and in case it is lost or stolen, you can always get it blocked by calling up the customer care service.

Thus, in exchange for just a few dollars every month in the form of activation and transfer fees, you can enjoy peace of mind as well as assist your children in creating a safer tomorrow for themselves.

To register with SpendSafe, click here.

difference between spendsafe and a bank debit card for kids

Difference between SpendSafe and a bank

By Debit card, SpendSafe

There is no such thing as ‘too early’ when it comes to learning about matters such as financial independence and the functioning of our financial institutions. The need for understanding these subjects is amplified in the current unfavorable economic climate created by the Coronavirus global pandemic. Thus, it is important for your kids to know about the importance of saving money and know how to use their allowances in a sensible manner.

Although, it is important to take into account the age of your child while educating them on financial matters because, at their age, understanding nuanced financial jargon is nearly impossible. As the adage goes; ‘half-knowledge is worse than ignorance’; thus, directly exposing your children to our conventional banking systems at an early age could, in fact, encourage irresponsible fiscal behavior further down the line.

It makes more sense to gradually ease them into this process and communicate with them in a format they understand best. It is a well-established fact that children respond best to a ‘task-reward’ system where they are awarded for successfully completing a task or a chore. Whilst creating and maintaining this task-list along with the respective remunerations etc. could be tedious for you, an intermediary such as SpendSafe could sort you out.

SpendSafe is an app which offers you prepaid debit cards for teens on which you can load money for your children. Your children can unlock those funds for their personal usage upon completion of certain tasks or chores, as decided by you. This mechanism works better than directly handing them an allowance as it psychologically trains their mind for the real world, where they will have to earn a living.

In order to streamline their children’s spending through SpendSafe, parents first need to sign up and then subsequently register their children individually before setting an allowance for them and choosing from a list of vendors where their children can spend the allotted money.

However, there are several more key points of difference between SpendSafe and standard banks:

  • Reduces mismanagement of funds: A hallmark feature of SpendSafe is that it helps you choose the vendors with which your children can execute transactions. They can choose from a vast range of vendors ranging from restaurants to shops and from movie theatres to bookstores. A standard debit card, on the other hand, can be used to pay almost anyone; thereby often resulting in misuse of parents’ hard-earned money.
  • Levels the playing field: On the face of it, the platform seemingly tips the scale in the parents’ favor. But in reality, it gives the children more autonomy as they can pick and choose the tasks they wish to do, and in a way, making the money they need. Thereby improving their decision-making, boosting their self-esteem, increasing their understanding of finances and thereby helping you in creating a more holistic and well-rounded individual.
  • Reduces chances of mishaps: Since this method eliminates the use of cash, it eliminates the chances of cash-related bullying or extortion of any kind, which is an oft-ignored fact but is definitely noteworthy.

Prepaid cards are easier to obtain than standard debit cards due to the stricter regulation by banks, wherein more of your personal information is requested, along with a thorough check of your banking history. Obtaining a prepaid card is relatively hassle-free.

Thus, if you’re looking for a prepaid allowance format which offers you more control as well as allows your children to have a sense of autonomy, then click here to register with SpendSafe, one of the best debit cards for teens.