The BillMyParents prepaid debit card will allow parents to give their teenager a card that will help them learn the ropes of dealing with fiscal responsibility, according to a report from SanDiego.com. In addition, because this type of account has a preset spending limit parents can load as much as they want onto their child's card and don't have to worry about their child saddling them with credit card debt.
The account carries no activation fee and a monthly charge of $3.95, the report said. In addition, when it's used to withdraw cash from an ATM, there is a $2 fee. However, parents will also be able to get text message alerts detailing where and when the card has been used.
Many consumers have turned to prepaid cards in recent months because they are no longer able to borrow from lenders as a result of defaulted credit card debt.