Discover recently introduced the Current by Discover card. A prepaid credit card geared towards parents, teens and students. This can be a better option than your teen having a traditional debit card, where funds come directly out of their bank account because of the the risk of being overdrawn and incurring overdraft fees.
Benefits for Teens
This is one of the few prepaid cards on the market that offer rewards when you shop at certain stores in person and online. Rewards are even available for shopping at certain restaurants. You can cash in your bonuses at stores like Target and Sports Authority with Current Deals, Discover’s reward site for the Current by Discover prepaid credit card.
To help you budget you can set daily spending limits on your card and you can track your purchases. Discover also offers you several online financial tips and tools to help provide you a with money management skills.
Your parents can deposit money to your account and you can easily withdraw it at any ATM (if they allow the use of an ATM).
Benefits for Parents
You decide how much your teen can spend and you can restrict shopping in categories such as hotels, tobacco stores, liquor stores and more. You can also set the card to not dispense money through an ATM.
You can add funds to the card from any checking account, savings account or credit cards.
A $0 liability guarantee keeps your money safe from fraudulent charges and you can disable the card if it’s lost and easily enable it once it is found.
Membership is only $5 a month and there are no minimum balances, loading fees or credit checks. If you’ve been nervous about using a prepaid card in the past you can now try a prepaid card from Discover, an established bank you know and trust.
