Teaching teens and young adults to spend responsibly is a major feat – to say the least. A new prepaid MasterCard, however, aims to do just that. The facecard is a prepaid and reloadable card that is targeted towards teens 13 and up. The card is accepted anywhere MasterCard is and can be electronically funded by parents for allowances or emergency funds which are available within 15 minutes. The teens can access the funds in stores and ATMs worldwide up to their current balance, which parents can monitor from anywhere online. There are no activation or monthly maintenance charges for using the facecard, but there are fees for international purchases, using an ATM, inactive accounts and negative balance incidents.
The interesting part is that facecard functions as a pseudo social network, allowing the parents and teens to create profiles, set their preferences and find each other online. Funds can be sent to other facecard holders via the site to repay loans or give gifts.
There is also a “prewards” program with partner companies and advertisers can reward cardholders for loyalty by periodically adding funds to their card for use at particular stores. Parents and teens can indicated in their profiles what types of prewards they would be interested in.
Representatives from the Nashville-based company will reportedly be visiting 50 college campuses on Saturday, August 30th with information. With a market of 82 million teens and annual spending of almost $350 billion, this clearly makes good sense.