Yahoo Finance A startup is launching a new debit card for kids
Pocket money app RoosterMoney is launching a new debit card for children, the company announced Wednesday.
The Rooster Card, a Visa pre-paid card launched in partnership with Corner Card UK, will be a premium feature within the app.
Parents will be able to decide when their kids are ready to graduate from tracking their allowance in the app to using the Rooster Card to manage money in the real world.
READ MORE: Should you pay your kids for chores?
The card will come with flexible parental controls, including the options to freeze spending and limit use to specific stores, websites, or ATMs.
It will also feature new CVV technology, in order to make the Rooster Card more secure for online transactions. The three-digit security code will only be accessible in the app, and will change after every purchase.
There will be no overdrafts, so there is no risk of kids overspending, RoosterMoney said.
READ MORE: Here’s how much the typical kid banks in allowance
Since launching in 2016, RoosterMoney has grown to a platform with over 50 currencies, and tripled its userbase in the last 18 months to over 600,000 users.
The company’s said its mission is to “transform the way the world talks about money with their children.”
“We believe the best lessons are learned by doing,” RoosterMoney said. “[The app] encourages families to learn together so parents can actively educate, motivate, and empower their kids financially — giving everybody the reassurance that they’re fully prepared for the future.”
READ MORE: These young entrepreneurs save 42% of what they earn
The Rooster Card is currently being made available to families for testing, before a full release in June. The waitlist for the service launched on Wednesday.
“We’re delighted to be able to offer families our unique Rooster Card, which is a natural progression for the kids who have learned the basics with our tracking tool. A bridge between the tracker and a bank account, we are helping parents to empower their kids to make considered spending choices on their own, both online and in store,” RoosterMoney CEO Will Carmichael said.
“It was important to us that we built a secure product, utilising cutting-edge security technology, and I’m proud to say we now have a leading offer for families with kids of any age. Kids can start as young as four using the app as a star or reward chart, before graduating to a pocket money tracker and then, ultimately, the Rooster Card whenever the parents and kids are ready.”
