I have 4 young daughters, so I am often trying to think how I can share them money lessons at a young age.
One of the most important skills you can teach your child is managing money! Growing up, children learn a lot of things through play and physical activities like in summer camps and some through books in school. When it comes to bookish knowledge children tend to run away from it as it’s boring and seems too far-fetched but now the trend is changing through technology. Now it’s easier to bring knowledge from books into real life.
Greenlight debit card is one such example which is a debit card made especially for kids. Why for kids? Well, teaching children how to manage their finances at a young age is very important as it will help them make better decisions ahead.
How good is the Greenlight card and what are its features? Let’s explore that in this article.
What is Greenlight?
Greenlight is a debit card that is designed to help children understand how money flows in the community. Through the app, parents can send money to their kids and get real-time notifications about all their activities.
The special thing about Greenlight is that its features help parents teach kids the importance of money. That is done through rewards like when a child gets good grades or completes chores he can be rewarded with balance in his account.
That helps the child learn the importance of earning money and makes him more grateful for the resources he has.
How does the Greenlight Debit Card work?
To decide on purchasing the card you need to know how it works. For that matter below are steps you should go through:
1. Getting the card
Firstly, as a parent, you will be the guardian, funding your child. No new bank account is needed to use the Greenlight card. You will need to install the Greenlight app. You can do that through Apple or Google store. Afterward, follow the registration process to set up your account.
2. Adding funds
Initially, you will load the card with 10$. The amount offsets fees and helps verify the source of funds. If you choose to use instant bank verification then you can enter your online banking information and add 1$ to the card after connecting your savings or connect account and completing the registration.
You can also use your debit card and load a minimum of 20$ (after the first load).
3. Turn on notifications
Once your registration and funds transfer is done you should enable notifications to stay updated. You will get notified about purchases and will know whenever funds are required.
4. Get a custom card
You can order a custom card with a photo of your child for just 9.99$. You can order it from your child’s dashboard.
Pros and Cons of Greenlight
There are always two sides to a situation. If you want to make better decisions then going through both is important. To see if the Greenlight card is worth it, let’s see its pros and cons.
Pros
- High level of parental control
- Great savings and education tools
- Very secure
- Teaches kids investment skills
Cons
- You can’t load cash (it only works digitally)
Costs of Greenlight
The Greenlight card offers 3 plans. The first month is free and you can cancel at any time for all plans.
1. Greenlight
This plan will charge you money per month. You can add up to 5 kids, use the educational app, use core financial and parental tools.
2. Greenlight + Invest
If you choose this plan then you will have to pay 7.98$ per month. The extra cost gives you investment options. The Greenlight investment platform teaches kids how to invest that will help them in the future. All the features from the simple Greenlight card are also available in this one.
3. Greenlight Max
This one comes with all the benefits you could imagine! The Greenlight max card is black which is bold and enough to make a statement. It offers priority customer support, theft, purchase, and cellphone protection.
It’s great for clumsy kids and is highly secure!
Are there Ads?
There are many ads out there that explain the features, benefits and working of the card. You can take information from YouTube videos and Facebook.
How’s the security?
The Greenlight card is specifically for kids that means that security is something the company doesn’t compromise on. The card comes with features like:
- Every card is protected by FDIC insurance to protect the savings of your child
- It’s secured by a 4 digit pin
- Encryption, VPNs and Firewalls are used to minimize data breaches
- To keep your child safe, any unsafe category of purchase is blocked and kids do not get cash at the counter after spending
Alternatives to Greenlight
While Greenlight is a great option, if you want the best for your kid, it’s always a good idea to explore a bit more. There are several alternatives to Greenlight cards that you can choose from, though each option comes with pros and cons that you should compare before you make a decision. Here are a few:
- Gohenry
- Chase First Banking
- Current
- FamZoo
- Kid’s Checking Account
- BusyKid
- Prepaid Debit Cards
Conclusion
In this article, we explained the working, costs, benefits, disadvantages, and features of a Greenlight card. In our opinion, it’s a great purchase as it’s very secure and useful at the same time. As a parent, you can help your child develop financial skills while making sure your child doesn’t overspend.
The best part is that you can reward your child when they achieve something. That helps make them understand the importance and value of earning money.
All in all, a Greenlight card offers a system that helps parents and children feel more in control and connected. A win-win situation!