Is there Any Good in Allowing Youngster to have Their Own Credit Cards?

Is your teenager asking for a credit card? Will it do him good? Or better yet, will providing your kid a debit card, the best idea yet to monitor your teenager's transactions?

Many conservative parents may not agree to provide adolescents and teenagers their own credit card. First and foremost reason by parents is the propensity of kids to spend on unimportant items. If they are very interested in playing video games, the purchases would likely be characterized by CD installers as well as accessories for enhanced home gaming system.

Do parents realize that there is another form of credit cards, which is ideal for youngsters, called debit cards? Like credit cards, the younger generation can use it to purchase items they need as well as items they have interest in. The word debit means is an accounting term that connotes the left hand entry on a ledger. Specifically, debit shows whether there is an increase in assets or in simpler terms, deposits for the account as well as charges for items bought.

Technically, a debit card is the relative of the automated teller machine card. Transactions like deposits and withdrawal like purchases is facilitated by this card. It is like a credit card in a sense that it can be used to purchase items. It is also an ATM card. One can make cash withdrawals depending on the specifications for a specified type of debit card.

Is it advisable for parents to give the kids their own debit card? The answer is yes. First and foremost reasons for providing youngsters with their own debit cards is one of convenience and safety. Your teenager doesn't have to wait for you at home or call you to tell you that he needs to buy something for his homework. Your role as parents is to make sure that there is sufficient funds in his debit card.  It is a very convenient method because all you have to do is make a transfer or enroll the debit card of your kids as extension of your card with specifications as to maximum amount allowable and specific items only, like foods, clothes and school supplies.

One of the best reason why parents opt to provide kids with their own debit cards is that they don't have to bring money when traveling, which allays the anxiety of parents for kids who may attract law-offenders while carrying a large amount of money. Safety is a number one concern for parents. And this card is a great way of ensuring that the young people does not carry money to serve as bait for ill intentions.

One unparalleled advantage of debit cards for youngsters is providing parents with a means to monitor what their kids are buying. Lunch money will be spent for food, while certain portion of the money in the debit card account can be used for homework and other related school activities. This set up helps to determine if teenagers are starting to get curious on illegal drug usage.

It is also one great way to see if your kid is attending school or just hang out with out of school kids nearby. Time stamps from receipts, and depending on the bank, transactions made have dates and times on them, helping you to determine if your child is where he should be.

But do remember that kids will be kids, and somehow, somewhere, they will always find a way on how to go around this system – that in the end, face to face conversation and quality time is one combination that the debit card cannot measure up to.

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For more information on credit cards, credit card comparison and balance transfer credit cards, you may contact your bank or provider, or search the web.