subject: Teach Responsible Spending Using Prepaid Cards [print this page] Teaching children, teens and young adults how to spend responsibly and manage their money is never a simple task. Parents need to teach the value of money and it sometimes takes coming up with a creative solution to irresponsible spending habits. Using a prepaid card is a great way to manage the problem and help young adults learn better money management skills.
Limitations:
A prepaid card is filled with a set limitation based on the amount parents load into the card. With CreditNowUSA.com, it is possible to find the best prepaid card options for parents who are concerned about teaching responsible spending.
Parents should explain the set limit and then allow children, teens or young adults who are gifted with the card to use it as they need. When the card limit runs out, they will no longer be able to spend any more money. As a result, it naturally teaches young adults to pay attention to that set amount and prevent overspending when it is reloaded.
Different Options:
Beyond simply setting a limitation on monthly spending, it is possible to select between two types of cards: cards loaded one time and cards that have a reload option. Parents who are concerned about irresponsible spending can use a single load prepaid card with the stipulation on spending requirements that will not allow new additions to the card.
By having several options, it is possible to teach young adults through preferred methods and prevent irresponsible behaviors.
Teaching Responsible Spending:
Prepaid cards are only a tool to help teach responsible spending habits. Since the prepaid cards do not have interest charges, it is possible to help explain how credit limits work and prevent children from becoming irresponsible with credit cards in the future by paying attention to the limit.
Prepaid cards can help teach responsible spending habits, but it will require explanations about the limitations and the appropriate usage of the card. With a little help from CreditNowUSA to find the best card, the finance lessons are able to run smoothly until children, teens and young adults understand the basics of credit and spending.
For more information, go to Prepaid Cards at http://www.creditnowusa.com/Prepaid-Cards
