Finance Trends : Card Companies To Fleece Children Of Their Allowance?

In this modern age every parent must wonder when that moment should be to tell their child the facts of life. The moment to introduce the basic premise of of good ol’ capitalism to their children…. But now, there’s no need! Card companies and banks will do this for you.

In a considerate attempt to drag our poor desperate children from ignorant bliss to super consumer, MasterCard has decided that it will be kind enough to create a new debit card for children as young as 8 years old, The Washington Post reports. Blessed with the cute designs of the Hello Kitty brand MasterCard hopes to target the $30 billion youth market in the US.

And with all that new shopping power, expect your child to ask for some extra pocket money to cover fees described as industry experts as unreasonable (activation fee: $14.95, annual renewal fee: $14.95, monthly maintenance fee: $2.95, ATM-withdrawal fee: $1.50 and a $1-per-minute fee to talk to a customer service agent).

MasterCard maintains that the card is educational device to help parents (or at least anyone older than 18) who can sign up for the card, “teach their children how to manage their finances.” Their website also claims, “Freedom! You can use the Hello Kitty Debit MasterCard to shop ’til you drop.”

The Hello Kitty card isn’t the first to be introduced to this market and no doubt the last. The market has already seen the Hillary Duff gift card from Visa and the Visa Buxx from Visa and MasterCard and the Post reposts that Paul Kurnit, a kids marketing consultant from KidShop suggests, “Up until now, the financial markets have been a little gun-shy about targeting kids directly, but I think that will change and a debit card is a vehicle that provides that opportunity.”

Washington Post Article
Hello Kitty Card Site

Do you agree with MasterCard’s decision? What’s your view? Leave a Comment.