A children’s debit card is a great financial education tool. It teaches your children money management, saving and investment. Greenlight and Famzoo are some of the best children’s debit cards you can use to track their spending and teach them about money matters. In this article, we are going to compare Greenlight card vs the Famzoo card.
Why Give a Kid a Debit Card? Here’s What You Need to Know
- They help you track your kid’s expenses. Parents get transaction notifications
- You can create a plan for monthly spending using allowances and earnings. Parents have control over the cards for their kids and can specify spending limits
- You will be able to teach your child how to spend money, save and invest
- 1 What is Children’s Debit Card, Kid’s Debit Card?
- 2 What is a Greenlight Card
- 3 What is Famzoo inc/Famzoo Debit Card?
- 4 Greenlight Debit Card Vs FamZoo Prepaid Debit card
- 5 Similarities Between Greenlight and FamZoo
- 6 Are Greenlight Cards Safe?
- 7 Is Greenlight Card legit?
- 8 Is FamZoo Safe? Is FamZoo Legit
- 9 Greenlight Alternatives and FamZoo Alternatives
- 10 Summary of Greenlight Card Vs FamZoo Card
What is Children’s Debit Card, Kid’s Debit Card?
A kid’s debit card is just like an adult debit card and can be used in the shop, online shopping, and contactless payments. Children’s debit cards are usually linked to a parent’s current account. However, children’s debit cards do not offer overdraft facilities from the current accounts they are linked to. As such, you can feel comfortable knowing that your kid is not spending excessively on what they have. Also, your child will not be charged any fee or interest fee in an instance where the bank has to allow a payment to go through when there are no funds in the current account.
What is a Greenlight Card
If you have an interest in kid’s debit cards, you must have heard about Greenlight cards. What is the greenlight debit card? Greenlight is a prepaid debit card for kids where the parents act as the account manager, controlling how the kid use their cards and funds. The card also offers different ways through which kids can invest. Kids have the option to decide where they want to invest, but the parent has the final say.
Greenlight is a debit card that is designed for children. You can load money to the Greenlight card using Greenlight app. You can transfer money to their prepaid card manually or you can set automatic weekly transfers. Parents can set terms of transferring money like when a child scores good grades or does extra chores.
Parents and kids can access the Greenlight app, but they will see different information when they log in. If you are a parent, you can see what is going on in your child’s account. When your child logs in, they can see their balances and set goals. The objective is to help your child with financial management using tools within the app.
What is Famzoo inc/Famzoo Debit Card?
Famzoo is a virtual bank account that provides kids with a debit card they can use to invest and manage their funds. The parent acts as the bank manager and he or she can control how much money goes to the kid’s debit card. You can check how much the kid has in their account. If they want to buy something, you can buy it on their behalf and deduct the money from their account.
FamZoo is a virtual family bank that allows parents to have control over their children’s spending. Parents can automate allowances for their kids, reward them, or penalize them and pay integers for them. Parents and kids have separate accounts with FamZoo. However, a parent can control their kid’s spending.
You can manage your kids’ accounts by setting up prepaid cards for your children. You can loan money into their prepaid card using FamZoo App. You will not be charged for setting up prepaid debit cards for up to four kids. The fee is included in your membership fee.
Greenlight Debit Card Vs FamZoo Prepaid Debit card
The following is a comparison between Greenlight debit card and FamZoo prepaid debit card. We compare the features and pricing for you. In the table below we show you the Greenlight Fees vs Famzoo Fees.
|Monthly fees||$4.99 per month||$5.99 per month (or $2.50/month when paying for a 2 year subscription in advance).|
|Additional card fee||$3.50 per additional card||$3.00 per additional card|
|Card replacement fee||$3.50 per card||$3.00 per card|
|ATM fees||No charges||No charges|
- Direct deposits. You can send money directly to your kid’s Greenlight account.
- Paid interest. You can pay interest on your kid’s savings and teach them how to save.
- Set spending controls. You can set spending limits to control your child from overspending.
- Separate accounts. Your child can categorize their money into spending, saving and giving.
- Scheduled transfers. You can schedule transfers for allowances.
- Family billing. Your kids can take part in paying family expenses.
|Greenlight App||FamZoo App|
|Products||Offers prepaid debit card and kid-oriented saving platform.||It offers a prepaid debit card and IOU account.|
|Family members||Max. 5 family members||Unlimited|
|Recurring transfers||You can set up automatic recurring transfers||You can set up automatic recurring transfers|
|Chore management||You can set transfers based on completed chores.||You can set transfers based on completed chores or you can penalize kids for not doing chores.|
|Interest on savings||Parents can pay interest on savings.||Parents can pay interest on savings.|
|Shared expenses||Greenlight does not have an option for kids to contribute to the family’s expenses.||Greenlight has an additional feature that allows kids to investment offers the option for kids to contribute to the family expense which is deducted from their account.|
|Investing||Kids get access to an investing platform.||Kids don’t have an option to invest.|
|Loans||Kids cannot borrow from their parents.||Parents can give loans to their kids with set interest rates and terms.|
|Age Ranges||Greenlight is for kids between 8 and 18 years old.||FamZoo is for all ages.|
Similarities Between Greenlight and FamZoo
The following are some of the similarities between Greenlight and FamZoo.
- Both Greenlight and FamZoo are prepaid debit cards
- For both cards, parents can lock or unlock their children’s card
- For both cards, children can categorize their money into spending, saving, and charity
- For both cards, kids can set saving goals and track progress toward them
- For both cards, kids can request money from their parents, and parents can approve or deny the request
Are Greenlight Cards Safe?
Greenlight cards are safe and are FDIC insured for up to $250,000 for every person through the card’s partner bank and Community Federal Savings Bank. This protects your balance held in your Greenlight card from the risk of failure of Greenlight or FCSB. Therefore, if the two fail, your money in your Greenlight account is safe.
Is Greenlight Card legit?
Greenlight card is legit and not a scam. It has an EMV chip that stores your data securely and keeps a record any time your child makes a transaction. You can set spending controls for your child to ensure they are not overspending. Anytime your child spends money, you get an instant notification.
Is FamZoo Safe? Is FamZoo Legit
FamZoo app is a legit banking service. FamZoo is a safe and legit financial service for kids. The service has been around since 2013. The app uses MasterCard for payment processing and your funds are insured up to $250,000 through Four Corners Community Bank. FamZoo website doesn’t store your passwords or any other personal details.
Greenlight Alternatives and FamZoo Alternatives
If you are not satisfied with the features offered by Greenlight prepaid card or FamZoo prepaid card, you can try these other options.
Summary of Greenlight Card Vs FamZoo Card
Both Greenlight app and FamZoo app offer almost similar features. Also, both cards give parents some parental oversight to help children save, invest and make the right financial decisions. Prepaid debit cards are better compared to credit cards since your child cannot spend beyond the amount you have provided them in their account. Children are also not charged fees like interest rate charges and late payment fees. Depending on your needs, you can choose which is the best card for your child.