Best Bank Cards for 16 Year Olds to Manage Finances

As a teenager, having a bank card can be a great way to learn how to manage your finances. Many banks offer bank cards specifically designed for 16-year-olds, which can help them develop good spending habits and budgeting skills.

These cards often come with low spending limits, which can help prevent overspending and teach teens to prioritize their expenses. Some cards also offer rewards programs that can help teens earn cash back or points on their purchases.

One popular option is the Discover it Student Cash Back card, which offers 5% cash back on various categories throughout the year, as well as 1% cash back on all other purchases. This can be a great way for teens to earn rewards on their everyday spending.

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If you're a 16-year-old looking for a bank card, you'll be happy to know that some accounts offer contactless payments up to £100.

You can even set a lower limit, between £5 and £100, using your mobile app, which is a great feature if you're worried about overspending.

A contactless children's bank card is perfect for buying train tickets, cinema tickets, snacks, and drinks without carrying cash.

If you misplace your debit card, you can lock it until you find it, which is a relief.

Here are some features of teen-friendly bank cards:

It's worth noting that you'll receive a code for your kids' bank card, called a PIN, which you should keep secret.

You can set limits on where and how much your child can spend or withdraw from ATMs. This feature helps you stay in control of your child's spending.

With a teen checking account, you can receive alerts every time your child makes a transaction. This can be an opportunity to talk about the difference between "wants" and "needs."

You can also freeze and unfreeze your child's debit card if it's lost, stolen, or damaged. This feature is especially useful if you misplace the card.

Security features like secure sign-in via the Chase Mobile app give you confidence to teach your kids money skills.

You can lock your kid's debit card if you misplace it, and even report a lost, stolen, or damaged card through the app.

With a teen checking account, you can receive alerts every time your child makes a transaction, helping you stay on top of their spending.

This can be a great opportunity to discuss the difference between "wants" and "needs" with your kid, and help them understand the importance of managing their finances.

A teen checking account can even earn a little interest, which can help your kid grow their money over time.

By comparing rates on checking accounts and savings accounts together, you can help your kid see how their dollars can grow depending on where you leave them.

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Child Spending Limits are a great way to teach your teenager about financial responsibility and set boundaries for their spending. You can set limits on where and how much your child can spend or withdraw from ATMs.

For instance, some banks allow you to set limits on transactions, ATM withdrawals, and card spending. You can even approve or reject your child's requests for additional money. Account Alerts can also help you stay in the know about your child's spending.

Setting a lower contactless limit, between £5 and £100, can be a good idea if you're concerned about your child overspending. This way, you can control the amount they can spend on contactless payments.

You can lock your kid's debit card with the app if you misplace it, until you find it. This feature is available for parents and guardians who have a compatible iOS or Android device and a UK or international mobile number in specific countries.

If your kid's debit card is lost, stolen, or damaged, you can report it quickly using the app. This way, you can prevent any unauthorized transactions.

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You can set a lower contactless payment limit between £5 and £100 using the mobile app. This can help you control how much your kid can spend on contactless transactions.

You'll receive a code for your kid's debit card called a PIN. Keep this number private and have your kid enter it when they want to take money out of a cash machine or pay for things in shops or online.

If your kid needs more money, you can approve or reject their request. This feature helps you stay in control of their spending.

Here are some key features to consider when managing your kid's debit card access:

If you're a 16-year-old looking for a bank card, you've got plenty of options. The Starling Teen Account is a great choice, with no monthly fee and a debit card included.

It also comes with a user-friendly mobile banking app, 24/7 customer support, and 3.25% AER (3.19% Gross) variable interest on balances up to £5,000.

Another option is the Santander 1|2|3 Mini, which has no monthly fees and pays interest of 3% AER/ 2.96% gross (variable) on balances between £1,500 and £2,000.

The NatWest Adapt account is also worth considering, with no monthly fees and a contactless debit card included as standard. It also pays 2.70% AER (2.67% Gross p.a.) variable interest on your balance.

Here are some popular bank cards for 16-year-olds to consider:

If you're looking for alternatives to traditional bank cards for a 16-year-old, there are some great options available. Revolut offers an account and spending card for ages 6-17 with no monthly fees, as long as a parent has a standard Revolut account.

Some popular digital banks and apps for kids include GoHenry, which offers a debit card and app for kids aged 6-18 with fees starting from £3.99 a month. It's a great way to teach kids about money management.

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You can also consider Starling Bank's Starling Kite, which is designed for kids and teens. Other options include Nationwide's FlexOne account, Santander's 1|2|3 Mini, and HSBC's Children's bank account.

If you're looking for a list of alternatives, here are a few to consider:

Starling offers a dedicated account for teens, the Starling Teen Account, which is designed for 16 and 17-year-olds. It has no monthly fee and comes with a debit card, user-friendly mobile banking app, and 24/7 customer support.

The Starling Teen Account also offers 3.25% AER (3.19% Gross) variable interest on balances up to £5,000. This is a great feature for teens who want to earn interest on their savings.

The Starling app has features such as instant payment notifications, savings spaces, and spending insights. These features can help teens stay on top of their finances and make informed decisions about their money.

One of the best things about the Starling Teen Account is that it has no monthly fees. This means that teens can use the account without worrying about extra charges.

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The Nationwide FlexOne current account is a great option for 16-year-olds. It's available for 11 to 17 year olds, and you can keep the account until you're 23.

There are no monthly fees to pay, which is a big plus. The account has a 2% AER (1.98% gross a year) variable interest rate on balances up to £1,000, which is a decent interest rate.

You'll get a cash card, which can only be used to withdraw money from ATMs. This is replaced with a Visa debit card from the age of 17 and a half, which can be used for spending and taking out cash.

The account can be managed via online banking, app, phone or in branch, which is really convenient. You can also open a linked savings account, which is a great way to save some extra cash.

If you're 13 or over, you can open the account yourself online or in a Nationwide branch. But for children aged 11-12, it's necessary to apply in a branch accompanied by an adult with parental responsibility.

Here's a quick summary of the key features:

With a teen checking account, you can earn a little interest on your money, which is a great way to grow your savings over time. This is especially useful if you earn money on your own, as you can earn interest on that money too.

You can also get alerts every time you make a transaction, which can be a great way to stay on top of your spending. However, you'll need to discuss with your parents whether this is a good idea or not, as it can be a bit invasive.

Some teen checking accounts also come with features like free mobile deposits, which can be really convenient. You can deposit money into your account from your phone, which is a great way to avoid having to go to the bank.

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Opening a joint bank account with your teenager can be a great way to teach them about personal finance and responsibility. You'll typically need to be a joint owner of the account, which can be a good thing as it allows you to compare banks and find features that are important to both of you.

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Maybe your teen wants a bank account that's free of fees and doesn't require a minimum balance, and that's not too hard to find. Some banks offer accounts with no fees and no minimum balance requirements.

You can also set up alerts to receive notifications every time your child makes a transaction, but this is something you'll need to discuss with your child to determine what's best for your situation. With banking apps, everything from money transfers to mobile deposits can be done in minutes, which can be both convenient and a good opportunity to talk about the difference between "wants" and "needs."

A teen checking account can even earn a little interest, which can be a great way to teach your child about the value of saving and growing their money. If your teenager earns money on their own, they may be able to grow their money with interest.

Here are some features to explore in a teen checking account:

Mastering personal finance is a process that takes trial and error. As your child learns to monitor their cash flow, you can help them create a budget that outlines how much they'll spend, save, and plan for big purchases.

Teens are more likely to enjoy money management if the process is fun, with tangible payoffs like wings at the bowling alley with friends. Learning to save and watch your balance grow can feel pretty good too.

Putting goals in order of importance and scratching others off the list can build confidence around managing money wisely. This confidence can help them tackle big financial goals like saving for a first car.

Practice makes perfect, and basic banking skills are essential for achieving financial goals. From saving for a first car to paying off student loans to buying a starter home, it all starts with mastering these skills.

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