Credit/Debit card for new college student...HELP!

[Dr. Nole]

No, there will be no pics of the kid.
She heads to FSU next year...not very responsible with financial aspects.
Would like her to have a card for emergency stuff, plus being able to pay for books etc...

We will definitely want there to be a limit (that we control) on what she can spend should she decide to do something foolish.

Any options/opinions on this?

Thx

 

[Nole Lou]

No, there will be no pics of the kid.
She heads to FSU next year...not very responsible with financial aspects.
Would like her to have a card for emergency stuff, plus being able to pay for books etc...

We will definitely want there to be a limit (that we control) on what she can spend should she decide to do something foolish.

Any options/opinions on this?

Thx

I'm not a big debit card guy, we use credit cards instead of debit cards. However, for our kids they used debit cards to their bank accounts for college. We'd transfer or deposit money in as needed. I don't think there's any great reason, other than establishing credit, for putting a credit card in the hands of a college kid. If it's an "emergency" that's bigger than the couple hundred dollars balance in their account, I'd want a call anyway. It was enough to cover emergencies like needing something for school on short notice or a cab ride, etc, but I never envisioned them needing to cover a $2000 "emergency".

A semester of bad judgement with a credit card can stick a kid with decades of consequences. Obviously, we could deal with limits and checking in every night to review purchases, but c'mon, ain't got time for that.

 

[Imtotallynottribe]

No, there will be no pics of the kid.
She heads to FSU next year...not very responsible with financial aspects.
Would like her to have a card for emergency stuff, plus being able to pay for books etc...

We will definitely want there to be a limit (that we control) on what she can spend should she decide to do something foolish.

Any options/opinions on this?

Thx

Check with your bank about getting a credit card with a low max tied to your debit line. That way you can pay off anything she racks up while seeing it. She won’t build credit (I believe) but that way she has training wheels on.

 

[OrlandNole]

I'm not a big debit card guy, we use credit cards instead of debit cards. However, for our kids they used debit cards to their bank accounts for college. We'd transfer or deposit money in as needed. I don't think there's any great reason, other than establishing credit, for putting a credit card in the hands of a college kid. If it's an "emergency" that's bigger than the couple hundred dollars balance in their account, I'd want a call anyway. It was enough to cover emergencies like needing something for school on short notice or a cab ride, etc, but I never envisioned them needing to cover a $2000 "emergency".

A semester of bad judgement with a credit card can stick a kid with decades of consequences. Obviously, we could deal with limits and checking in every night to review purchases, but c'mon, ain't got time for that.

This.

 

[riseboi]

Sounds like she needs a secured credit card. Generallly, I believe the credit limit is based on whatever you choose to deposit, and it still can build a credit history for her.

 

[West Duval Nole]

Are you trying to also establish good credit for your daughter? If so, then your option to do that would be a credit card. Or are you really just concerned with controlling the amount and where she makes purchases. And I guess what are you considering an emergency? Just medical, If so, if you have an HSA, usually the debit cards they issue are limited to medical expenses only.

If for other things like car repairs and what not, there are a variety of options out there. Like re-loadable pre paid cards. Although you could also use a debit card for that purpose as long as you have an easy and real time way to transfer money to the associated bank account and make sure the overdraft is not set to pull from your accounts or a line of credit.
Companies like Greenlight have released reloadable cards that can be used like regular debit cards — but only for stores preapproved by the card’s primary account holder. Parents can make sure the $500 earmarked for textbooks, for example, is spent only at the campus bookstore, says Greenlight CEO Tim Sheehan.

Another company, True Link, offers a similar service and allows account holders to block categories of purchases, such as alcohol, in addition to individual merchants.

 

[RunRonnieRun]

Seems like the easy answer is a debit card that you can easily make deposits into. In the event of emergency you should, as you said, expect a phone call anyway.

 

[Formerly Rockymtnole]

Seems like the easy answer is a debit card that you can easily make deposits into. In the event of emergency you should, as you said, expect a phone call anyway.

Agree, this doesn't seem all that complicated.

 

[wbnolefan2]

Text alerts to your phone on any purchase over $xxx might simplify your monitoring hassle

 

[LT4PLY]

Many years ago when I was in college USAA had a college credit card that I carried. It was tied to where you were in school... Freshman you had a $250 limit. Soph, $500... Jr. $750... Sr. $1000 then after that it capped at $1200. It was designed as a learning card so you wouldn't get burned. I used it, built my credit, and never had any issues.

 

[docb76]

I would do a debit card and make her pay for it.

Never had a credit card and have never had an issue.

 

[miawisenole]

Debit cards can also be set with daily purchase and withdraw limits

 

[Dr. Nole]

Are you trying to also establish good credit for your daughter? If so, then your option to do that would be a credit card. Or are you really just concerned with controlling the amount and where she makes purchases. And I guess what are you considering an emergency? Just medical, If so, if you have an HSA, usually the debit cards they issue are limited to medical expenses only.

If for other things like car repairs and what not, there are a variety of options out there. Like re-loadable pre paid cards. Although you could also use a debit card for that purpose as long as you have an easy and real time way to transfer money to the associated bank account and make sure the overdraft is not set to pull from your accounts or a line of credit.
Companies like Greenlight have released reloadable cards that can be used like regular debit cards — but only for stores preapproved by the card’s primary account holder. Parents can make sure the $500 earmarked for textbooks, for example, is spent only at the campus bookstore, says Greenlight CEO Tim Sheehan.

Another company, True Link, offers a similar service and allows account holders to block categories of purchases, such as alcohol, in addition to individual merchants.

Thank you.
Not worried right now about her establishing credit...maybe later but for now just "control" for us.

As far as debit cards...maybe that's the answer...as long as it can't be used to gain access to the main account and drain that. I guess we'd have to make a separate account just for her debit card so it only had what we put in it and not part of our main account.

 

[fsUTampa]

Thank you.
Not worried right now about her establishing credit...maybe later but for now just "control" for us.

Ok, I'll be that guy...

She's 18, I'm assuming? Or will be when she's in college? I get parenting and trying to teach your child financial literacy, but "controlling" her isn't the way to do that, at that point in her life, IMHO. Being a guiding factor and offering lots of wisdom, etc...absolutely. Controlling...no, that's not a lesson she's learning then.

 

[Dr. Nole]

Ok, I'll be that guy...

She's 18, I'm assuming? Or will be when she's in college? I get parenting and trying to teach your child financial literacy, but "controlling" her isn't the way to do that, at that point in her life, IMHO. Being a guiding factor and offering lots of wisdom, etc...absolutely. Controlling...no, that's not a lesson she's learning then.

Controlling the money...as she shows she can control her spending then we can give her more control over that aspect.

 

[cfbfan23]

Ok, I'll be that guy...

She's 18, I'm assuming? Or will be when she's in college? I get parenting and trying to teach your child financial literacy, but "controlling" her isn't the way to do that, at that point in her life, IMHO. Being a guiding factor and offering lots of wisdom, etc...absolutely. Controlling...no, that's not a lesson she's learning then.

I think you have a different definition for "control" than the original poster.

 

[Dr. Nole]

I think you have a different definition for "control" than the original poster.

Thank you

 

[West Duval Nole]

Ok, I'll be that guy...

She's 18, I'm assuming? Or will be when she's in college? I get parenting and trying to teach your child financial literacy, but "controlling" her isn't the way to do that, at that point in her life, IMHO. Being a guiding factor and offering lots of wisdom, etc...absolutely. Controlling...no, that's not a lesson she's learning then.

It's OP's money, not money his daughter is earning that OP is controlling. And OP is looking more to manage risk with his money. If you want to call that controlling. It is called risk control. I mean I suppose he could just give her access to full credit card line and hope she only uses it for an emergency. And then she considers getting an outfit or going to a party to fit in with the cool kids and consider it an emergency a few times maxes out the credit card and the OP is stuck with the bill. Or he can mitigate the risk with other products and ways until there is a history to show some responsibility and more and more and then he can loosen up the restrictions. There are many different philosophies that can be debated on the approach one should have with teaching their kids financial responsibility. He was asking about ways to manage the risk. Just because that is not the way you would do it, doesn't mean OP shouldn't be provided with information for the options he is requesting.

 

[Formerly Rockymtnole]

Does she have/has she had a drug problem and is that why you're concerned about her cleaning out your bank account?

Years ago parents gave me a checkbook to write out bills and get cash and it never occurred to me to take more than I was supposed to. I knew if I did there would be serious consequences. Why is it different these days just because the transactions are electronic?

 

[miawisenole]

Thank you.
Not worried right now about her establishing credit...maybe later but for now just "control" for us.

As far as debit cards...maybe that's the answer...as long as it can't be used to gain access to the main account and drain that. I guess we'd have to make a separate account just for her debit card so it only had what we put in it and not part of our main account.

Thats the way to do it

 

[OrlandNole]

Thank you.
Not worried right now about her establishing credit...maybe later but for now just "control" for us.

As far as debit cards...maybe that's the answer...as long as it can't be used to gain access to the main account and drain that. I guess we'd have to make a separate account just for her debit card so it only had what we put in it and not part of our main account.

That's what we've got. I can see her account transactions, deposit and withdraw money, but she can't see or do anything with our main account.

 

[cmanole]

Thank you.
Not worried right now about her establishing credit...maybe later but for now just "control" for us.

As far as debit cards...maybe that's the answer...as long as it can't be used to gain access to the main account and drain that. I guess we'd have to make a separate account just for her debit card so it only had what we put in it and not part of our main account.

I opened my daughter an account at SunTrust that I have access to. I look online every morning to see what she spends. I can also transfer money into her account as needed.

 

[JohnnieHolmesNole]

Does she have/has she had a drug problem and is that why you're concerned about her cleaning out your bank account?

Years ago parents gave me a checkbook to write out bills and get cash and it never occurred to me to take more than I was supposed to. I knew if I did there would be serious consequences. Why is it different these days just because the transactions are electronic?

This. Also, for girls, never forget the Sugar Daddy option if money gets tight.

 

[cgj0198]

Cash App has a free debit card that can be used for this. you can add money and you can also transfer money back to your account all from the app. you also can get alerts for charges.