Starling Bank is to launch its Kite debit card, which can be used by children under the age of 16 for spending online, instore and withdrawing cash from ATMs.
A Starling Kite debit card for children can be ordered by parents from the app, providing complete oversight of spending and a maximum allocation of £5000 in funds.
Parents, whether using a personal or joint account, receive notifications whenever their child spends money. They can also check, control and limit specific functions such as online payments and ATM withdrawals, and set a daily transaction limit which can be controlled and adjusted as the child's financial needs and awareness grows.
The card comes with a monthly £2 fee, one of a range of new charges introduced by the app-based bank last week.
Anne Boden, CEO and Founder of Starling Bank, said: “Understanding the value of money and learning skills such as budgeting and saving from a young age, can help people lay the foundations for them to achieve better financial wellbeing later on in life.
“We want Starling Kite to encourage families to talk about money together and not see it as a taboo subject.”
Once children turn 16 they will be invited to open a Starling Teen Account for 16-17 year olds, which will automatically change to a Starling personal account after their 18th birthday.